The future of power and energy in Africa is at a significant junction. African states and the power stakeholders operating within them realise that the impact of providing universal access to affordable energy will not only lead to accelerated economic development but significant social improvements. Yet, to achieve universal access executives have many strategic decisions ahead of them....

Natural gas resources in Tanzania and Mozambique have emerged as a new source of gas supply. While they are poised for export to global gas markets, they can also provide a key source of energy to the rest of Eastern Africa (defined in this paper to include Burundi, Ethiopia, Kenya, Malawi,Mozambique, Rwanda, South Africa, Tanzania, and Uganda), where millions of inhabitants are currently living without access to electricity and clean cooking. Natural gas could also potentially be a driver for industrialization and economic growth.

Sub-Saharan Africa (SSA) has a lower supply of electricity than any other region in the world, as shown by satellite images depicting the region’s relative lack of nighttime lights. Several studies have quantified this lack of electricity. For example, almost one billion people currently live without electricity, worldwide, of which approximately 600 million reside in SSA.Surveys of households in 22 SSA countries show that just one -third of the population uses electricity.

As set out in the first instalment, the GoE is committed to undertaking largescale reforms of its highly regulated energy market, in order to attract inward investment and meet its ambitious plans to improve its own transmission and distribution systems, and become a key energy exporter in sub-Saharan Africa. 

These reforms also seek to overcome the challenges highlighted in the first instalment, most notably an overreliance on hydropower and an unreliable electricity supply.

The global energy ecosystem is in the middle of a significant change. The industry is moving away from conventional large-scale infrastructure with a heavy reliance on fossil fuel-based generation, to focus on
clean sustainable energy and embracing the power of digital – or smart – technology.