Energy transition entails not just shifting from fossil fuels to cleaner sources such as solar, wind, hydropower, and biomass, but also adopting sustainable technologies and processes to support a low-carbon future. With its abundant renewable resources, Africa is uniquely positioned to play a key role energy transition globally. As population growth continues to drive energy demand, a major concern arises for Africa in its energy transition story.  Is Africa adopting renewable energy solutions rapidly enough to meet its increasing energy demand or will this growing demand still be met by fossil fuels? The answer will fundamentally define Africa’s future and its global role in the transition to low-carbon energy.

What is the current state of energy transition in Africa?

Governments, private corporations, and international organizations are all investing in renewable energy projects, ranging from large-scale solar and wind farms to decentralized off-grid solutions.  Off-grid solar solutions are rapidly expanding, providing clean energy to remote communities and addressing rural electrification challenges. The falling costs of solar technology has accelerated its adoption and made this growth more achievable. Solar power is proving to be relatively cheaper than alternative sources of electricity, providing a cost-saving incentive for households and businesses alike.

The overall renewable energy capacity in Africa is steadily rising. In 2024, the continent added about 4.2 GW of renewable energy capacity. This growth was driven by a mix of solar, wind, and hydropower. Wind capacity across Africa has jumped significantly over the last decade from 2.4 GW to over 10 GW. Hydropower remains a backbone of the clean‑energy mix. Sustained investment, technology transfer, and supportive policies will be crucial to accelerate Africa's renewable energy growth and economic progress.

Emerging renewable energy opportunities for Africa

Amidst challenges facing renewable energy growth in Africa, increasing focus towards these emerging renewable energy options would be a turning point in its energy transition journey.

Critical minerals: The global shift to clean energy depends heavily on critical minerals. Technologies such as solar panels, wind turbines, and electric vehicles require far more minerals than traditional energy systems. As renewable energy projects and EV adoption accelerate, global demand for these minerals is expected to rise significantly. Africa holds vast reserves of key minerals such as cobalt, copper, lithium, and Platinum Group Metals (PGMs). This places the continent at the heart of this transformation. Africa also has the strategic opportunity to generate far greater economic value by going beyond raw extraction and expanding into the processing and refining of these minerals.

Hydrogen: With abundant renewable resources and a strategic location, Africa is well placed to become a competitive producer and future exporter of low-carbon hydrogen and its derivatives. This offers long-term prospects for green industrialisation, job creation, and sustainable fertiliser production, especially as global demand for clean fuels accelerates. African countries such as South Africa, Mauritania, Djibouti and Namibia are already actively pursuing wind-powered green hydrogen production. Emerging regulations in Europe and Asia-Pacific on emissions and fuel blends create a unique opportunity for Africa to position itself as a major exporter of green hydrogen.

Emissions reduction in upstream oil and gas decarbonisation:  Africa’s upstream oil and gas sector faces high emissions intensity, with flaring accounting for nearly half of total upstream emissions in 2024. Capturing vented methane and monetising associated gas could deliver both environmental and economic benefits. However, regulatory hurdles, infrastructure gaps, and financing constraints continue to slow progress.

What is needed to scale Africa’s Energy Transition?

Scaling Africa’s energy transition requires increased investment in renewable infrastructure. Public-private partnerships, amongst other innovative funding models would help close the gap in renewable energy investment across the continent. Investment in infrastructure is needed not only for generation systems and technologies but also transmission infrastructure. Kenya’s recent agreement to invest $311 million in infrastructure and transmission lines exemplifies the need for modernised grids and strong transmission networks to enhance reliability and expanded energy access particularly as renewable energy capacity grows.

Regional cooperation to develop cross-border energy trade and harmonised policies will further accelerate progress in the continents energy transition. Such cooperation will help to ensure unity in policy formulation and a collective approach to reaching net-zero targets.

Finally, proactive measures such as incentivising clean energy adoption, capacity development and strengthening regulatory frameworks are critical to overcoming current challenges.

Africa is advancing its energy transition as evidenced by significant growth in renewable energy in recent years. Newly commissioned projects in 2025 such as Egypt’s 650 MW Red Sea Wind Energy Project, confirm that large utility-scale developments are expanding Africa’s renewables capacity.  On the other hand, smaller installations like Nigeria’s 50 kWp Namu Solar Mini-Grid are improving energy access and reducing rural poverty.

