Energy Transition

ENERGY TRANSITION

We are in the midst of the biggest transition from one energy system to another, Fossil Fuels to Renewable Energy. Thanks to continuous innovation renewable energy sources is the cornerstone of the energy transition, becoming increasingly efficient and competitive. It is destined to become the most advantageous and sustainable source of electricity and energy for the planet as well as for economic development.

Not only do they generate energy without emitting greenhouse gases but are virtually inexhaustible. This is particularly relevant to our continent with approximately 600 million or 45 % of our fellow Africans without electricity, with a significantly large population lacking access to affordable and reliable energy.

With abundant indigenous resources, Africa is well placed to leverage this potential. For Africa to harness the potential of renewable energy a systemic approach is however required. Innovative power generating technologies, such as renewable power systems combining two or more technologies as well as off-grid renewable energy systems, combined with innovative enabling technologies as well as new business models, improved regulatory frameworks and system operation procedures should be adopted at scale. Innovative financing approaches such as local currency lending, results-based financing schemes or tailor-made challenge funds – can also facilitate the energy transition, propelling economic growth and turning African countries into frontrunners in the global clean energy transition.