Investing in sustainable energy transition in Africa

Renewable energy is on the rise, with expectations that it will make up 35 per cent of global power generation this year, significantly reducing the world's reliance on fossil fuels. This shift towards cleaner energy sources is not only beneficial for the environment but also represents a significant investment opportunity. Global energy investments are projected to exceed $3 trillion, with $2 trillion specifically allocated to clean energy technologies. CNBC Africa's Flora Limukii recently sat down with Stefano Marguccio, Deputy Chief Executive Officer of Sustainable Energy for All, to discuss the importance of investing in sustainable energy transition in Africa. Marguccio highlighted a new initiative called Mission 300, a collaborative effort between the World Bank, African Development Bank, and Rockefeller Foundation. The initiative aims to provide energy access to 300 million Africans by 2030, showcasing a strong partnership between the private and public sectors. This initiative will be further solidified at an upcoming summit in Tanzania, where countries will make commitments towards energy access, fostering ownership and cooperation. However, transitioning to clean energy in developing countries poses several challenges. Marguccio emphasized the need for a stable legal framework, political will, and financial stability to attract investors. Additionally, creating financial instruments tailored to the local context and building capacity for project development are crucial steps in overcoming these hurdles. When discussing the impact of renewable energy on women in Africa, Marguccio emphasized the empowering potential of clean energy solutions. Access to renewable energy not only improves women's quality of life by reducing their household burdens but also creates economic opportunities. Sustainable Energy for All is actively working to provide training programs for women with STEM backgrounds, aiming to empower them to become active participants in the renewable energy sector. Investing in sustainable energy transition in Africa is not just about reducing carbon emissions; it is also about promoting gender equality and economic empowerment. By addressing challenges, fostering cooperation, and empowering women, the continent can pave the way towards a cleaner and more inclusive energy future.