Africa is at a turning point in its energy transformation, with a growing emphasis on “Africa-first” energy policies. Despite only contributing a small percentage to global emissions, Africa faces significant challenges in energy access, with hundreds of millions of people still lacking electricity and clean cooking solutions. The continent is also emerging as a competitive and resilient destination for energy investments, with a projected $47 billion in oil and gas capital expenditure in 2024, reflecting increased investor interest and improved policy frameworks.
African Energy Week (AEW): Invest in African Energies 2025, scheduled for September 29 to October 3 in Cape Town, is set to be a pivotal event in advancing Africa’s energy sector. The forum will bring together government leaders, financiers, developers, and technology providers to facilitate deals, foster collaboration, and position Africa as a global energy leader. Public-private partnerships (PPPs), blended finance, and strategic energy projects will be key focus areas at the event.
Institutional and policy advancements are paving the way for increased local investment in energy across the continent. The establishment of the Africa Energy Bank (AEB) by the African Petroleum Producers’ Organization (APPO) and Afreximbank, with an initial capital of $5 billion, is a significant milestone towards regional energy self-sufficiency. The African Development Bank (AfDB) is also supporting long-term energy planning in countries like Algeria, aligning national goals with sustainable energy development.
PPPs and blended finance are crucial for scaling investment in Africa’s expanding energy project pipeline. The AfDB’s investment in the ARM-Harith Successor Infrastructure Equity Fund and South Africa’s Battery Energy Storage Independent Power Producer Procurement Program are examples of how these mechanisms can de-risk infrastructure projects and attract private capital.
The African Continental Free Trade Agreement (AfCFTA) and the African Energy Commission are key frameworks for promoting African-led energy development and strengthening institutional cooperation. AfCFTA, ratified by over 48 countries, aims to facilitate intra-African investment flows and remove trade barriers, enabling energy projects to be sourced, financed, and executed within the continent.
The upcoming AEW event is set to drive real deals and partnerships that prioritize African-led development in the energy sector. With a focus on African solutions and investments, the event aims to accelerate the continent’s energy transition and position Africa as a global energy leader.
For more information about AEW: Invest in African Energies, visit www.AECWeek.com.
