Nov 23, 2020 | News

Africa has the potential to make renewable energy the engine of its growth

In Rio in 1992, representatives of 172 countries met in Rio to define the basis for sustainable development and adopt a set of 27 principles on future development directions. Almost thirty years later, the state of the planet still causes great concern and despite some progress, the results are not enough. For the African continent, the stakes are twofold. While Africa is the region of the globe that contributes the least to greenhouse gas emissions, it is the first to be impacted by climate change. Indeed, the majority of climate models and IPCC have concluded that any temperature rise above 2 to 3 C will have negative effects on productivity in most parts of the world. Climate change impacts in Africa are in the food security and risk associated with agricultural production; lack of access to safe water and increased water stress; low adaptive capacity and high vulnerability to climate variability and natural disasters such as droughts and floods; negative health impacts, especially increased risk of malaria and Sea-level rise and its impact on low-lying coastal areas.

Without strong political will on the part of world leaders, the structural transformation needed to achieve the goal of a green economy is impossible. While for countries that have completed their industrialization, this transformation represents heavy expenditures and a profound change in their growth model, for Africa the challenges are different. The infrastructure deficit that many of our economies suffer from is proving to be an asset for directly making greener and more sustainable investments. Green industrialisation is a major opportunity for African countries to ‘leapfrog’ the fossil-fuel-based growth strategies of developed countries, African cities are facing an exponential increase in urban populations, 4% per year according to the UN[1]. For too long poorly planned, African urbanisation has led to the uncontrolled emergence of shantytowns where nearly 60% of urban Africans live in extreme poverty.[2] Today, faced with this situation, everyone agrees on the urgent need to make the transition to sustainable cities. For the industrialised countries, the colossal challenges facing them: conversion to clean energy, decongestion of roads, etc. are enormous. In Africa, there is no doubt that much remains to be done to provide city dwellers with efficient services, but by directly procuring low-carbon and climate-resilient infrastructure directly from the market, African cities can make urbanisation a catalyst for the structural transformation of the continent.

The challenge of access to energy has been recognized at the level of the United Nations and the African Union through the Sustainable Development Goals (SDGs). Goal 7 of the SDGs aims at achieving universal access to energy by 2030, while Agenda 2063 Goal 1, 7 and 10 has targets for an increase of 50% in electricity generation, 50% distribution and 70% of Africans having access to electricity by 2023. While an average of 56% of the continent’s population with no access to reliable energy supply, 633 million people lack access to electricity and 792 million people relied on traditional biomass as their primary energy source for cooking (IEA, 2016). Additionally, predicted trends in energy poor population are expected to rise unless radical transformation take place. It is also important to highlight that, the large portion of the population without electricity which are mainly rural, has high rate of poverty, as they are not able to utilize the benefits of modern energy to increase their productive capacity to generate income, and better their standard of living.

The exploitation of natural resources drives the growth of many African countries. Short-term gains from resource extraction are neither certain nor permanent. Moreover, dependence on a limited range of economic activities is detrimental. Algeria, Nigeria, and Angola have recently been hit hard by the oil price collapse caused by the Covid-19 pandemic. Powerless in the face of significant losses in their export revenues, governments have no choice but to make cuts in public spending or resort to debt. For this vulnerability to be reduced, the diversification of African economies must be at the heart of various national recovery strategies. This is the main condition for resilience. By investing massively in renewable energy production, Africa to leapfrog investments of renewable energy industry in order to manufacture renewable energy products using its vast mineral reserves and expanding universal energy access to the population to build low carbon and climate-resilient growth.

The green transition induces a sustainable and inclusive exploitation of natural resources. Agriculture, which represents a vital part of the majority of the economies of all African countries, has a major role to play in the transition to sustainable management of our resources. Faced with the challenges of food security and self-sufficiency, improving the productivity of our agricultural systems is imperative to be able to feed the 1.5 billion people who will live in Africa in 2050. However, this intensification must not lead to a decline in our forests, soil degradation and pressure on our water resources. On the contrary, it must promote the adaptability of production systems to climate change and the optimization of labour and land. Two objectives must be prioritised: modernising family farms, which represent 80% of all farms in sub-Saharan Africa, and absorbing the growing workforce. Today, accelerating innovation in agricultural technologies is helping to empower farmers to optimize yields while mitigating the effects of climate change. In the last three years, the number of farmers subscribing to digital agricultural services has increased by 40-45%[3]. This gives them access to a range of services developed by experts such as weather forecasts and agricultural advice. In 2018, AUDA-NEPAD participated in the publication of the report, "Drones on the horizon: Transforming Africa's Agriculture ". We come back to the "Third Eye Project" in Mozambique, where the intelligent use of UAVs allowed to increase the agricultural production of 2800 farmers by 41% while reducing the volume of water by 9%. Agritech Africa is full of innovative project leaders who, as in Mozambique, are eager to transform our agricultural systems. African youth are both better educated and more familiar with new technologies than previous generations. They therefore have a key role to play in integrating scientific and technological innovations into African agriculture. Nonetheless, in order to encourage the emergence of a new generation of well trained and sustainably integrated farmers, the quality and attractiveness of agricultural training offers must be improved. Only then will they be able to take ownership of the innovative solutions developed by agricultural experts and thus drive the development of a powerful African agriculture.

Because Africa is particularly vulnerable to the effects of climate change, it must anticipate these consequences and take the lead on green transition issues. While this requires significant financial and technological resources, improving human well-being and reducing the environmental risks that result from climate change is the priority. The old growth models have undoubtedly helped to initiate a first stage of African emergence, but we are collectively observing their limitations. In a context where governments are working to develop economic recovery plans, let us seize this opportunity collectively to invest more in value-added activities involving more efficient and sustainable management of natural resources. We are by far the continent best endowed with natural resources. Let us ensure, through sustainable resource management policies and stronger incentives for innovation in key sectors, that we set an example for green growth.

By Ibrahim Mayaki, CEO of African Union Development Agency (AUDA-NEPAD)

[1] https://www.un.org/africarenewal/fr/magazine/avril-2016/les-villes-africaines-de-demain

[2] https://www.financialafrik.com/2017/02/26/60-des-citadins-africains-vivent-dans-des-bidonvilles/

[3] http://www.fao.org/e-agriculture/blog/how-digital-technologies-can-help-africa’s-smallholder-farmers