Africa’s commitment to clean energy is reflected in its mix of large-scale generation projects and low scale targeted distributed solutions. This balanced mix ensures equitable energy distribution over mere capacity expansion and lays the foundation for sustained development.

In 2025, Africa’s renewable energy landscape is characterized by substantial growth in renewable energy capacity particularly in solar and wind power. Strong policy initiatives, increasing investment commitments, and diverse financing structures are further supporting ongoing efforts to expand energy access across the continent.

Solar Power

Solar leads Africa’s energy transition due to the continent’s strong solar irradiation. Solar power is also the most affordable option, fastest to deploy and ideal for decentralised electrification. In June 2025, Africa recorded a 60% year-on-year increase in solar panel imports driven by countries like Algeria, Zambia, and Botswana. This amounts to 15 GW of solar capacity, which is almost equivalent to the continent's total installed solar capacity since 2000. The growth in Africa’s renewable energy sector is supported by rising investment in solar infrastructure, favourable policies and the increasing affordability of solar power. The sharp decline in solar panel prices has made it an accessible and attractive alternative to unreliable and costly power sources like diesel generators.

With its growing energy demand, the rise of solar power adoption in Africa could be pivotal for the continent in accelerating the growth of clean energy and increasing reliable access to electricity. African countries are already moving to create favourable solar policies such as net metering and reduced import tariffs to further accelerate the transition to renewable energy. The focus will now be on overcoming infrastructural and financial gaps to ensure that solar adoption is scalable across the continent.

Wind Energy

In addition to solar power, Africa is experiencing a significant expansion in wind energy especially in South Africa and Egypt. The year 2025 was marked by major capacity milestones, including the full commissioning of Egypt’s 650 MW Red Sea Wind Energy Farm and South Africa’s 420 MW Koruson 1 cluster becoming fully operational. Momentum continues with Enel Green Power starting construction on a 330 MW project in South Africa’s Eastern Cape and Egypt securing substantial financing for its flagship 1.1 GW Suez wind project. This growth is facilitated by efforts to develop local manufacturing capabilities and attract investment through blended finance and support from regional development banks.

Wind power capacity in Africa is positioned for further growth and North Africa is a primary growth area for wind power. The Sahara offers ideal conditions for large-scale wind farms due to its strong average wind speeds (8.4 m/s) and low density which helps reduce land-use and environmental conflicts. Morocco is currently in advanced talks with three major Emirati energy companies (Masdar, AMEA Power, and TAQA) regarding potential investments of up to $10 billion in large wind projects in the Sahara Desert. Furthermore, wind power capacity is set to grow further with the development of the hydrogen industry in Africa. Among the African countries actively pursuing wind-powered green hydrogen production by 2030 are South Africa, Mauritania, Djibouti and Namibia.

Biofuels

Bioethanol and biodiesel has been the major focus of biofuels development, with countries such as Ethiopia advancing sustainable production methods to reduce carbon emissions and boost rural economies. Notable projects include Ethiopia’s 23,000-hectare agricultural biorefinery designed to produce sustainable aviation fuel (SAF), bioethanol, and clean cooking fuels. Ghana is developing the Amaaba Bio-Refinery Complex, a $1.3 billion bamboo biomass refinery aimed at becoming Africa’s largest biofuel facility producing advanced biofuels and green chemicals. Additionally, Uganda launched a national biofuel blending program to reduce fossil fuel reliance while supporting local farmers and cleaner energy adoption.

Hydropower

Hydropower remains the largest contributor to renewable electricity supply in Africa today. Major projects in countries like Ethiopia (Grand Ethiopian Renaissance Dam), Nigeria (Zungeru and Kainji Hydro Power Plants), and Zambia (Kafue Gorge Lower Hydro Power Plant) contribute substantially to the grid. Hydropower projects account for around 70% of the continent’s total renewable electricity generation.

