AfDB al­lo­cates Sh1.2 tril­lion for power sup­ply

The Star (Kenya) - - News Business -

AGATHA NGOTHO IN MOROCCO/ The African Devel­op­ment Bank has pledged to in­vest Sh1.2 tril­lion ($12 bil­lion) to ac­cel­er­ate elec­tric­ity sup­ply in Africa.

Bank’s pres­i­dent Dr Ak­in­wumi Adesina (pic­tured) has said the bank will lever­age be­tween $45-50 bil­lion from the pri­vate sec­tor, and will work with the African Union and other part­ners to fast-track elec­tric­ity ac­cess in the next 10 years.

He noted the lack of elec­tric­ity bogs down the con­ti­nent’s growth and devel­op­ment. “For decades, Africa has con­tin­ued to ex­port raw ma­te­ri­als. As it does, it is sub­ject to global com­mod­ity price shocks, as we are wit­ness­ing again. The rea­son why Africa ex­ports raw un­pro­cessed ma­te­ri­als is sim­ple: Africa does not have elec­tric­ity,” said Adesina dur­ing the African Sum­mit held in Marrakech, Morocco.

He said Africa must “power up” it­self to add value to what it pro­duces, speed up in­dus­tri­al­i­sa­tion and move to the top of global value chains. This, Adesina said, should start with un­lock­ing the huge amounts of en­ergy po­ten­tial on the con­ti­nent, in­clud­ing the vast po­ten­tials in re­new­able and non-re­new­able en­ergy.

AfDB was ap­proved as the Trustee for the Africa Re­new­able En­ergy Ini­tia­tive by AU. The ini­tia­tive seeks to un­lock Africa’s re­new­able en­ergy po­ten­tial to de­liver 10GW of elec­tric­ity by 2020, and 300GW by 2030. The ini­tia­tive was the ma­jor out­come for Africa in the Paris Agree­ment, where G7 coun­tries com­mit­ted to pro­vide $10 bil­lion to­wards the ini­tia­tive.

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