A continent rich with minerals and natural resources, Africa is becoming the focal point of many businesses, particularly those in the energy industry. Over the next month Alternative Energy Africa will begin to explore some of the latest trends in the continent’s energy sector.
Frost & Sullivan released a statement saying: “Africa is at the brink of a green energy revolution – or is it really?” The consultancy said that green technology may not always be the best solution for a developing economy, so countries need to decide what’s best: going green or seeking a least costly solution.
First of all, the main hurdle that should be tackled is expanding the grid. While that is not going to happen overnight, there are other solutions in the meantime. It’s estimated that less than 20% of the continent has access to electricity so until the grid is extended, a more concentrated focus on off-grid technology should remain high on the priority lists of not only African governments, but also renewable energy manufacturers. So why choose between conventional energy techniques and renewable?
Travel down to southern Africa and check out Namibia’s largest off-grid settlement: Tsumkwe. The closest electricity grid access point is over 270 km away and according to the country’s national rural electricity distribution master plan, there are no plans for grid connectivity anytime in the near future. Tsumkwe is strategically well placed to cater for Namibia’s flourishing tourism industry, but the lack of access to a reliable supply of electricity constraints development. So what did this area do?
Tsumkwe incorporated both green and conventional energy with its solar-diesel hybrid electricity system producing 130 kWh. The European Union (EU) said that the pilot project will be a “catalyst for more projects to further the country’s rural electrification program.” Tsumkwe Energy was funded by the EU and co-funded by NamPower and the Otjozondjupa Regional Council (ORC). The implementing agency was the Desert Research Foundation of Namibia in close partnership with NamPower’s Renewable Energy Section and the ORC’s Infrastructural Development Section.
In Mozambique, 50 miles south of Maputo – the country’s National Electricity Fund established a PV standalone station providing electricity for 45 residences, a primary school, and a health center. And in East Africa, Ethiopia is home to an off-grid solar PV project that has supplied power to 10,000 people. Incorporated by the Swedish Solar Energy Foundation, the system costs users less than $2 per person. Groups like Solar Aid provide solar power kits with starting costs hovering around $20.
The World Bank estimates that Africans spend $40 billion a year on off-grid power, making this one of the major energy trends throughout the continent.
For Your Information:
The Frost & Sullivan Energy and Power Systems business unit will be hosting a complimentary web conference that will be contextualizing the direction and scale of energy investment in Africa. The web conference will take place on 10 July 2012, at 15:00 (14:00 BST).
To participate in this complimentary webinar, please email Samantha James at samantha.james@frost.com, Corporate Communications, with the following information: your full name, company name, title, telephone number, e-mail, address, city, state and country. Upon receipt of the above information, an online registration link will be e-mailed to you. You may also register to receive a recorded version of the analyst briefing at anytime by submitting the aforementioned contact details.
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