An international report indicates that Africa will encounter a shortage of funds to deliver electricity

An international report indicates that Africa will encounter a shortage of funds to deliver electricity

The International Energy Agency has highlighted that Africa, home to one-fifth of the world’s population, is experiencing a deficit in funding to expand its electricity infrastructure.

According to the agency’s report on the 2023 World Energy Outlook, Africa must more than double its infrastructure investment by 2030 to ensure access to electricity, accommodate the increasing energy demand, and meet energy targets.

To ensure access to electricity and make clean energy available to all Africans, the report also indicated that an average of two hundred billion US dollars will be required annually starting from 2026.

The report anticipated that certain African nations will seek to fund their electricity infrastructure investment costs through proceeds from oil product exports or by securing loans. However, many countries are expected to face challenges in meeting these expenses.

According to the report, half of Africa’s 1.3 billion people, equivalent to 600 million individuals, lack access to electricity.

Africa’s electricity coverage stands at 43 percent, with Nigeria ranking first as 86 million of its citizens lack access to electricity. The Democratic Republic of Congo and Ethiopia follow as second and third, respectively.

The report highlights that despite the availability of natural resources in African countries for power generation, many nations face a significant challenge in harnessing their wealth into energy due to the lack of budget.

The report emphasized the necessity for countries to pay attention to and actively work towards addressing this issue.

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