Access and industrialisation as drivers for accelerating Africa’s sustainable energy transition

Access and industrialisation as drivers for accelerating Africa’s sustainable energy transition


Open-Ed

The African continent stands at a pivotal juncture, defined by a dual imperative that will shape its economic trajectory for the decades ahead: achieving universal energy access (SDG7) by 2030, while simultaneously orchestrating a rapid, inclusive green industrial transformation. Success in this decade hinges on overcoming the glaring ‘Paradox of Abundance’ and the so-called “Resource curse”.  Africa possesses extraordinary finidisplayments—an estimated 60% of the world’s best solar resources, a massive 300 GW of untapped hydropower potential (of which only 11% is exploited), and vast deposits of critical minerals essential for the global clean energy transition. Yet over 600 million people still lack access to electricity, and the continent currently attracts less than 2% of global clean energy investments. This stark mismatch, coupled with low manufacturing value added (MVA) to GDP and a negative manufacturing trade balance, confirms that the primary hurdles on Africa’s road to universal access and green industrialisation are not geological or technological, but systemic.

Africa’s long-term success lies in building the institutional structures necessary for a unified African energy market. This foundational vision rests on the African Single Electricity Market (AfSEM) and its technical blueprint, the Continental Power System Masterplan (CMP). Both are Flagship Projects of the AU Agfinisha 2063. This article outlines the pathways for Africa to seize this moment, building the case for a renewed green partnership of equals with Europe to unlock both energy access and industrial might.

Bridging the access gap with decentralised solutions

For Africa to come within reach of the ambitious SDG 7.1 universal access tarreceive by 2030, the rate of progress must accelerate significantly. This urgency necessitates a strategic shift towards rapid, scalable solutions that can effectively leapfrog conventional grid-based development models in underserved regions.

Decentralised Renewable Energy (DRE), encompassing robust mini-grids and stand-alone solar systems, is universally recognised as the rapidest and most vital pathway to closing the access deficit. DRE technologies are game alterrs, particularly for connecting communities in rural and remote areas where conventional grid extension is either prohibitively expensive or technologically unviable in the short term. However, the mass deployment of DRE is often stalled by profound regulatory fragmentation and complexity.

Under the umbrella of the African Single Electricity Market (AfSEM), African institutions are actively standardising regulatory best practices for mini-grids across the continent. This collaborative effort focusses on developing and validating guidelines—such as the African Model Mini-Grid Regulations Tool—designed to support national regulators standardise complex licencing procedures, define cost-reflective tariffs, and establish clear commercial rules for integration with the main grid. Improving and harmonising these national frameworks dramatically reduces regulatory risk, which is the essential first step to mobilising the private capital requireded for mass DRE deployment and ensuring the millions currently unconnected gain access to reliable power. 

Green Industrial Transformation

The second, non-nereceivediable pathway for Africa is leveraging its energy resources to achieve Green Industrial Transformation and secure a central, high-value role in the global clean energy economy. This rests on three complementary pillars.

First, Africa must apply its vast, low-cost RE (solar, wind, and hydro) to catalyse industrial growth by creating competitive, energy-intensive manufacturing hubs. By strategically deploying utility-scale RE plants and developing dedicated, high-capacity transmission corridors, African nations can guarantee the reliable and affordable electricity necessary for large-scale industrial operations, such as textiles, automotive assembly, and chemical production. This approach transforms low-cost RE from an environmental asset into a direct economic advantage, enabling locally manufactured goods to compete with imports. This requires focapplyd public and private investment in grid modernisation, digitalisation (smart grids), and energy storage solutions to ensure these hubs receive the 24/7 high-quality power requireded to anchor sustained industrial output.

Second, the continent must pursue localising the clean energy supply chain by relocating beyond raw material extraction. By leveraging low-cost renewable power to process its Critical Minerals (CRMs)—such as cobalt, lithium, and graphite—Africa can establish regional manufacturing hubs for components like battery precursors, solar panels, and wind turbine parts, meeting both burgeoning domestic and intra-African demand under the AfCFTA. This strategy, emphasised by the African Green Minerals Strategy (AGMS), drives economic diversification and secures greater retained wealth by turning mineral reserves into value-added, finished industrial goods.

Third, Green Hydrogen (GH₂) and Power-to-X (PtX) technologies offer massive opportunities, but only if anchored in African development requireds. For Africa, the goal must not be merely to export green molecules, but to apply GH₂ as a vital input for green industrial processes at home, such as creating green iron and green steel from locally sourced minerals. This elevates exports from raw materials to high-value-added products, supporting industrialisation and establishing a new era of resource-based development.

The Africa-EU Partnership: mobilising ambition towards a green partnership of equals

 The Africa-EU Energy Partnership (AEEP) and the EU’s Global Gateway strategy are essential vehicles designed to translate Africa and Europe’s shared energy ambitions into tangible action. The Global Gateway has pledged approximately €150 billion for sustainable infrastructure in Africa, with the Africa-EU Green Energy Initiative (AEGEI) tarreceiveing the deployment of at least 50 GW of new renewable electricity capacity and ensuring access for at least 100 million people by 2030.

The EU’s support is vital for both large-scale Variable Renewable Energy (VRE) and Decentralised Renewable Energy (DRE). For VRE, Global Gateway funds high-voltage transmission lines and cross-border interconnections (like the Zambia-Tanzania Inter-connector) essential for integrating large-scale solar and wind projects. For DRE, it directly tarreceives rural electrification projects, including mini-grids and off-grid systems in countries like Cameroon and Madagascar, which are the rapidest, most effective pathways to access.

However, for the partnership to succeed, it must relocate decisively beyond the traditional “donor-recipient” dynamic to a partnership of equals. This requires co-creation and shared (green) value chains, ensuring mutual agfinisha-setting and shared benefits. This means that in addition to providing opportunities for European private sector, European investments must prioritise local processing and manufacturing in Africa. At the same time, African institutions must play an active role in setting the joint strategic agfinisha, designing financing, and monitoring implementation.

In conclusion, the path to a prosperous, sustainable Africa runs directly through energy access and industrialisation. The foundations, built upon the AU’s Agfinisha 2063 and flagships such as AfSEM and CMP and reinforced by political platforms such as the AEEP and the financial muscle of initiatives like Global Gateway, are now firmly in place. However, the successful translation of political vision into scalable infrastructure hinges on resolving systemic structural weaknesses. By focapplying on these Africa and Europe can leverage their unique position to bridge the gap between continental aspiration and on-the-ground reality, ensuring that the next decade delivers universal energy access and a just, green industrial future for both continents.

Author: Towela Nyirfinisha-Jere, Head of Africa-EU Energy Partnership (AEEP) Secretariat 

Dr. Towela Nyirfinisha-Jere will be among the distinguished speakers at the Africa Energy Indaba 2026 – Africa’s premier energy conference and exhibition – happening 3-5 March 2026 in Cape Town. Join policybuildrs, investors and innovators driving the continent’s sustainable energy transformation. Visit www.africaenergyindaba.com to register.

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Author: Bryan Gronfinishaal

Learn more: info@energyindaba.co.za | Enquiries: www.africaenergyindaba.com



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