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RENEWABLES RENEWABLES Renewables: Falling costs, improving investment climate Africa needs to add a lot of renewable energy to attain universal access to electricity and cleaner energy. Cheaper projects are helping the cause. Ian Lewis reports. 62 62 AFRICA ENERGY SUPPLEMENT AFRICA ENERGY SUPPLEMENT
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Until recently, large-scale renewable energy in Africa has generally meant hydropower or, where it’s available, geothermal power. That’s changing, as the push to clean up the power sector intensifies and the cost of installing wind and solar power falls. Solar energy, in particular, has long proved useful in bringing small-scale power generation to remote areas of sub-Saharan Africa with no grid connection. That has revolutionised lives, allowing children to study at night, small companies to operate more cheaply and mobile phones – crucial arteries of business – to remain charged. However, the sort of large-scale grid generation that could supplement or replace fossil fuel has been in short supply, even though the continent offers some of the world’s best solar and wind resources. The costs are going down, but the performance of turbines is going up. Now, lower costs, better technology and an improving environment in which to develop independent power projects (IPPs) for renewables are enabling grid-connected wind and solar to take their place in the energy mix in some significant African markets. “The costs are going down, but the performance of turbines is going up,” says Chris Antonopoulos, Chief Executive of Lekela Advisors, an African-focused renewables developer. The company has over 1.3 GW of wind projects under development or operational in Egypt, Ghana, South Africa and Senegal. He says a medium-scale wind project that would not have been viable five years ago has a much better chance of getting off the ground today, due to improved turbine effi ciency and reliability, and the cheaper cost of parts. “Costs have come down quite dramatically over the last five years – it’s been some 50% or so,” he says. Lekela’s Noupoort Wind Farm in South Africa. AFRICA ENERGY SUPPLEMENT AFRICA ENERGY SUPPLEMENT 63 63

RENEWABLES

RENEWABLES

Renewables: Falling costs, improving investment climate Africa needs to add a lot of renewable energy to attain universal access to electricity and cleaner energy. Cheaper projects are helping the cause. Ian Lewis reports.

62

62

AFRICA ENERGY SUPPLEMENT

AFRICA ENERGY SUPPLEMENT

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