Energy demand to rise as world recovers from COVID-19 pandemic

The world progressing towards a post COVID-19 era with increase in economic activities, the availability of covid-19 vaccines and rebound of industries and businesses, will give rise to an increase in demand for more energy, Funke Taylor, chief executive officer, The Energy Axis said.

Taylor said in an interview with Businessday in Lagos, that the world would need more energy to meet this demand, while for Africa, it is even more crucial, as energy should be on the front burner of policies, infrastructure development, funding and businesses.

According to her, Africa’s population is rapidly expanding and will likely double by 2050 with consequential demand for energy.

“Africans will need more energy to power homes, industries and fuel transport for a growing population with rising living standards,” she said.

“The continent will need all the energy available (fossil fuels and renewables) to accommodate this growth in demand. This is a matter of urgency because Africa is currently not meeting its energy demand.”

Quoting the IEA, she said at the current pace of things, by 2040 Africa would still be the home of 90 percent of those without access to electricity.

Africa is currently producing and consuming way less energy than needed. Nigeria for example despite its burgeoning population has about 50 percent of its population without access to power. The non-availability of constant electricity in Nigeria is crippling a lot of sectors in the country and negatively impacting the economy. This is the same for other African companies, especially in the Sub-saharan.

“It’s being said that Sub-saharan Africa (the region with the high population growth) desperately needs to ramp up industrialisation, but there is no successful industrialisation without electricity, so there is an urgent need to address this energy deficit, she said.

“The growth in economy and the development of Africa will require a growth in the energy industry, that would ride on the back of technology and innovation, therefore energy companies need to pivot and will be required to make bold choices; digitise and be competitive, Taylor stated

She called on Africa governments to make it a high priority to provide foundations for an attractive framework for investments in all forms of energy, especially in renewables that have so much potential.

“The need to sincerely and deliberately focus on energy efficiency systems, gas production, and have clear and consistent policy on cleaner sources on energy is critical and needs to be done urgently.

“There is even an opportunity for Africa to be the first continent to achieve some considerable industrial and economic growth with cleaner sources of energy compared to those ahead. How Africa will meet its burgeoning energy need is a critical issue, there is a need for an urgent energy intervention, and this cannot wait till the 2063 Africa agenda, Funke Taylor stated.