Africa’s Energy Transition Must Be Designed in Africa, for Africa

For too long, Africa’s role in the global energy transition has been shaped by outsiders who assume the continent will simply follow the same path as developed nations. But Africa’s realities—limited infrastructure, restricted access to finance, and little influence in global decision-making—demand a different approach. The truth is, Africa is already charting its own course, pursuing an energy transition that reflects local needs, priorities, and opportunities.

At the African Refiners & Distributors Association (ARDA), the vision is clear: Africa’s transition must be built around three goals—expanding access to reliable power, driving industrial growth, and safeguarding energy security. This requires policies, financing models, and partnerships that are tailor-made for African contexts, not copy-pasted from Europe or North America.

Across the continent, bold projects show what this looks like in practice. Angola is pushing ahead with a 35MW solar project as part of a 3GW renewable pipeline. Uganda’s Bujagali hydropower plant continues to anchor its grid, while South Africa is blending 316MW of solar power with 500MWh of battery storage to balance reliability with sustainability. These examples highlight Africa’s ability to leapfrog outdated models and integrate renewables with resilience right from the start.

But ambition alone is not enough. Three things will decide whether Africa’s transition succeeds: sustainable financing, regional integration, and stable policy frameworks. The African Development Bank estimates $100 billion a year is needed between 2020 and 2040—far beyond current flows. To bridge the gap, financing must blend public and private capital while reducing investor risks. Pairing renewables with storage will also be key, ensuring not just clean power but reliable supply for industries and households alike.

Integration is another game-changer. Many African grids are too small to attract big investment, but regional power pools and cross-border infrastructure can unlock economies of scale. Initiatives like AfSEM and AfCFTA already lay the groundwork—what’s needed now is political will and investment in transmission networks.

Equally, predictable policies matter. Investors are watching Africa closely, but uncertainty in regulations and permits raises costs and delays projects. Clear frameworks, incentives, and streamlined approvals can turn potential into progress. The countries that win will be those that provide a transparent environment where governments and businesses can collaborate with confidence.

Beyond cutting emissions, Africa’s transition must create local value. That means jobs, skills, and new industries like battery production and green hydrogen. Every megawatt should represent not just electricity, but economic opportunity. With smart planning, the transition can drive industrialisation, boost intra-African trade, and position the continent as a leader in clean technologies.

Of course, renewables won’t take over overnight. Transition fuels like natural gas will remain crucial to replace dirtier diesel and heavy fuel oil, especially in power generation and transport. Mozambique’s LNG projects show how natural gas can support industrialisation while buying time to scale renewables without compromising energy security.

Ultimately, Africa’s energy journey is also a global one. A successful transition will cut emissions, diversify global supply chains, and open new trade opportunities. But progress depends on international partners aligning climate finance with Africa’s realities, not imposing rigid models that don’t fit.

The investments made today will shape Africa’s economic and social trajectory for decades. By focusing on sustainable finance, regional cooperation, and stable policies, Africa can build a clean, reliable, and inclusive energy system. The real question is no longer whether Africa will transition—but how quickly, and how much support the world is ready to provide.