• Wednesday, July 17, 2024
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African leaders converge in South Africa for energy investment, security

Access to capital, low financing costs key to doubling Africa’s energy investment – report

African leaders and key stakeholders in the energy sector are set to convene in Johannesburg and Cape Town, South Africa, to tackle energy security and foster investment.

The 2024 edition of the Africa Energy Sector Inward Buying and Investment Mission, which will take place from July 15-19, will bring together 40 African delegates from 10 confirmed African countries.

According to the organiser, Angola, DRC, Egypt, Ghana, Kenya, Mozambique, Nigeria, Uganda, Zambia, and Zimbabwe have been confirmed to engage in a comprehensive exploration of South Africa’s energy capabilities and project opportunities across the continent.

The mission will be hosted by the South African Electrotechnical Export Council (SAEEC) with support from the Department of Trade, Industry and Competition (DTIC), the Export Credit Insurance Corporation (ECIC), and the Development Bank of Southern Africa (DBSA).

Read also: How AU, AfCFTA Failed to Deliver Local Content for Energy Security

The South African Electrotechnical Export Council said the time of this year’s mission was fortuitous. “The African Continental Free Trade Area entered its operational phase in April this year, offering a valuable opportunity to lay the foundation for intra-African trade,” said Chiboni Evans, CEO of SAEEC.

“We are committed to convening this forum as this new era of export opportunities emerges. As we have done over the past 25 years, the council will continue to work with the dtic to support boosting export growth, in keeping with the objectives of the Integrated National Export Strategy.”

The South African electrotechnical sector has a local value of $58 billion and employs around 280,000 people, according to a 2017 Analytix study commissioned by the Department of Trade and Industry.

Ntshengedzeni Gilbert Maphula, Acting CEO of the Export Credit Insurance Corporation said the 2024 edition of the Africa Energy Sector Inward Buying and Investment Mission represents a pivotal moment for the continent’s energy landscape.

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“By bringing together key stakeholders, project owners, and industry experts, this event fosters unparalleled opportunities for collaboration, innovation, and investment across Africa. As we strive to be a world-class export credit insurer in facilitating South African export trade and cross-border investment globally, this initiative aligns perfectly with our mission.”

Boitumelo Mosako, CEO of DBSA said: “The Development Bank of Southern Africa has a clear goal to increase investment in renewable energy and improve energy security, not only in South Africa but across the African continent.

The DBSA’s focus is on leveraging funding from diverse investors to support energy infrastructure projects that align with the National Development Plan 2030 and the Sustainable Development Goals.”

The African Development Bank estimated that approximately $30-40 billion per annum is required over the next six years for Africa’s energy infrastructure built to ensure universal access to electricity and to industrialise the continent.

Read also: Africa needs $203 billion in clean energy investments to meet climate goals

Around 600 million Africans, or 43 per cent of the total population, lack access to electricity, according to the 2022 Africa Energy Outlook.

Evans said the Council looked forward to displaying the competence of member companies in various subsectors, including electrical engineering, manufacturing goods, and providing services in the generation, distribution, and transmission of electricity. Other sectors represented are information and digital technology, telecoms, electronics, and renewable energy solutions.

“This mission provides a unique platform for sharing our extensive knowledge and experience with our African counterparts, fostering collaborations that will lead to sustainable energy development across the continent. Our aim is to empower African energy leaders with the tools and insights needed to achieve their ambitious energy goals.”