Latest news with #AfricaEnergySummit
Yahoo
14-05-2025
- Business
- Yahoo
Ghana to reduce $2.5bn debt to power producers by year end
Ghana's Government has announced its intention to significantly reduce the country's $2.5bn (31.27bn cedis) debt owed to independent power producers and gas suppliers by the end of the year, according to a Reuters report. President John Dramani Mahama expressed confidence in addressing the financial challenges facing the power sector during a forum in Ivory Coast. Last year, Ghana reached a restructuring agreement with independent power producers to manage approximately $1bn of legacy debt. Despite this, the nation's arrears have continued to impact the economy, particularly since President Mahama began his second term in January. President Mahama acknowledged inefficiencies within the state-owned utility, Electricity Company of Ghana (ECG), which faces a revenue collection loss of around 40%. To improve the situation, he announced plans to involve the private sector in the billing process. Mahama was quoted as saying: 'People are queuing up, I said they should wait. We are going to do expressions of interest,' indicating a cautious approach to selecting private partners for this initiative. The cabinet is yet to decide on the structure of this partnership, which may involve one or multiple entities, with an emphasis on local participation. President Mahama also encouraged companies to expedite oil and gas extraction, citing the global energy transition. 'Oil is in transition and so everybody who has any assets should be pumping like there is no tomorrow... I would lay a red carpet to anybody who wants to drill and pump oil to do so,' he added. In related news, the Mission 300 initiative, which aims to electrify 300 million Africans by 2030, secured more than $8bn in new funding commitments during the Africa Energy Summit in Dar es Salaam, Tanzania. "Ghana to reduce $2.5bn debt to power producers by year end" was originally created and published by Power Technology, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Zawya
24-04-2025
- Business
- Zawya
As far as Africa is concerned World Bank/IMF Spring Meetings are tone-deaf
As the World Bank and International Monetary Fund host the Spring Meetings in Washington this week, Africa's development priorities hang in the balance. With no high-level discussions on climate or gender — issues that are central to the continent's growth and resilience — the agenda seems increasingly disconnected from the systemic challenges facing African nations. Instead, the focus remains on "Jobs and Macroeconomics," a framing that recalls the failed structural adjustment programmes (SAPs) of the 1980s and 90s. Under the guise of growth and stability, these policies imposed austerity, deregulation and fiscal cuts that decimated public services, deepened inequality and burdened Africa with unsustainable debt. The current direction threatens to repeat this damaging legacy, while the institutions responsible for financing fossil fuel expansion and undermining climate resilience evade accountability. In this context, Mission 300, launched at the Africa Energy Summit in Dar es Salaam in January, stands as a critical initiative. Led by the World Bank, African Development Bank (AfDB), African Union, and the government of Tanzania, Mission 300 aims to provide electricity to 300 million people across Africa by 2030. But ambition without justice is not progress. And promises without integrity are not solutions. The truth is, Mission 300 risks becoming just another top-down, donor-driven project that fails to answer the fundamental question: whose development, on whose terms, and at what cost?In line with this year's Spring Meetings' theme "Jobs and Macroeconomics,' we must critically assess whether Mission 300 will create clean, sustainable jobs that benefit communities across Africa. Will it empower young people in rural Kenya or women in informal settlements in Ghana — or will they be concentrated in urban industrial corridors and foreign contractor payrolls?According to the International Renewable Energy Agency (Irena), Africa accounts for only 3 percent of global renewable energy jobs, despite its vast potential and growing population. If Mission 300 is to reverse this trend, it must move beyond megaprojects and pipelines, and instead prioritise community-led, decentralised energy systems that generate not just electricity but equitable, decent work rooted in local contexts. Yet, early indications are troubling. The inclusion of fossil gas as a transitional energy source — backed by the World Bank and reflected in Senegal's National Energy Compact — is a signal that the same polluting industries responsible for destabilising our climate are being rebranded as part of the solution. Natural gas may offer short-term job spikes during construction, but these are neither green nor future-proof jobs. Moreover, the International Energy Agency has made it clear that no new oil and gas fields are compatible with net-zero by 2050. The financing model raises equally serious concerns. Much of the funding promised under Mission 300 comes in the form of concessional loans. Even at a one percent interest rate over 40 years, this is debt — and for a continent where 40 countries face rising