G7+ calls for energy investments in fragile countries

The Council on State Fragility has called on wealthier nations to invest in the power sector of fragile countries. In a recent report released by the council, it was noted that there has been a failure to mobilize sufficient investment to close energy access gaps in many fragile settings, resulting in these gaps widening. Francis Mustapha Kai-Kai, Chair of the G7+ Group on Fragile States and the Minister of Planning and Economic Development of Sierra Leone, highlighted the importance of addressing the energy challenges faced by these countries in a recent interview on CNBC Africa. Kai-Kai emphasized that energy access is a critical constraint on development in many fragile states. While various factors affect development, he stressed that investments in energy are essential for these countries to make significant progress. The lack of electrification in rural areas has had adverse effects on sectors such as education, healthcare, and agriculture, leaving many people behind. To bridge this gap, Kai-Kai called for increased investments in renewable energy, particularly in mini-grid technology that is becoming more cost-effective over time. The Minister discussed the importance of devising finance models that attract private capital, citing public-private partnerships as a viable option. By involving both sectors in energy investments, there is a stronger chance of seeing value for money and sustainable development. Kai-Kai highlighted the potential for partnership with smaller investors and development partners to electrify rural communities and provide affordable and transformative energy solutions. In terms of incentivizing these investments, Kai-Kai emphasized the need for strong government leadership to create an enabling environment for potential partners. He underscored the importance of government guarantees to attract private sector investments and stressed the role of donor coordination in mobilizing resources for energy projects in fragile countries. When it comes to driving these investments forward, Kai-Kai believes that governments must take the lead in facilitating partnerships and ensuring the successful implementation of energy projects. By working closely with development partners, philanthropic organizations, and the private sector, governments can play a pivotal role in de-risking investments and catalyzing sustainable development in fragile countries. The call for increased energy investments in fragile countries is not only crucial for addressing energy access gaps but also for unlocking the economic potential of these nations. As governments and stakeholders collaborate to drive investment in the power sector, there is a real opportunity to accelerate development, improve livelihoods, and create a more sustainable future for fragile states.