In recent years, several small to medium-scale projects were commissioned across East and West Africa, enhancing grid stability and energy access. Ethiopia’s Grand Ethiopian Renaissance Dam (GERD) remains a flagship project expanding hydropower capacity. The dam harnesses the Blue Nile’s water to deliver an installed capacity of 5,150 MW which is equivalent to three medium nuclear power plants.  The plant is intended to double Ethiopia’s national power generation and will also export surplus electricity to neighbouring countries like Sudan, Kenya, Djibouti, and Tanzania.

Net zero by 2050?

While Africa’s renewable energy capacity has grown in recent years, its reality still contracts sharply with the ambitious global net zero commitments. According to the IEA’s 2023 data on Africa’s total energy supply, fossil fuels account for about 56.8% of the continent’s energy mix while Biofuels and waste contribute nearly 40%. In comparison, hydropower represents only about 1.7% of total energy supply, while other renewables such as solar and wind contribute roughly 1.3% with nuclear power at 0.3%. Achieving net zero by 2050 will require acceleration in renewables investments. Renewable energy investments in Africa have risen significantly, reaching $40 billion in 2024 from $2.6 billion in 2021. However, Africa’s share of global renewable financing remains under 3% indicating a concerning renewable energy investment gap.

The Benban Solar Park, located in Egypt's Aswan Governorate, stands as the largest solar farm in Africa with a capacity of approximately 1.8 GW installed. The Benban Solar Park covers around 37 square kilometers, containing up to 41 solar power plants and over 32 million solar panels. Construction of this groundbreaking project commenced in 2017 and it was officially inaugurated in 2019.

The construction of the solar power plants at the Benban Solar Park attracted over $4 billion in investment from major international financial institutions, such as the International Finance Corporation, Africa Development Bank and the European Bank for Reconstruction and Development. The park is managed by Egypt's State-owned New and Renewable Energy Authority, which plays a key role in driving the country's renewable energy initiatives.

The Benban Solar Park represents a strategic initiative for Egypt, aligning with the government's Sustainable Energy Strategy 2035 which aims to increase the share of renewable energy to 42% by 2035. The park plays a crucial role in Egypt's renewable energy generation and will reduce carbon emissions by two million tonnes annually. The park supplies electricity to over one million homes and, at full capacity, is expected to generate 3.8 terawatt-hours of electricity annually.

The Benban Solar Park is poised to make a substantial and sustained contribution to the Egyptian economy. As reported by the African Development Bank (AfDB), approximately 20,000 jobs were created during the construction phase of the park and an additional 6,000 permanent positions were created through the companies overseeing the park. The park has facilitated the development of solar energy expertise within local communities, thereby enhancing their capacity to actively participate in and benefit from renewable energy projects.

As Africa strives to achieve the UN's Sustainable Development Goals (SDGs), the Benban Solar Park exemplifies a successful model for large-scale, sustainable clean energy production, in line with SDG 7. This project alongside the 1.1 GW Suez Wind Project, Abydos Solar Grid and other large-scale renewable energy projects, solidifies Egypt's position as a leader in renewable energy.

The African Development Bank (AfDB) has approved a $170 million loan to support the development of the 1.1 GW Suez Wind Project, which is currently Egypt’s largest wind energy project.

This project is a key component of Egypt's strategy to become a regional energy hub, with a target of achieving 42% renewable energy by 2030. The project involves the design, construction, operation, and maintenance of a greenfield wind farm across two 550 MW sites along the Gulf of Suez. The farm will produce 4,111 GWh annually, enough to power over one million households while reducing CO2 emissions by 1.71 million tons per year. The Egyptian Electricity Transmission Company (EETC) will be the sole off-taker under a 25-year take-or-pay Power Purchase Agreement (PPA).

The total cost of the project is estimated at $1.1 billion. The Bank’s financing is in addition to funding expected from a consortium composed of the leading and majority stake sponsor, ACWA Power, along with minority stakeholders HAU Energy BV, Oman Investment Authority, and The Sovereign Fund of Egypt.

Kevin Kariuki, Vice President for Power, Energy, Climate, and Green Growth at the African Development Bank, said: "The Suez Wind Project is a landmark development that underscores Egypt’s leadership in renewable energy and the Bank’s steadfast commitment to supporting transformative, clean energy projects across the continent. This project not only facilitates the Government of Egypt’s efforts to achieve 42 percent renewable energy in its energy mix by 2030 but also drives local economic growth and strengthens regional energy security.”

