Some experts in the energy sector in Africa have proffered solutions to worrying energy transaction costs across the continent.
Energy transaction costs in Africa include all the costs involved in transacting energy, such as investment, financing, and legal costs, among others.
A World Energy Outlook Special Report titled Financing Clean Energy in Africa, unveiled in September by the International Energy Agency (IEA) in association with the African Development Bank Group (AfDB), highlighted that energy investment on the continent has fallen short, accounting for a mere 3 per cent of the global total, even though Africa is home to one-fifth of the world’s population.
The report’s examination of the cost of capital in Africa, which is at least two to three times higher than in advanced economies, is a stark reminder of the formidable challenges the continent must address to unleash its full development potential, William Ruto, President of the Republic of Kenya, said in…