By ERIC OJO
The International Energy Agency has projected that by 2030, about 80 per cent of the global off-grid population will be in Sub-Saharan Africa.
Amidst the scary indices on Africa’s energy deficit, things are looking up in the sector. The increasing momentum in the evolution of Off-Grid electricity continues to brighten the prospects of lighting up the continent. This new-found and growing optimism in the energy sector is premised on the broad range of mini-grids and off-grid power projects that are springing up within the continent.
There are success stories resonating with the current clean energy transition happening in Sub-Saharan Africa, particularly in the Eastern and Western regions, where new project development and commercial opportunities are increasingly emerging by the day.
“The African renewables market is growing in all areas. There are dozens of new Mini/Micro Grid operators (MGOs) emerging and this number will rise”, said Ira Green, the Managing Partner of GGEnergy Holdings.
Africa’s clean energy transition
Off-grid power is a stand-alone model that generates electricity from renewable sources such as wind, solar and macro-hydro. It is not part of a national power distribution network.The drive to raise the bar on derivable energy from renewable sources in Africa also stems from the realisation that investment in renewable power generation and distribution systems makes it possible to provide electricity to many citizens who have no access to national grid. Corroborating this assertion, the President of the Renewable Energy Association of Nigeria, Segun Adaju, said it is imperative to decentralise the source of power because many people, especially those living in the rural areas are not connected to the National Grid.
“Since the Grid has left many communities without electricity, the only way they can power themselves is through the deployment of Off-grid and small-scale energy solutions,” he said.
Electricity crisis in Africa
Currently, it is estimated that about 600 million Africans, according to African Development Bank (AfDB) do not have access to electricity. AfDB President, Akinwumi Adeshina believes that lack of electricity is Africa’s biggest development impediment.
“Energy is at the heart of the AfDB’s economic transformation agenda. With over USD12 billion of investment commitments to the sector between 2016 and 2020, the Bank expects to leverage between USD45 billion and USD50 billion in co-financing for energy projects in Africa during the period”, he added.
The electricity crisis in Africa is really worrisome. In Nigeria and Kenya, which have been described as the two classic examples of countries framing the future of energy in Africa through Solar microgrids, citizen’s access to reliable electricity is still abysmally low. In Kenya, 60 per cent of urban residents and a mere seven per cent of rural residents have access to electricity. However, with the series of completed, running and on-going off-grid projects in the continent, hope is rising in both countries.
Need for partnerships
To demonstrate its commitment to the development of renewable energy, the Federal Government of Nigeria has put in place a National Renewable Energy Policy. Moreover, Nigeria’s electricity vision 30:30:30 is aimed at achieving a technology-driven renewable energy sector that harnesses the nation’s resources to complement its fossil fuel consumption and guarantee energy security.
Speaking on the prospect of Off-grid electricity in Africa, the Co-founder and Chief Executive Officer (CEO) of Equatorial Power, Riccardo Ridolfi, expressed his satisfaction over the pace with which the industry is evolving.
“We are excited to be developing our mini grid sites in accordance with an innovative holistic business model, centred entirely on the productive use of energy, with some very interesting partners. We hope to commission our first site in Rwanda later this year and our principal pilot project in Uganda by the second quarter of next year”, he added.
Interestingly, more and more foreign partners, multinational, financial institutions, technology providers, financiers and regional and global leaders in the industry, are teaming up with African developers in developing and financing off-grid projects to electrify rural communities in Africa. Reaffirming the need for partnerships in this fast evolving industry, the Global Coordinator, African Mini-Grid Developers Association (AMDA), Jessica Stephens, said AMDA is willing to collaborate with any institution that aligns with its goals of accelerating electricity access in Africa through an enhanced role for distribution solution.
Going by the current development, the International Energy Agency (IEA) has projected that by 2030, about 80 per cent of the global Off-grid population will be in Sub-Saharan Africa.
Eric Ojo is an Independent Researcher and Freelance Journalist based in Abuja, Nigeria.
