- The Masdar and PwC report shows that West Africa has an unexploited renewable capacity potential of 2,000 GW.
- Approximately 220 million people live without access to power, coupled with some of the highest electricity costs in sub-Saharan Africa.
Masdar and PwC Middle East have released a new report showing West Africa’s renewable energy potential. The report “Accelerating Renewable Energy Investment in West Africa” highlights the necessary reforms to increase private sector investment. The report stressed the importance of advancing renewable energy transition in West Africa to ensure adequate and affordable access to clean electricity. It also encourages policymakers to realise the investment required for energy transition in the region.
Some of the report’s key findings show that West Africa has an unexploited renewable capacity potential of 2,000 GW, and its energy sector demands renewal and decarbonisation. It further revealed that pro-investment policy coupled with renewable energy technologies could transform the industry and meet urgent social and economic needs. Sovereign wealth funds could also play a big part in driving the region’s renewable energy sector investment.
According to a 2023 World Bank report, despite West Africa’s potential renewable capacity, the region has one of the lowest electrification rates. Approximately 220 million people live without access to power, coupled with some of the highest electricity costs in sub-Saharan Africa. The report states that addressing this paradox is essential to unlocking social and economic growth in West Africa. This includes introducing ways to decouple market risks from regional risks, enabling major funding stakeholders to play a role in closing the energy access gap.
As the demand for energy services in Africa grows rapidly with rising population levels, addressing barriers to clean energy investment and promoting capital deployment across the continent is urgently needed. This will increase affordability and bridge the energy gap, stimulating economic growth.