The Suez Wind Project aligns with the AfDB's Ten-Year Strategy, its New Deal on Energy for Africa, and its High 5 objective of "Light Up and Power Africa." The project not only contributes to sustainable energy development in Egypt but also serves as a model for large-scale renewable projects across the continent. This funding highlights the Bank's commitment to promoting sustainable, inclusive, and resilient energy development across Africa.

International energy company, Eni S.p.A, signed an agreement on November 28, 2024, with the Côte d'Ivoire's Ministry of Water and Forests to launch a project to protect and restore 14 forests across a total area of 155,000 hectares. This project aligns with Côte d'Ivoire's national development plans to tackle deforestation and reduce greenhouse gas emissions. For Eni, it represents a significant step towards achieving net-zero upstream emissions in the Baleine development.

Following a feasibility study launched in September 2022, Eni, in collaboration with local stakeholders, identified specific areas within the Lagunes and Comoé regions of Côte d'Ivoire for this project. Eni will take the lead in managing this initiative alongside Côte d'Ivoire's institutions, concentrating on two main aspects: forest preservation and restoration.

The first area of focus is the preservation of existing forests and biodiversity. This involves strengthening existing control measures to prevent deforestation, fires, and poaching and conducting extensive awareness and training programs for local communities and institutions. The second area focuses on forest restoration, with plans to plant 12 million native trees across 130,000 hectares of degraded land. Furthermore, the project will encourage agroforestry practices aimed at boosting agricultural productivity and improving the livelihoods of local farming communities.

Eni's involvement in this project highlights its commitment to sustainable development and its goal of achieving net-zero upstream emissions in the Baleine development. This partnership serves as a model for how corporations can collaborate with governments to address climate change and biodiversity loss while driving sustainable development.

As Africa and the global community confront an escalating waste crisis, individuals and companies are devising innovative strategies to mitigate waste pollution across various forms. This article spotlights five African organizations leveraging technology and sustainable practices to tackle the challenges of waste pollution, empower local communities, and stimulate economic growth. These organizations are converting waste into valuable resources, creating jobs,  and fostering a more sustainable future for the continent.

Eduplastics is a women-led social enterprise committed to fighting plastic pollution through innovative recycling solutions. By converting plastic waste into sustainable learning tools, EduPlastics empowers communities, supports education, and reduces pollution in underserved areas of Uganda. The organization has collected and recycled over 25,000 kilograms of plastic waste, creating 42,324 eco-friendly products ranging from educational tools to household items. Furthermore, EduPlastics actively supports refugee communities, equipping them with the skills and resources needed to transform waste into viable opportunities.

FREEE Recycle Limited is a waste recycling and rubber manufacturing company aimed at solving the problem of waste tyres by converting them into reusable rubber moulded products in Nigeria. The company produces eco-friendly products, from stylish footwear to durable everyday items including, rubber tiles, mats, and other sustainable goods. Formerly known as Freetown Waste Management Recycle Limited, the company has recycled over 660 metric tonnes of crumb rubber since its inception in 2018.

Green Africa Youth Organization (GAYO) is a youth-led, gender-balanced organization working to transform human lifestyles by promoting practices that substantially reduce greenhouse gas emissions and lessen the vulnerability of communities at risk of climate-related disasters. The organization focuses on critical areas such as climate change, circular economy, disaster risk reduction, sustainable agriculture, and renewable energy advocacy. Since its inception, GAYO has processed over 200 tonnes of plastic and planted over 20,000 trees, and it has a physical presence in Ghana, Uganda, and Botswana. In recognition of its impactful work, GAYO was among the five 2024 Earthshot Prize Winners awarded £1 million to accelerate its innovative environmental projects.

Re-Purpose recycling collects and sorts waste, working closely with recycling processors to convert each plastic stream into reusable materials.  With four material recovery facilities in South Africa and operating over 40 recyclables buy-back centers, Re-Purpose collects and diverts plastic scrap from landfills. In May 2024, Re-Purpose announced a strategic partnership with ALPLA Group, a leader in developing and producing plastic packaging solutions. The partnership aims to drive sustainable packaging solutions and innovation.

