…As AfDB calls for urgent action on electrification
By Seun Ibiyemi
The Federal Government, represented by Nigeria’s Minister for Finance and Coordinator of the Economy, Mr Wale Edun, has underscored the vital role of energy access in driving economic growth and sustainable development.
This message comes as the President and Chairman of the Board of Directors of the African Development Bank (AfDB), Dr Akinwumi Adesina, called for urgent action to address Africa’s electrification needs in order to foster the continent’s development.
Edun made these remarks during a panel discussion titled “Policies and Reforms for Transforming African Energy” at the ongoing Mission 300 Africa Energy Summit in Dar es Salaam, Tanzania, on Monday.
He emphasised that Africa must be aware of global risks such as conflict, trade wars, and misinformation, and that its nations must take charge of their energy futures.
“It is crucial that we are here. The President of Nigeria, the largest country in Africa, is present, as are other heads of state, all committed to this cause,” Edun said.
Echoing the words of prominent leaders, Edun referenced World Bank President Mr Ajay Banga’s statement that “electricity is a human right,” highlighting its essential role in human dignity and quality of life.
Describing energy as “the blood in the body,” AfDB’s Adesina pointed out that without energy, much of Africa’s development goals cannot be achieved.
Edun further explained that access to reliable energy is critical for economic growth and poverty alleviation, stressing that “without high access to energy, we cannot achieve high incomes.”
He also reiterated the need for Africa to rapidly grow its economies and lift people out of poverty, noting Nigeria’s leadership in driving the continent’s largest decentralised renewable energy (DRE) programme.
The Minister outlined Nigeria’s significant achievements in reforming its energy sector, attracting private investment, and bridging the electricity gap.
“We have partnered with the private sector, and since regulating the sector, we’ve established 150 mini-grids and connected one million solar panels. Our focus is ensuring profitability in energy provision, which is key to meeting demand,” Edun said.
He further emphasised the pivotal role of the private sector, along with multilateral development banks and philanthropic efforts, in the success of Africa’s energy transition. He drew a comparison to the mobile telephony sector, which was once a luxury but is now accessible to nearly everyone.
“A similar revolution must and can occur in the energy sector. Nigeria’s goal for 2030 is universal energy access and clean cooking, and we are leveraging cutting-edge technologies to make this a reality,” Edun explained.
He assured that energy provision in Nigeria is not only achievable but also profitable, stating, “Our ambition is clear, and we have the scale to make it work.”
The summit aims to bring together heads of state, international organisations, energy experts, and private sector leaders to develop strategies for achieving universal energy access.
Key outcomes from the summit include the Dar es Salaam Energy Declaration, which outlines commitments to reforms and actions essential for the success of Mission 300. It also includes country-specific action plans for 12 African nations, covering least-cost power expansion models, renewable energy solutions, and private sector involvement.
Mission 300’s objectives focus on building capacity through investments in generation, transmission, and distribution infrastructure to create affordable and sustainable electricity services. The initiative also prioritises deploying mini-grids and solar home systems to underserved regions and mobilising new financial resources to support the mission.
The Mission 300 aims to leverage Africa’s vast renewable energy potential, with costs of renewable technologies steadily declining.
During the summit, AfDB President Adesina called for urgent action on electrification to support Africa’s development, stating, “This continent loses three to four per cent of its GDP annually due to lack of electricity, and over 571 million Africans remain without access to power.”
He highlighted the need for collaboration across governments, the private sector, civil society, and development partners to address Africa’s energy crisis, emphasising that “this summit must be action-driven.”
Adesina urged African governments to lead by example by increasing investments in power generation, transmission, and distribution infrastructure. He also called for prioritising last-mile connectivity, reforming utilities, reducing technical and financial losses, and pursuing regional power-sharing agreements.
The Mission 300 initiative, a partnership between the AfDB, the World Bank, and other global stakeholders, aims to bring electricity to 300 million Africans by 2030. As part of this mission, energy compacts are being signed with 12 countries to ensure access for 145 million people.
Adesina stressed the importance of accountability, saying, “This is not a talking summit. It’s about delivering megawatts of power, not megawatts of talk.”
Acknowledging the critical role of the private sector in achieving energy goals, he called for a conducive regulatory environment to attract investment, noting that the cost of capital in Africa is significantly higher than in other regions.
Adesina reiterated the broader implications of electrification for economic growth, job creation, and human dignity, affirming that “electricity is a human right. It powers education, healthcare, digitisation, and economic opportunities. Without it, we cannot develop.”
He reaffirmed the AfDB’s commitment to the mission, urging all stakeholders to work together to ensure its success.
The summit also heard from Mr Ajay Banga, President of the World Bank Group, who highlighted progress made since the launch of Mission 300 in 2024, including regulatory reforms and geospatial mapping to streamline efforts. He also mentioned a $30 billion to $40 billion commitment by the bank to transform energy access across the continent.
Dr Rajiv Shah, President of the Rockefeller Foundation, commended the African-led approach of the summit, stating, “This effort must be African-led at every level.”
The summit, which aims to implement the Continental Master Plan and the African Single Electricity Market, expects participating countries to pledge reforms to promote low-cost power generation, regional energy integration, increased access to electricity, and private sector involvement.
The Mission 300 Africa Energy Summit is described as a landmark event, drawing over 1,000 participants from across Africa and beyond. The organisers view the summit as a crucial step towards achieving the goal of universal energy access, aiming to electrify 300 million people by 2030.
Though approximately 600 million people in Africa still lack access to electricity, representing 83% of the global energy deficit, organisers are optimistic that the convergence of stakeholders at this summit marks a positive step towards addressing this challenge.