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Analysis of Africa's Energy Sector: Challenges and Opportunities

Exploring the status of Africa's energy sector, highlighting key challenges and opportunities for growth. Discusses public-private partnerships, local institutions, renewable energy, financing models, and the role of civil society in energy development.

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Analysis of Africa's Energy Sector: Challenges and Opportunities

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  1. African Energy Sector: Status Analysis and Main Challenges Monga MehlwanaEconomic Officer: Infrastructure & Natural Resources Development Section Regional Integration, Infrastructure & Trade Division

  2. Public-private partnership is: • Increased energy access to member countries esp. the poor in rural areas • Lowering of prices of energy services making them more affordable • Stimulate & develop markets for energy goods and services • Govt. institutions still need to play a lead role in ensuring equitable access to energy services • Private sector investments is not as easy – some pertinent conditions need to me – role of ECA & others to ensure these barriers are over come

  3. Key issues to be considered • Strengthening of local energy institutions • Cannot have weak public institutions • Municipalities & local govt. still play a critical role in energy service provision • Implementation of projects happen at the country level • Conventional electricity is not the only option • New and RE & EE systems low hanging fruit for PP – create a “culture of partnerships” • RE & EE systems are decentralised & easy access by the pvt sector – depending on enabling policies & legislation

  4. Key issues to be considered *cont* • Make it easy for the pvt sector to energy space – only a few countries in Africa have appropriate legislation • R&D capability at the local & national levels is key to sustainability • Improved systems of innovations – can be done at the regional scale • Energy R&D to address low technical capacity to develop and maintain local technology solutions • “Centre of competence” model supported by appropriate pvt sector institutions

  5. Key issues to be considered • Capacity enhancement • Different financing systems and models & “match-making” – also South-South partnership • Bankable project development & negotiations • Civil society needs to be integral part of PPP efforts • Local entrepreneurs to participate in partnerships • Opportunities provided by “green economy” should be known • Ongoing awareness raising programmes focusing on specific technologies and services they provide

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