The WEEE Centre is recognized as one of Africa's largest ISO-certified players in the electronic waste (e-waste) management sector, dedicated to addressing the escalating global e-waste crisis. According to the UN's Global E-waste Monitor, the generation of electronic waste is increasing 5x faster than the rate of documented e-waste recycling. With less than 1% of e-waste formally recycled in Africa, the WEEE Centre serves a vital role by collecting, processing, and responsibly disposing of electronic waste. The disposed waste are tested and re-assembled into new products such as batteries and electric vehicle motors. The organization operates multiple collection points throughout Kenya, allowing individuals to deposit their old electronics. Since its inception, the WEEE Centre has managed over 10,000 tonnes of e-waste, significantly contributing to sustainable waste management in the region.

As Africa's population grows, the challenge of effective waste management becomes increasingly pressing. Existing waste management systems will likely encounter substantial challenges due to population growth, economic development, consumer behavior changes, and rural-to-urban migration. With recycling rates currently around 4%, there is a critical need to enhance waste recycling awareness and invest in sustainable waste management solutions. By fostering innovative companies and initiatives, African nations can mitigate waste pollution, conserve resources, and establish a cleaner, healthier environment for future generations.

The African Development Bank (AfDB) Group launched a Climate Action Window (CAW) Technical Assistance Facility during COP29 in Baku, Azerbaijan, to accelerate climate project development in 37 low-income African countries.

This initiative is coming a few days after Kevin Kariuki, Vice President of the African Development Bank Group for Power, Energy, Climate and Green Growth, urged for increased climate finance in Africa. He highlighted that the continent receives just 3 to 4% of global climate finance, although it is home to nine of the ten countries most vulnerable to climate change. Kariuki stated that the AfDB aims to increase Africa's access to global climate finance to 10% by 2030.

CAW aims to support climate adaptation and mitigation projects that align with global climate goals. With an initial allocation of $56 million supported by contributions from the UK, Netherlands, Germany, and Switzerland, the facility will support projects with grants ranging from $260,000 to $1.3 million per project. CAW will be mobilized as follows: 75% of resources will be allocated for adaptation projects, 15% for mitigation projects, and 10% for technical support. Governments, regional organizations, NGOs, and UN agencies can now submit proposals through the CAW online portal until February 5, 2025.

With a pipeline of 80 projects totaling $800 million already identified and 41 projects funded, CAW has demonstrated its potential to expand efforts in climate adaptation and mobilize co-financing from global climate funds like the Green Climate Fund (GCF) and the Global Environment Facility (GEF). Many African leaders have embraced this initiative, viewing it as a crucial step in tackling Africa's climate finance shortfall.

The Climate Investment Funds (CIF) Capital Markets Mechanism (CCMM) has announced the listing of its bond issuance program on the London Stock Exchange (LSE). The announcement was made on Tuesday, 12 November, 2024 at a session during the COP29 conference in Baku, Azerbaijan.

The listing is designed to mobilize private capital for clean energy projects in developing countries. With the World Bank acting as trustee, CCMM will issue investment-grade bonds to fund critical climate solutions such as solar and wind farms. CCMM is expected to leverage the power of capital markets to drive sustainable development and reduce greenhouse gas emissions.

CIF is a globally renowned climate fund working to scale climate solutions in developing countries. It comprises two funds: the Clean Technology Fund (CTF) and the Strategic Climate Fund (SCF). CIF has a proven track record of mobilizing over USD 12 billion in climate finance over the past 16 years to develop impactful projects that have benefited over 80 developing countries.

Tariye Gbadegesin, CEO of Climate Investment Funds, hailed the listing as a testament to innovation and cooperation in the addressing the effects of climate change. "CCMM will mobilize private capital at scale and direct it to high-impact clean energy and clean technology investments. While this is an ambitious step forward, it is rooted in a 16-year track record of being a first mover, working with national governments, the private sector, and frontline communities to pioneer cutting-edge clean technologies and solutions paving the way for greater ambition."

Following the listing of the bond issuance program, CCMM will pursue an inaugural bond issuance, subject to market conditions. CCMM is expected to attract diverse global investors and promote broad-based participation in climate financing. This innovative financial initiative marks a pivotal step in global climate funding, aiming to direct substantial private sector capital into impactful green infrastructure.