debt levels, and at least 19 are at high risk of debt distress, adding more liabilities to public balance sheets to fund fossil-dependent infrastructure is not development — it is exploitation. African nations sink deeper into debt crisis. Their external debt has reached a staggering $11.4 trillion in 2023. According to a report by Christian Aid, across Africa, 32 countries now spend more on debt than healthcare, with $85 billion paid to external creditors in 2023, projected to increase to $104 billion in 2024. As debt burdens grow heavier across the continent, the wave of billion-dollar pledges and commitments deserves careful attention. The Africa Energy Summit generated headlines with pledges of over $5 billion from donors like the Rockefeller Foundation, AIIB, and Islamic Development Bank, but bigger numbers don't always mean better outcomes. With over $50 billion now committed to Mission 300, including $48 billion from the AfDB and World Bank by 2030, there is still no public guarantee of how these funds will be deployed. This lack of transparency and the sidelining of critical climate concerns only amplifies the deeper contradictions within the World Bank/IMF policies and deeply alarms African civil society and vulnerable communities in Africa. The World Bank committed at the 2023 Annual Meetings in Marrakech to a new mission: A liveable planet, in addition to poverty eradication. This new vision is now marginalised possibly due to fears of withdrawal by the Trump administration, revealing a major contradiction. Regarding climate finance, Bretton Woods institutions must strengthen their climate financing capacities, particularly in ways that don't create additional barriers for developing countries. The September 2024 report on MDB's Joint Report on climate finance shows that MDBs contributed a record $125 billion in 2023. But these funds often come in the form of debt and non-concessional finance, which limits the fiscal space of developing countries already struggling with climate impacts and high debt levels. There is an urgent need to significantly increase grant-based and highly concessional finance within their portfolios. Gender has also been sidelined in World Bank discussions for far too long. Despite the Bank's ambitious Gender Strategy for 2024-30, which promises to prioritise gender equality in global development, the reality remains far removed from these claims. Women's needs, particularly in vital sectors like energy access, continue to be neglected. Nearly 900 million people in Africa still rely on harmful biomass for cooking, and the burden falls disproportionately on women. This is not merely a climate or environmental issue— it's a health crisis, a significant economic vulnerability, and an unaddressed inequality. Reliance on polluting fuels costs $791.4 billion annually, with health-related impacts accounting for $526.3 billion. The Spring Meetings must be seized as a turning point. While the hopes may be tempered by the complexities and challenges ahead, giving up is worse. Expectations are low, given the history of unfulfilled promises and empty rhetoric. Yet, this moment presents a critical opportunity for African leaders to reject outdated models of debt-driven growth, fossil-fuelled development, and gender-blind planning. Dr Wafa Misrar is the Campaign and Policy Officer at CAN Africa, and Said Skounti is a researcher at IMAL Initiative. © Copyright 2022 Nation Media Group. All Rights Reserved. Provided by SyndiGate Media Inc. (
Reuters
06-03-2025
- Business
- Reuters
Tanzania says to launch oil exploration licensing round in May
Companies Show more companies DAR ES SALAAM, March 6 (Reuters) - Tanzania said on Thursday it will launch its fifth oil and gas licensing round in May in which 26 exploration blocks will be put to auction to help draw fresh investment in the east African country's hydrocarbons sector. Of the blocks on offer, 23 are offshore in the Indian Ocean while three are also offshore but in Lake Tanganyika, Charles Sangweni, director general for the country's Petroleum Upstream Regulatory Authority (PURA) told Reuters. It will be Tanzania's first oil and gas licensing round in more than a decade. Past exploration led to the discovery of more than 57 trillion cubic feet of natural gas reserves that the country is now using to generate more than half of its electricity. Sangweni said they are targeting to launch the exploration round during an Africa energy summit in London in May. "This kind of activity (launching licensing round) is required to be conducted in major conferences which attracts major investors of the oil and gas sector," he said. "The nearest conference we are targeting for that activity is the Africa Energy Summit that will be held in May in London." Tanzania's President Samia Suluhu Hassan's administration is expected to conclude negotiations on a stalled $42 billion LNG project with investors by June. Equinor ( opens new tab and Shell (SHEL.L), opens new tab are joint operators of the country's mega gas project, while Exxon Mobil (XOM.N), opens new tab, Pavilion Energy, Medco Energi ( opens new tab, and Tanzania's national oil company TPDC are partners. Get a look at the day ahead in U.S. and global markets with the Morning Bid U.S. newsletter. Sign up here.
