Africa’s Renewable Transition Gains Momentum

Key Figures & Findings: Africa’s renewable energy landscape is evolving rapidly, with Kenya leading the charge by generating 90% of its electricity from sustainable sources, as reported by the Ministry of Energy. According to the International Renewable Energy Agency (IRENA) and the African Development Bank, Africa possesses vast solar energy potential, with capacity increasing eightfold in the last decade. This shift could boost the continent’s GDP by 6.4% and improve the well-being index by 25.4% by 2050 if investment and implementation continue at pace.

Statistics & Insights: Despite being home to 20% of the world’s population, Africa received only 3% of global energy investments by 2023, with about 75% still directed toward fossil fuels. Renewable project capital costs remain two to three times higher in Africa than in advanced economies, deterring substantial investment.

Future Implications: If concessional financing and private investment are mobilized effectively, Africa could bypass extensive fossil fuel dependence by 2050. This transition would enhance economic resilience.

Source: The Africa Report