Africa must innovate to address energy access deficit – Dr Koney
By Isaac AIDOO, Accra
Chief Executive Officer (CEO) of the Ghana Chamber of Mines, Dr. Sulemanu Koney has called on African nations to innovate and take decisive action to address the continent’s energy access deficit, emphasizing its critical role in catalyzing economic growth and development. Speaking at an event organized by the African Centre for Energy Policy (ACEP), Dr. Koney highlighted that energy is a “prime mover” for socioeconomic development and that access to secure, competitively priced energy is crucial for Africa’s progress.
Dr. Koney pointed out that while Africa holds vast potential for growth, the lack of reliable and modern energy sources remains a significant barrier to achieving sustainable development. He cited recent research by the United Nations Industrial Development Organization (UNIDO) and the World Bank, which underscores the importance of energy in lifting people out of poverty and driving industrialization. He noted that electricity alone could increase household per capita income by 39%.
Addressing the energy access deficit, Dr. Koney noted that 43% of Africa’s population, most of whom are in sub-Saharan Africa, lack access to electricity. This lack of access not only hampers economic growth but also impacts essential services like healthcare, water supply, and education.
Dr. Koney outlined several strategies to overcome this challenge, including the identification and assessment of Africa’s diverse energy resources, ranging from fossil fuels to renewables like hydro, wind, and solar energy. He emphasized the importance of reducing energy waste, optimizing consumption, and expanding and modernizing national grids to connect more people and businesses. Additionally, he advocated for regional energy markets, such as the West Africa Power Pool, to enhance energy security through transnational cooperation.
Highlighting the importance of research and development (R&D), Dr. Koney stressed the need for Africa to stay at the forefront of innovation and technology by fostering partnerships between African and global R&D institutes. He pointed to the recent Zambia-DRC cooperation agreement to produce battery precursors as an example of leveraging Africa’s mineral resources for industrialization.
Dr. Koney also addressed the challenge of financing energy projects, particularly in an era of global decarbonization efforts that limit investment in fossil-based resources. He urged African countries to explore innovative financing solutions, including raising mining capital from local stock exchanges and leveraging local pension funds.
Finally, Dr. Koney called for policies that encourage investment in renewable energy, such as customs duty exemptions for imported components and VAT exemptions for after-service installations. He advocated for off-grid solutions, particularly solar energy, to serve unserved and underserved communities, noting the growing interest of investors in Africa’s off-grid solar sector. In conclusion, Dr. Koney emphasized that Africa must strategically harness its energy resources to achieve economic growth and development, leveraging both traditional and renewable energy sources to meet the continent’s needs.
