The World Bank and African Development Bank (AfDB) have unveiled the terms for a substantial $40 billion power finance initiative, aimed at enhancing electricity access across Africa. Under the Mission 300 programme, this initiative seeks to provide power to 300 million Africans by 2030. The announcement comes as 13 African nations prepare to present their strategic plans at the Mission 300 energy summit, scheduled to take place in Tanzania at the end of January 2025.
The AfDB has committed $5 billion towards this ambitious project, with both banks working in tandem with other institutions to establish robust guarantees and financial mechanisms. These measures aim to mitigate investment risks for private investors and attract support from private developers, financial institutions, sovereign wealth funds, and philanthropies. The initiative's goal is to connect half of Africa's population through national grid-linked power projects while reaching the remainder via off-grid technologies such as solar mini-grids.
Drawing attention to the pressing need for this initiative, World Bank director of infrastructure in Western and central Africa Franz Drees-Gross highlighted the staggering number of people living without electricity in sub-Saharan Africa.
“Of the 680 million people globally without electricity access, 570 million live in sub-Saharan Africa. Against that backdrop, and also very high population growth in Africa, that’s making it very difficult to make progress in increasing coverage.” – Franz Drees-Gross, World Bank director of infrastructure in Western and central Africa
The programme pledges a significant $30 billion in finance from the World Bank and AfDB, with an additional $10 billion anticipated from private institutions. This funding aims to boost the profitability of renewable energy investments within sub-Saharan Africa, where electricity access varied significantly in 2019—from just 1% in South Sudan to 94% in South Africa, as reported by the International Energy Agency.
Countries like Nigeria, the Democratic Republic of Congo, Chad, and Ivory Coast are among those expected to showcase their plans at the upcoming conference. These nations will play a crucial role in shaping the future of energy accessibility across the continent.