The World Bank Group and Partners has launched a new initiative to foster sustainable finance in Francophone Africa. The Sustainable Finance Knowledge Center is a virtual platform available in English and French, designed to empower financial institutions and businesses to integrate sustainability into their core operations. This initiative comes at a critical time, as Africa, despite contributing minimally to global warming, is disproportionately affected by climate change.

Africa is home to 17 of the 20 most vulnerable countries to climate change, with climate-related costs between 2% and 9% of national budgets. The Sahel region in Francophone Africa is particularly vulnerable, facing extreme weather, droughts, and rising sea levels. These climate-induced challenges threaten the region's economic growth, food security, and overall development.

The Knowledge Center addresses these pressing issues by providing essential tools, training, and resources to build a more sustainable future. It focuses on critical sectors like agriculture and water management, which are vital to the region's food security and economic resilience. By equipping local institutions with the necessary expertise, the Center empowers them to develop and implement effective climate strategies.

The initiative is a collaborative effort between the World Bank's Green Bond Technical Assistance Program (GB-TAP), the Compact with Africa Green Business Fund (CwA-GBF), the West African Development Bank (BOAD), the Luxembourg Stock Exchange, the Financial Markets Authority of the West African Monetary Union (AMF-UMOA), and the SME Finance Forum. This partnership leverages the collective expertise of these institutions to drive sustainable finance in Francophone Africa.

The launch of the Sustainable Finance Knowledge Center marks a significant step towards a greener and more resilient future for Francophone Africa. By fostering sustainable practices and promoting climate-friendly investments, the Center will help the region navigate the challenges of climate change and seize the opportunities for a sustainable economy.

Toyota Tsusho Corporation has signed a contract with the Beninese Electricity Production Company for the establishment of a 25 MW solar power plant to be located in the Pobè region of Benin, making it the first large-scale renewable energy power plant construction venture in West Africa by a Japanese entity.

Benin aims to enhance its electricity coverage with increased self-sufficiency and reduced reliance on electricity imports from neighboring countries. The country predominantly relies on thermal power generation facilities. In response to these challenges, Benin has formulated a national plan emphasizing renewable energy development, particularly solar photovoltaic power. The goal is to establish a total solar power generation capacity of 150 MW by 2026.

Positioned as a Japanese public-private partnership initiative, this ambitious solar power plant is set to serve as a reliable source of electricity at a reduced cost. Toyota Tsusho is committed to contributing to a decarbonized society and promoting green economic growth across Africa. The company envisions achieving these goals by creating and harnessing new renewable energy sources, ultimately striving to pass on a more environmentally sustainable world to future generations.

A seven-year negotiation for a $100 million investment in a power station in Zambia has been finally sealed during the visit of Zambian President Hakainde Hichilema to Israel.

The power station is a renewable energy project underway in Zambia. Upon completion, it will be capable of generating 71 megawatts of electricity from both solar and wind energy, giving it the capacity to provide a continuous 24/7 renewable energy supply. The combined plant solves a crucial challenge of solar energy storage, which today mostly relies on high-cost batteries that cause environmental damage. So, the wind picks up as the sun sets, enabling 24/7 power supply.

The project is a result of a combined effort between Israel’s Gigawatt Global and Gigawatt Wind. The company has already completed a grid impact studies, and according to Gigawatt Global president, Yosef Abramowitz, the company will move on-site to start full project implementation. The station is being built in Chibombo, a district in the Central Province of Zambia, about two hours from the nation’s capital.

ACWA Power, a global power developer, and Egypt's New and Renewable Energy Authority (NREA) have signed a Memorandum of Understanding (MoU) to develop a 10 GW wind power project in Egypt. The memorandum of understanding designates approximately 3,000 km2 of land near Sohag for the development of the project.

The 10 GW wind power project is crucial for Egypt. The country intends to use renewable energy sources to advance its electricity sector and wean itself off fossil fuels by 2035, gradually reducing its CO2 emissions and increasing the proportion of renewable energy in its energy matrix to 41%. This wind power project will play a crucial role in achieving this objective.

The wind power plant's impressive annual output of approximately 50,000 GWh of renewable energy is expected to provide electricity to approximately 11 million households. In addition, the project is estimated to reduce CO2 emissions by up to 25.5 million metric tonnes per year, contributing significantly to Egypt's efforts to combat climate change and promote sustainability.

