Renewable energy powering electricity sector investment in sub-Saharan Africa

Renewable energy powering electricity sector investment in sub-Saharan Africa

Renewable energy projects, particularly utility-scale grid connected developments, are emerging as an investment bright spot and capacity growth out-performer in sub-Saharan Africa’s wider power market. This will continue over the coming years, underpinned by strong underlying demand for electricity, the lower-risk profile of renewable energy assets compared with conventional power infrastructure, and the continued implementation of government support mechanisms, namely procurement auctions. 

Egypt: Sisi’s power surplus

Egypt: Sisi’s power surplus

When Abdel Fattah El Sisi seized power in July 2013 Egypt was beset by chronic electricity shortages. Six years on, and total electricity generating capacity is nearly double the peak load. Much of the credit for this rests with the electricity minister, Mohammed Shaker, who was appointed in March 2014 before Sisi’s election as president, and with Sherif Ismail, who took over the petroleum ministry in July 2013 and set in place policies that stimulated a revival in the natural gas sector. However, the political dividends have accrued to Sisi, who can point to the turnaround in the energy sector as a notable achievement of his presidency – and as a justification for its extension.

Utility companies adapt to a low-carbon future

Utility companies adapt to a low-carbon future

Utility firms in developed markets will increasingly align corporate strategies with the trend of decarbonisation. The “utility of the future” will invest substantially in boosting renewable power generation, pursuing demand “behind the grid” and offering electric vehicle services. This strategy will bring them into greater competition with major oil and gas and tech firms.