The European Business Council for Africa

The European Union and United States of America agreed today to increase their collaboration to boost sustainable energy in Sub-Saharan Africa, by unlocking more of the continent's abundant renewable power generation potential and improving local access to affordable green energy. Commissioner for International Partnerships, Jutta Urpilainen, and USAID Administrator Samantha Power signed in Washington a renewed Memorandum of Understanding on closer EU–US cooperation that will allow joint promotion of projects such as the African Continental Power System Masterplan.

Commissioner for International Partnerships, Jutta Urpilainen, said: “Under Global Gateway, we are boosting our cooperation with the US administration to build the strategic autonomy of our African partners, including by unlocking more opportunities to ensure affordable, reliable and sustainable energy. Together, we can electrify even more schools and health centres, and fight even more efficiently the inequalities linked to energy poverty in Sub-Saharan Africa.”

Increasing production and access to sustainable energy in Africa

The closer EU–US cooperation aims at supporting a just and green energy transition, reducing energy poverty, and increasing access to affordable, reliable and modern energy for all in Sub-Saharan Africa. By working together towards these common goals with their respective strengths, expertise and resources, the EU and US hope to boost their impact in increasing sustainable energy availability and access in Africa as part of poverty reduction, fostering inclusive and sustainable economic growth, and mitigating climate change.

The EU and US intend to coordinate efforts supporting projects in Sub-Saharan Africa at regional and national level in the following areas:

  • Small-scale and off-grid power generation to increase access to renewable energy, including the electrification of health facilities and schools, women and youth-led businesses, and rural households.
  • Energy storage, energy efficiency, and transmission line development.
  • Empowering women in the power sector.
  • Policy dialogue and regulatory reforms to improve the enabling environment, and institutional investments to leverage new sources of capital and drive investment.
  • Knowledge sharing to maximise mutual technical assistance and the progress of reforms and capacity building activities.
  • Specific flagship projects to further mobilise public resources and leverage private sector investments.

Background

Nearly two out of three people in Sub-Saharan Africa do not have access to electricity, a serious limitation to accessing quality health care, education, and economic opportunities for up to 600 million people.

Under Global Gateway, the Africa–EU Green Energy Initiative aims to support Africa's green transition in the energy sector by supporting the deployment of renewable energy generation, ensuring access to affordable and reliable energy, promoting energy efficiency, and supporting market integration and sector reforms. The EU supports Africa's ambition by 2030 to increase the renewable energy generation capacity on the continent by at least 300,000 megawatts.

The first EU–US Memorandum of Understanding on cooperation on energy availability and access in Sub-Saharan Africa was signed in 2015. Coordinated by USAID, the Power Africa Presidential Initiative aims to leverage private and public sector partnerships to double access to electricity in Sub-Saharan Africa, adding at least 30,000 megawatts of new, cleaner electrical power generation capacity, 60 million electrical connections, and 5 000 kilometres of new transmission lines by 2030.

The European Union and United States of America are working together in the G7 context of the Partnership for Global Infrastructure and Investments (PGII).

Source: https://ec.europa.eu/commission/presscorner/detail/en/ip_22_6083