In addition to its environmental benefits, this project also possesses enormous economic potential. Egypt is anticipated to save approximately $6.5 billion annually on natural gas costs due to the wind power facility. It will also generate substantial employment opportunities, including an estimated 45,000 direct jobs during construction and 75,000 indirect jobs. Furthermore, it is expected that approximately 2,500 positions will be created during the operation and maintenance phases of the solar plant.

With the MoU signed, ACWA Power and NREA have to collaborate on the project's design, construction, and operational aspects. As the project progresses, it will be crucial that all stakeholders involved are aligned to ensure that the essential parts of the development process leverage the latest technologies, best practices, and insights from other successful renewable energy projects worldwide.

Scatec, a Norwegian Independent Power Producer (IPP), has secured a non-recourse loan facility of $241 million from Standard Bank of South Africa, which is operating as mandated lead arranger for the development of its Grootfontein photovoltaic plants in South Africa's Western Cape province. These solar facilities will have a combined capacity of 273 MWp.

Scatec would provide the remaining $270 million in financing for the project. Scatec's contribution completes the financing necessary to finalise the concessions awarded under the 5th Renewable Energy Independent Power Producer Procurement Programme (REIPPPP) tender window. Scatec will retain a 51% stake in this project, while South African investment firm H1 Holdings and Grootfontein Local Community will hold 46.5% and 2.5% stakes, respectively.

The construction of the Grootfontein solar facilities is expected to commence in early 2024, with the projects' completion and commercial launch by 2025. This investment demonstrates Scatec's dedication to profitable growth and market expansion in sub-Saharan Africa, addressing the rising demand for renewable energy and supplying electricity to approximately 100,000 households in the region.

Once operational, the Grootfontein solar plants will support South Africa's renewable energy goals of clean and sustainable energy. Under the terms of a 20-year power purchase agreement (PPA), the electricity will be sold to the state-owned utility Eskom. This will result in an annual reduction of approximately 630,000 tonnes of CO2 emissions, enhancing the country's efforts to combat climate change and promote a sustainable future.

Nuru SASU, a solar company based in the Democratic Republic of Congo (DRC), whose aim is to provide connectivity to five million people by 2024, has secured $40 million in scale-up funding.

he funding for this project is provided by prominent equity investors who are leaders in the market. These investors include the International Finance Corporation (IFC), the Global Energy Alliance for People and Planet (GEAPP), the Renewable Energy Performance Platform (REPP), Proparco, E3 Capital, Voltalia, the Schmidt Family Foundation, the GAIA Impact Fund, and the Joseph Family Foundation. Additionally, IFC's equity investment is supported by the Finland-IFC Blended Finance for Climate Programme.

The allocated funds will be promptly utilized for three projects located in Goma, Kindu, and Bunia, with a cumulative capacity of 13.7 MWp. Notably, the Bunia site is expected to evolve into the largest off-grid solar hybrid metrogrid in sub-Saharan Africa. Moreover, the company foresees securing an additional $28 million in project finance before the end of the month. This anticipated funding will facilitate the expansion of the company's current operational assets and contribute significantly to the growth of the renewable energy market within the country.

Africa's transition away from CO2 emissions is progressing as African nations invest in renewable energy. The Angolan government has secured a EUR 1.29 billion ($1.40 billion) loan to build a photovoltaic electricity distribution infrastructure for several rural regions across the country.

Funded by the German Export Credit Agency Euler Hermes and the British bank Standard Chartered Plc (LON:STAN), the project will see the construction of 48 hybrid photovoltaic generation systems with energy storage that will serve as “mini grids” and operate autonomously to provide renewable electricity to approximately 203,000 households in 60 communities. In addition, it will facilitate the expansion of the national infrastructure in Malanje, Northern Angola, and the construction of new lines and networks connecting other municipalities.

The project is expected to have a positive impact on the economy. The construction and operation of photovoltaic generation systems will generate employment opportunities, contribute to the region's employment expansion and economic growth, and increase the efficiency and reliability of the national grid. In addition, the government hopes that this initiative will attract private investment in renewable energy, paving the way for additional sustainable development in Angola and the surrounding area.