Author: PPD Team Date: 17/01/2025
The World Bank and African Development Bank (AfDB) have outlined terms for African countries to secure $40bn in power finance under the Mission 300 programme. This initiative seeks to provide electricity access to 300 million Africans by 2030, Bloomberg reports.
Currently, sub-Saharan Africa’s electricity access ranges from 1% in South Sudan to 94% in South Africa, per the International Energy Agency. Mission 300 aims to connect half the population through grid-linked power projects, with the other half using off-grid technologies like solar mini-grids.
The programme will provide $30bn in funding from the banks, supplemented by $10bn from private institutions. The AfDB, committing $5bn, will work with other organizations to establish guarantees and mechanisms to reduce risks for private investors, AfDB energy director Wale Shonibare stated.
Franz Drees-Gross, World Bank director for infrastructure in Western and Central Africa, highlighted that 570 million of the 680 million people globally without electricity live in sub-Saharan Africa. He emphasized the need for politically challenging energy sector reforms to expand coverage.
Participating countries must implement regulations to attract private investment, use low-cost electricity (mainly renewable energy), run competitive tenders for power generation projects, and ensure utilities set tariffs that cover operating costs.
Thirteen countries, including Nigeria, the Democratic Republic of Congo, Chad, and Ivory Coast, will present their plans at the Mission 300 energy summit in Tanzania at the end of January 2025.
Source: Power Technology