Gearing up Africa’s energy transition by conducive policy and legislative frameworks

Abstract

The Economic Commission for Africa (ECA) emphasizes the need for supportive policies and robust regulations to enhance private investment in Africa's energy sector, which is crucial for addressing the continent's electricity access challenges. Despite Africa's rich renewable energy resources, including significant solar potential and critical minerals for green technologies, private sector investment remains low. Experts, including ECA's Yohannes Hailu, highlight three key regulatory areas to attract investment: market openness, attractiveness through economic incentives, and readiness in terms of permits and technical standards. The Continental Regulatory Framework and the ROAR planning tool are pivotal in guiding member states towards effective regulatory enhancements. The Italian government has also committed substantial funding to support energy projects in Africa, recognizing that energy infrastructure development is vital for the continent's economic growth and stability.