African Leaders Unite to Tackle Energy Poverty with $40 Billion Grant  

African leaders have pledged to combat energy poverty across the continent, committing to deliver affordable electricity to 300 million people within five years, supported by a $40 billion grant from the African Development Bank and the World Bank.

The announcement came during the Africa Energy Summit held at the Julius Nyerere International Convention Centre in Tanzania, where 25 presidents and over 1,000 delegates adopted the “Dar es Salaam Energy Declaration.”

The initiative, dubbed “Mission 300,” aims to address Africa’s chronic energy deficits, which leave millions in the dark.

Around 71 million Africans currently lack access to electricity, largely due to poverty and low incomes.

The scarcity has hindered economic growth, forcing many to rely on firewood for cooking and kerosene for lighting, exposing them to health risks and environmental degradation.

“This declaration marks a pivotal moment for Africa’s energy future,” Tanzanian President Samia Suluhu Hassan said at the summit. “We are determined to deliver affordable, reliable electricity that will transform lives and unlock economic potential across the continent.”

The declaration places a strong focus on renewable energy investments, particularly in solar and hydroelectric power, while also prioritising the development of infrastructure and policies to attract private sector participation.

Tanzania, a major player in the East African Power Pool, aims to increase its electricity output by 2,463 megawatts by 2030, a move that will require $13 billion in funding.

Dr Akinwumi Adesina, president of the African Development Bank, highlighted the economic significance of universal energy access, calling it “a cornerstone for Africa’s transformation.” He urged leaders to move swiftly to implement the declaration’s ambitious goals.

The Dar es Salaam Declaration also outlines measures to cut electricity costs, reduce reliance on traditional biomass, and ramp up clean energy production.

Leaders hope the initiative will serve as a blueprint for tackling Africa’s energy challenges and creating a sustainable, inclusive future for millions of people.

ligadwah@businessdayafrica.org