Energy Transition in Africa

1. Energy revolution in Africa and its future potential in supplying energy to the world

Energy Transition in Africa 1 1 Introduction The transition to renewable energy is inevitable. Emerging trends have shown the growing need to use the resources we have in abundance, through clean technology, safe nuclear power, sustainably grown biofuels and the energy we harness from wind, water and the sun. Africa has tremendous untapped renewable energy resources – including hydro, solar, wind, biomass and geothermal – which could be used to produce a large share of the electricity that the continent needs. Each country holds great potential, as the resources are not exploited and used optimally. However, as shown in Map 1 on page 93, the energy resources are unevenly distributed and thus each country has potential in one way or another.1 As Africa has only 9,5 per cent of the world’s proven oil reserves and contributes 12 per cent to global oil production, the need to switch to renewable sources is great. Out of 54 countries only four are exporters of oil, whereas the majority are net energy importers. The renewable energy revolution in Africa could have substantial benefits to the issues of climate change solution and development policy, locally and globally: curbing problems associated with fossil fuels is now a worldwide priority. This chapter provides an overview of Africa’s energy production and supply evolution, the status of energy resources, and the role Africa plays in supplying energy to the world. It also describes the available technology in the production and supply of that energy. Energy revolution in Africa and its future potential in supplying energy to the world Kamelia Youssef and Shingirirai Mutanga 2 Energy Transition in Africa Energy Revolution in Africa and its future perspective in supplying energy to the world The International Energy Agency (IEA), under the auspices of the Organisation for Economic Co-operation and Development (OECD), stated in 1999 that ‘the world is currently in the early stages of a necessary inevitable transition to a sustainable energy system that will be largely dependent on other forms of energy, including renewable resources’.2 The following year, the ministers assembled at the G8 Summit in Okinawa Japan recognised for the first time the importance of a renewable energy supply. From the private sector, to governments, to multilateral assistance agencies, renewable energy is receiving increasing investment shares and attention. The great potential of Africa was embraced at the opening of the 25th France–Africa Summit in Nice, France in 2010, by French President Sarkozy, who stated that: ‘Africa is our future. The African continent is asserting itself more as a major player in international life.’3 Evolution of Africa’s Energy Statistics from 1973 to 2008 (2009) Primary energy production, supply and consumption in Africa have grown rapidly since 1973.4 As shown in Table 1.1 electricity generation increased by 468 per cent. Total primary energy supply (TPES) increased by 213 per cent.5 Hydro production increased by 246 per cent.6 The total final consumption using fuel increased by 178 per cent. Crude oil, hard coal and natural gas production increased by 65 per cent, 275 per cent and 1955 per cent, respectively. The TPES has increased from 207,9 Mtoe (approximately 3,4% of total world supply) in 1973 to 650,2 Mtoe (approximately 5,3% of total world supply) in 2008.7 Natural gas production has increased from 9,8 bcm (approximately 0,8% of total world production) in 1973 to 201,6 bcm (approximately 6,5% of the total world production) in 2009.8 Natural gas holds significance as a key substitute for oil products in residential, road transportation and industry usage, and power generation , having high efficiencies and lower environmental impact than oil. Status of Africa’s Energy Resources Africa is well endowed with fossil energy resources, with a high level of energy self-sufficiency, but these resources are unevenly distributed and concentrated in a few countries.10 In 2007, conventional liquids production was estimated at 10,5 million b/d (approximately 12,9% of the world total) and concentrated in North Africa and West Africa, with 38,1 per cent and 39,0 per cent, respectively,11 as shown in Table 1.2. Energy Transition in Africa 3 Kamelia Youssef and Shingirirai Mutanga Type Unit 1973 2008 2009 Percentage change from 1973 to 2008 (or 2009) Total primary energy supply Mtoe 207,910 650,151 213% Hydro production (including pumped storage) TWh 28...