On Saturday, Norwegian Minister of Foreign Affairs Børge Brende, announced that Norway will invest US$44.674 million in support of the Green Africa Power fund, reported Star Africa.
The fund was established to encourage private investment in African renewable energy projects.
The International Energy Agency’s (IEA) World Energy Outlook report shows that a staggering 57 percent of the continent is without electricity. These stats are proof that investment in infrastructure and exploitation of renewable resources is in dire need.
Brende addressed the audience at the fourth Norwegian African Business Summit held in Oslo last week where this announcement was made, Star Africa said.
‘Energy is a key to development and the private sector has a key role to play…
‘With this commitment, we join the UK Government in financing renewable energy generation, reducing carbon emissions and improving the supply of clean energy to millions of people in Africa’, Brende said.
The UK has seen significant opportunity in the development of African energy infrastructure and wasted no time in contributing 95 million pounds to the fund.
‘Today is an opportunity to invest in Africa. The risks are not as high as perceived. It is smart business…Investment in infrastructure, and especially power, is critical to enhancing the productive potential of Africa. At the same time, it is an opportunity to create numerous other investment opportunities and sustainably improve human welfare’, James Mworia, CEO of Centum Investments stated in a press release.
Green Africa Power is owned by the Private Infrastructure Development Group (PIDG), which Norway has joined, and was established to promote and encourage private investment in sub-Saharan renewable energy development.
Brende added that ‘with the additional funding from Norway, our two countries will be joining forces to fund renewable energy projects, reduce carbon dioxide emissions and improve access to clean energy for millions of people in Africa’, reported Star Africa.