Russia Today
29-01-2025
- Business
- Russia Today
Africa commits to electricity plan for 300 million people
African leaders have pledged to provide electricity to 300 million people across the continent by 2030. The ambitious target was formalized in the Dar es Salaam Energy Declaration, adopted on Monday during the Africa Energy Summit in Tanzania. The summit, held under the theme 'Powering Africa for Reliable, Affordable, Inclusive, Sustainable, and Clean Energy for All', brought together heads of state and key stakeholders to address the continent's persistent energy crisis. The initiative, known as 'Mission 300', was launched in April by the World Bank and the African Development Bank (AfDB) as part of efforts to accelerate electrification. Reading the declaration, AfDB Secretary-General Vincent Nmehielle emphasized the critical need for immediate action. To support the initiative, the AfDB has committed $18.2 billion, while the World Bank has pledged $22 billion. Other commitments include $2.65 billion from the Islamic Development Bank, $1.5 billion from the Asian Infrastructure Investment Bank, $1 billion from the OPEC Fund. READ MORE: Can Africa seize control of its own energy? Several nations, including Nigeria, Senegal, Zambia, and Tanzania, have pledged to implement reforms in their electricity sectors, increase national electrification targets, and accelerate the integration of renewable energy sources. World Bank President Ajay Banga made it clear that the organization's financial support would be conditional on countries implementing necessary regulatory and policy reforms. 'The World Bank will pay countries as part of our support only when they make the changes,' he said. According to projections by the World Bank and the AfDB, half of the new electricity connections will come from existing national grids, while the other half will rely on renewable energy solutions such as wind and solar mini-grids. The UN Sustainable Development Group reported that approximately 600 million Africans – nearly half the continent's population – still lack reliable access to electricity, accounting for over 80% of the global electricity access gap. Nations such as Burundi and South Sudan continue to have some of the lowest electricity access rates, according to 2022 data. READ MORE: Apple faces 'blood minerals' probe
Zawya
28-01-2025
- Business
- Zawya
Mission 300 Africa Energy Summit: Continent to connect 300 million to electricity by 2030 in new ambitious and collaborative initiative
African Development Bank ( and World Bank in unprecedented collaboration to transform Africa's Energy Access Strong emphasis on clean cooking solutions to avoid 600,000 deaths annually due to smoke exposure Connecting 300 million Africans to electricity within the next five years is within reach through collaborative effort and commitment to implementation, participants at the Africa Energy Summit in Dar es Salaam, Tanzania, heard on Monday. The summit is organized by the Government of Tanzania and Mission 300, an unprecedented collaboration between the African Development Bank Group, the World Bank Group and global partners to address Africa's electricity access gap using new technology and innovative financing. Nearly 600 million Africans lack electricity, a critical resource for economic development and job creation. Speaking during the first panel discussion of the opening day of the two-day Summit, African Development Bank President Dr. Akinwumi Adesina set the summit's tone of action and implementation, emphasizing practical solutions to achieve the ambitious goal, from regulatory reforms to private sector engagement. He called for active involvement from a wide range of stakeholders, including bilateral and multilateral institutions, private sector entities, civil society organizations, and foundations. 'This is mission critical… Our mission here is to say we need everybody… It's not about us, it's about those who are not here, and we must listen and hear and make sure this is an action-driven summit… We can't do Mickey Mouse business... We can't have a situation where Africa does not have enough electricity,' Adesina told the audience, which included several African energy ministers, international development partners and private sector titans, civil society organizations, and foundations, attending the first day of the summit. The second day of the summit will see the participation of several heads of state from across Africa, who will join more than 1,500 other participants. Together they will chart Africa's course toward universal access to energy. 'We have a clear path to reaching these 300 million people,' Dr. Adesina stressed, distinguishing the initiative from previous efforts. He emphasized that the program seeks to transform Africa's vast potential into reality through comprehensive electrification. 'With power, Africa will not just meet expectations but exceed them, becoming a competitive and prosperous continent,' he added. Mission 300 will incorporate robust accountability measures, including country-specific monitoring and evaluation systems and the Africa Energy Regulatory Index to track progress. 'This is all about accountability, transparency, and delivery while letting Africa develop with pride,' Adesina stated. Adesina highlighted the devastating toll of traditional cooking methods based on firewood and charcoal, resulting in the death of 600,000 women and children annually due to smoke exposure. The crisis extends beyond energy access, affecting environmental sustainability through deforestation and biodiversity loss. 'It's not just about energy transition,' Adesina said. 'This is about dignity. Africa must develop with dignity and pride, and access to clean cooking solutions is fundamental to achieving this goal.' He praised Tanzania for developing a comprehensive national strategy to address this issue. World Bank Group President Ajay Banga expressed optimism about the initiative, saying its ambitious objectives are achievable through hard work, particularly in ensuring a conducive environment for the private sector to participate. He emphasized the need for predictability of currencies, regulatory frameworks and land acquisition to incentivize investments supporting Mission 300. In his remarks, Rajiv Shah, President of The Rockefeller Foundation, called global philanthropists to support the initiative. 'Please join us in getting behind the ideas of this initiative and the country compacts that the leaders will be signing. What is at stake is the future of African economies, the future of African young people, and the future of our world,' he said, adding that his foundation was committing $65 million to the program. Speaking after the fireside chat, United Nations Deputy Secretary-General Amina Mohammed emphasized that energy access is not merely about power delivery, but about what that power will connect and enable. 'It is important that we see food systems at the helm of all of this, and that they are powered by the energy that you will connect,' she stated. Mohammed explained how energy connectivity would catalyze transformative change in rural communities, particularly for women and youth, through access to digital financial services, online education, and e-commerce opportunities. However, she stressed that realizing these ambitions would require significant financial engineering and private sector engagement. 'The private sector's got to lean in and it won't lean in if the message is that your finance environment is not conducive to us,' she noted, calling for reforms in credit rating systems and financial architecture. 'When you want to put together the financing for energy it is not easy and it requires many people at the table in parallel with what we are doing, the policy and the regulation, designing these pipelines and getting the money ready.' The summit is expected to yield two significant outcomes: the Dar es Salaam Energy Declaration, outlining commitments and practical actions from African governments to reform the energy sector, and the first set of National Energy Compacts, which will serve as blueprints with country-specific targets and timelines for implementation of critical reforms. Distributed by APO Group on behalf of African Development Bank Group (AfDB).
