IRENA: Here’s what it takes for Africa to achieve just energy transition

Africa has vast potential in renewable energy, and with the right investments and commitments, it can help lead a global energy revolution, leapfrogging to renewable technologies and improving lives through cleaner, safer energy for household use. CNBC Africa recently spoke to Francesco La Camera, Director General of the International Renewable Energy Agency (IRENA), about the role Africa can play within the global climate action movement. La Camera emphasized that while Africa is not a major contributor to climate change, it has the potential to become a significant player in the transition to clean energy. He highlighted several key points during the interview, shedding light on the opportunities and challenges that lie ahead for the continent. Africa's renewable energy capacity could potentially exceed its own demand by 2040, positioning the continent as a potential exporter of green energy. This abundance of renewable resources, coupled with the continent's rich natural reserves, creates a unique opportunity for Africa to contribute significantly to global efforts to limit global warming to 1.5 degrees Celsius, as outlined in the Paris Agreement. La Camera stressed the importance of overcoming barriers to accelerate the energy transition in Africa. He identified three main obstacles: access to energy, infrastructure development, and policy and legal frameworks. Access to energy remains a critical issue in Africa, with millions of people still lacking electricity. La Camera suggested leveraging off-grid renewable solutions to address this challenge. He also emphasized the need for robust infrastructure, such as interconnected and flexible grids, to support the transition to clean energy. Additionally, he highlighted the importance of creating favorable policies and regulatory environments to attract investments and ensure equitable distribution of benefits. Another key area of focus is building institutional capacity and developing professional skills to drive the energy transition forward. La Camera underscored the role of renewable energy in bridging Africa's energy deficit. With over 600 million people in Africa without access to electricity, renewable energy offers a sustainable solution to meet the continent's growing energy needs. He highlighted the potential of renewable energy sources, including green hydrogen, to play a transformative role in Africa's energy landscape. La Camera warned that failure to transition to clean energy could have adverse effects on Africa's economy, given the shifting global demand away from fossil fuels. Overcoming barriers to renewable energy adoption is crucial for Africa's sustainable development. La Camera emphasized the need for multilateral financial institutions to support infrastructure development and regional cooperation to address policy, legal, and capacity challenges. By unlocking Africa's renewable energy potential and accelerating the transition to clean energy, the continent can chart a sustainable path towards a greener future.