The exploitation of Africa’s green energy transition

Renewable Energy (Envato)
(File photo: Jordan News)
Renewable Energy (Envato)

Joseph Dana, Syndication Bureau

The writer is the former senior editor of Exponential View, a weekly newsletter about technology and its impact on society. He was also the editor-in-chief of emerge85, a lab exploring change in emerging markets and its global impact. Syndication Bureau.

The state of Africa’s transition to renewable energy is anything but positive. While the continent is home to bountiful wind and solar potential, not to mention raw materials like cobalt needed to make green energy possible, progress toward a green energy future has been uneven at best.اضافة اعلان

South Africa, the continent’s most industrialized country, is a prime example of the dire state of green energy. The country of roughly 60 million is the world’s 13th biggest source of climate-warming greenhouse gases and gets more than 80 percent of its electricity from coal. Across the continent there is less reliance on coal and more on natural gas and hydropower. But overall, renewables usage remains well below the global average. As the latest round of international climate talks, known as COP27, just started in Egypt, it is time to take a hard look at how climate change will unevenly affect Africa and what anyone can do about it.

South Africa’s energy woes stem from its network of aging coal-fired power plants operated by the national electric utility, Eskom. After nearly a decade of mismanagement and corruption under former president Jacob Zuma, Eskom cannot keep the lights on. Power plants regularly break down resulting in rolling blackouts, known locally as load shedding. The energy shortage is taking a heavy toll on the economy as load shedding can mean several hours of no power each day.

President Cyril Ramaphosa has made the power crisis his government’s top priority but it has been tricky. South Africa has several laws designed to ensure that Eskom has a monopoly over energy production even though the country is blessed with ample wind and solar resources ideal for renewable energy projects. Ramaphosa has rolled back some of these provisions to enable private energy producers to create more energy. The city of Cape Town has taken the matter into its own hands and built hydroelectric energy solutions to manage the bite of load shedding. But these efforts are merely Band-Aids on the larger problem.

Ramaphosa is looking to foreign investors and governments for the capital needed to fund South Africa’s shift toward renewable energy. A study carried out by the Blended Finance Taskforce and Center for Sustainability Transitions at Stellenbosch University found that South Africa will need to spend $250 billion over the next 30 years to close down its coal-fired power plants and transition to green energy. The South African government is in the process of negotiating $8.5 billion in climate grants and concessional loans with wealthy nations. This transition and its financing was a major topic of discussion at the COP26 climate summit in Glasgow and will be on the agenda this week in Egypt.

As a bid to pressure governments into honoring their commitments, South Africa plans to use COP27 as a platform to call for deeper support of “just transitions” in Africa starting with energy transitions. According to Environment Minister Barbara Creecy, South Africa will advocate for the establishment of a people-centered Just Energy Transition Financing Framework. In comments to the South African press, Creecy argued that COP27 should be seen as an “implementation COP”, including by ensuring that the gap between climate finance pledges and actual flow is closed.
… South Africa will need to spend $250 billion over the next 30 years to close down its coal-fired power plants and transition to green energy.
“We need to rebuild trust between developed and developing countries by fulfilling commitments [and] we need clear commitments to supporting just transitions in developing countries,” she said.

More financing from the rest of the world will not fix South Africa’s energy problems alone. Internal corruption and gross mismanagement of resources are one reason the country is facing an existential energy crisis. However, the larger point about wealthier countries supporting just energy transitions in the emerging world is the right theme for COP27. There is a growing concern (and anger) that rich countries are continuing traditions of exploitation in Africa when it comes to energy transitions.

As the home to vital raw materials needed for green energy projects, African nations continue to see their resources shipped off to places like China and Europe with little care given to local needs. Moreover, Africa’s population is rapidly growing and urbanizing, which makes extreme weather events caused by climate change a major concern for authorities across the continent. Africa is one of the world’s least developed continents and produces roughly 4 percent of global greenhouse gas emissions. Yet, it will suffer disproportionately from climate change.

These challenges will be addressed during COP27. Undoubtedly, there will be grand promises and pledges made to African nations for help in funding green energy. It is unlikely, however, that these promises will be fully realized in the long term. At best, rich nations will pledge loan support to countries like South Africa in their green energy transitions, but such initiatives do not get to the root causes of the problem, nor do they protect future generations.

The sordid history of exploitation by outside forces continues in Africa under the guise of climate change and global green energy transitions. Setting the course for a greener future will need to factor this reality into future plans.


Joseph Dana is the former senior editor of Exponential View, a weekly newsletter about technology and its impact on society. He was also the editor-in-chief of emerge85, a lab exploring change in emerging markets and its global impact. Twitter: @ibnezra. Syndication Bureau.


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