Experts in the field of renewable energy stressed that the transition to renewable energy has become the lifesaving option to confront the challenges of global warming. They stressed that the African continent is in dire need of this clean energy because of its significance as an emerging continent and the encouraging data about the growth and prosperity opportunities of the continent's economy. This aspect is all the more important in light of upcoming UN Climate Change conference of the parties (COP28), scheduled to be held in the UAE at Expo City Dubai from November 30 to December 12, 2023.
TRENDS Research and Advisory held a panel discussion on the first day of its participation in the Nairobi International Book Fair entitled "Constraints to the spread of renewable energy in Africa". The experts explained that Africa can become an economic giant with renewable energy because of its immense potential in the sources of this alternative energy. The participants urged the countries of the continent and the world to support African efforts of shifting towards clean energy and reduce the effects of climate change. They praised the role of the UAE in supporting these efforts.
Dr. Mohammed Al-Ali, CEO
of TRENDS Research and Advisory opened the panel. He welcomed the participants
in the center's pavilion at the Nairobi International Book Fair and referred to
Africa's international prominence in the addressing climate change. He said
that the African continent possess about 40% of the global potential for
renewable energy sources in the whole world. The continent has abundant solar
and wind potential almost 400 times more than the continent's total reserves of
fossil fuels.
He pointed out that
TRENDS Center agrees with what the UN Secretary-General said at the Nairobi
summit two weeks ago that Africa can be the superpower with renewable energy
because of its immense potential in this type of clean energy. We have to
consider that Africa does not lack the human and natural capabilities to be the
superpower in the field of renewable energy.
Dr. Al-Ali wondered about
the obstacles that prevent this transition, and why do such obstacles appear? He
asked about the right means to address these challenges?”
Dr. Al-Ali stressed that think tanks and strategic research centers have a vital role to play in exploring these obstacles, analyzing the reasons and refuting the counter claims. Dr. Al-Ali explained that TRENDS’ vision is based on the importance of sharing ideas, expertise and research and knowledge, whether with experts or distinguished research institutions all over the world. He said that Africa occupies an advanced global position and we look forward for wider cooperation with it in all fields.
Abdulrahman Al-Jneibi, Director of Marketing Department at TRENDS Center moderated the panel discussion. He indicated that the discussion shall focus on the restrictions to the spread of renewable energy in Africa. He stressed the need for viable outputs that contribute to getting out of the restrictions and removing the obstacles to the spread of renewable energy in Africa.
Dr. Stephen Kirama, lecturer, Research
Fellow and Senior Consultant at the University of Dar es Salaam, Tanzania, opened the discussion by noting that Tanzania has many options in
terms of power generation opportunities, and there are a variety of options available
in renewable energy and hydrocarbons. Tanzania's energy consumption is low, at
about 110 kilowatt-hours per capita per year, well below the global average of
2,000 kilowatt hours per year.
Dr. Kirama explained the
constraints that hinder his country's energy options, including choosing the
right energy policies, investing in expanding the transmission coverage of the
national grid. He also spoke of the need to learn from previous initiatives to
support the cost of investment, and develop cost-effective finance tools in
local currency.
Ms. Kay Walsh, Managing Director of Nova Economics, a consultancy company in South Africa, explained that her country is making great efforts to sustain power generation, as there is great pressure on the national grid, which was previously stable. She pointed to some obstacles, which include the fact that the cost of energy exceeds the rate of inflation, due to the decline in supply reliability. She said the average household consumption exceeds 3,000 kilowatt hours per year, due to the magnitude of heavy industry and the mining sector high consumption.
Ms. Walsh said that the
new investments in renewable energy carried out by the government over ten
years will be matched by private sector investment in the two years from
mid-2022, and has already exceeded 50% of total national investments. She stressed
that the main constraint to the spread of renewable energy is the hidden cost
of transmission infrastructure, estimated at more than $ 12 billion.
As the private sector
responds faster, utilities were working with concessional foreign funders to
develop a large repository of concessional finance in local currency.
Vincent Maposa, a South
African entrepreneur and the Founder and CEO of Wetility, a
solar solutions company said that issues of cost-effectiveness and network
reliability are pushing residential and commercial consumers towards
distributed power generation solutions, although they lack the funds required
to avoid power outages and generate their own power needs> He said that estimates
indicate that the demand for this solution in South Africa exceeds $ 350
billion.
Mr. Maposa explained that one of the key factors behind his company's success is its ability to manage investment risks for energy sharing solutions funders. The availability of the right type of capital is also critical, and the key is to provide financing in local currency through long-term facilities.
Tom Courtright from
the Africa E-mobility Alliance, Director TES Network,
Nairobi, Kenya, said transportation is the largest source of carbon
emissions in East Africa. He said that low electricity generation and rising
renewable energy ratios keep electricity generation contributions lower than in
other markets.
Mr. Courtright said that due to the significant cost advantages
offered by large bicycles compared to motorcycles powered by an internal
combustion engine, 27 million motorcycles in Africa are expected to be
converted to electric bikes in the near future.
Electric vehicles will also reduce the intensity of energy use in Africa's transport sector, he said. They are more efficient than an internal combustion engine in converting stored energy into propellant energy. Also, in the bus transport sector, innovative proprietary models have made electric buses reliable and competitive alternatives to buses powered by internal combustion engine in East Africa.
Mr. Courtright Addressed the main constraints of renewable energy
in Africa. He said that they include the
availability of other traditional sources of energy. Even if non-renewable
energy is used, the carbon impact will be less than the use of motorcycles
powered by an internal combustion engine, and the expansion of internal combustion
manufacturing capacity to take advantage of the opportunities offered by the
African Continental Free Trade Area (AfCFTA) market potential. He explained that
due to the energy intensity used in the production of batteries, Africa is
likely to be able to manufacture all other components for vehicles.
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