Why Africa is on the brink of solar power revolution

In Kenya, distributed renewable energy (DRE) firms employ over six times more people than the country’s largest utility company. similarly, in Nigeria, these companies have generated nearly as many jobs as the entire oil and gas industry combined.

The cost of solar panels in South Africa fell by 15 per cent between 2019 and 2023, having already declined by almost 90 per cent in the 2010s. In the last two years, solar capacity in the country has almost tripled.

Industry estimates indicate that over 400 million Africans now receive electricity from solar home systems. From 2016 to 2020, more than ten times as many mini-grids, widely used solar-powered, were established compared to the previous five years.

“It’s a really good thing to do from a social perspective, because it’s going to drive development make those economies more attractive for their inhabitants, potentially reduce kind of outward migration pressures, contribute to low carbon development,” Dr Ajay Gambhir, a Senior Research Fellow at the Imperial College London Grantham Institute for Climate Change and the Environment, said.

Roadblocks

Although introducing solar power into Africa has a wealth of benefits, there are roadblocks to clear before its full potential can be realized.

“There’s a lot of risk in solar projects,” said Dr Gambhir. “There are a lot of people that want to develop solar in Africa, but there’s still a lot of poverty. The playing field needs to be leveled, and it’s very hard to do that in countries which are still very debt-laden and have a lot of social and economic problems.”

The World Bank believes that the most cost-effective way to get halfway to its 300 million target is by extending existing grids. But many parts of Africa lack reliable and extensive electricity grids, making it difficult to integrate solar power into the existing infrastructure.

South Africa averages at around 2,500 hours of sun each year, compared to the UK’s 1,500, but investments are falling short due to the country’s routing infrastructure. Rolling blackouts, commonly referred to as “load-shedding,” are a frequent occurrence.