Germany, US Allocate Funding for Renewable Energy in Africa

  • Germany pledges €40 million to the African Development Bank’s Sustainable Energy Fund to support renewable energy initiatives in Africa.
  • The United States commits $6.2 million to the Power Africa initiative, led by USAID, as part of efforts to promote low-carbon, climate-resilient development.

Germany has committed €40 million to the Sustainable Energy Fund for Africa (SEFA), a specialised multi-donor fund managed by the African Development Bank (AfDB). Bärbel Kofler, Parliamentary State Secretary at the German Federal Ministry for Economic Cooperation and Development (BMZ), emphasised that the AfDB’s SEFA demonstrates its dedication to capitalising on opportunities presented by the transition to sustainable energy and the expansion of renewable energy sources.

In a separate contribution, the United States is pledging $6.2 million as part of the Power Africa initiative, led by the United States Agency for International Development (USAID). David Thompson, who coordinates this initiative initiated by former US President Obama in 2013, highlighted the urgency of addressing the climate crisis by promoting low-carbon, climate-resilient development through clean energy solutions that positively impact people’s lives throughout Africa.

SEFA’s focus in Africa revolves around sustainable development through renewable energy. Notably, SEFA is supporting the Desert to Power program, an AFDB initiative aimed at expediting the adoption of solar energy in the Sahel region. This initiative encompasses activities such as strengthening the transmission grid, implementing off-grid solutions, enhancing the business environment, and revitalising national electricity utilities.

The overarching goal of the Desert to Power program, spanning 11 African countries (Burkina Faso, Chad, Ethiopia, Eritrea, Djibouti, Mali, Mauritania, Niger, Nigeria, Senegal, and Sudan), is to provide solar energy access to 250 million Sahel residents. Additionally, the AFDB aspires to transform the Sahel into the world’s largest solar energy production zone, boasting an installed capacity of 10,000 MW. SEFA benefits from financial support from Germany, the United States and the United Kingdom, Norway, Italy, Spain, Sweden, the Nordic Development Fund (NDF), and the Global Energy Alliance for People and Planet (GEAPP).

Leave a Reply

Your email address will not be published. Required fields are marked *