In 2024, Africa’s electricity sector experienced a transformative year marked by remarkable advancements and ambitious initiatives. With a concerted focus on expanding electricity access, African nations have made impressive strides toward providing reliable power to their citizens. We have also seen a focus on energy initiatives, where governments and private sector stakeholders collaborate to connect more households and businesses to the grid, promoting inclusive economic growth.

Let’s look at some of the key events and milestones in Africa’s electricity sector in 2024.

I. REVENUE

KENYA

In a notable comeback, Kenya Power reported a profit after tax of Ksh 30.08 billion in 2024, bouncing back from last year’s losses. Driven by a 21% increase in revenue from the commercial and industrial sectors, this success was supported by a strong Kenyan shilling, which reduced finance costs dramatically. Electricity sales soared to Ksh 231.12 billion, with over 447,000 new customers joining the grid and a revised tariff structure in place. Although power purchase costs surged to Ksh 150.61 billion, the company’s gross margins improved.

ETHIOPIA

Ethiopia’s energy sector saw a significant boost, earning $47.5 million from electricity exports in the first half of the 2023/2024 fiscal year. This follows last year’s $102 million sales, mainly to Djibouti, Kenya, and Sudan. Looking ahead, Ethiopia aims for $400 million in energy exports over the next decade and plans to extend electricity sales to Tanzania, fostering economic integration in East Africa.

II. INVESTMENTS

MOROCCO

In 2024, Morocco’s National Office of Electricity and Drinking Water (ONEE) took a major step in enhancing its energy infrastructure by reviewing bids for a strategic 3-gigawatt power line project linking Dakhla with Casablanca. This initiative has attracted global leaders like GE Vernova and Siemens Energy, along with companies from China and India. France is financing this project, strengthening its partnership with Morocco.

DRC

Last year, during a visit by U.S. officials, Power Africa announced a $15.5 million investment to enhance the energy infrastructure in the Democratic Republic of the Congo. This program, part of the Empower East and Central Africa initiative, seeks to lower energy costs and encourage sustainable development in cooperation with local stakeholders. By 2030, the objective is to add 30,000 megawatts of electricity generation and establish 60 million connections in sub-Saharan Africa. This investment is expected to drive substantial economic growth and improve living conditions. 

SENEGAL

In the past year, Senegal took a significant step in its power sector with Senelec’s €200 million project to build 1,350 kilometers of high-voltage transmission lines and eight transformer stations. This initiative will connect thousands of homes to the national grid and create over 1,000 jobs in three years. This project is key to meeting energy demands and achieving universal electricity access by 2025.

IV. COLLABORATIONS AND POWER POOL

SOUTH SUDAN & UGANDA

South Sudan officially requested at least 100 megawatts of electricity from Uganda to address its urgent energy needs. Uganda has enhanced its generation capacity to over 2,000 megawatts from just 380 megawatts in 2005. To support this, Uganda is prioritizing constructing a transmission line from Olwiyo to Juba, aiming to bridge South Sudan’s energy gap while solidifying its role in the regional power sector, with several projects expected to be completed by 2026.

AFDB & WORLD BANK

The African Development Bank and the World Bank have launched a significant partnership to provide electricity to 300 million Africans over the next six years. The World Bank is committing $30 billion to connect at least 250 million people by 2030. This initiative addresses the urgent issue of more than 600 million Africans who currently live without access to electricity. The funding will support renewable energy projects and is expected to attract an additional $9 billion in private-sector investment.

PRIVATE-PUBLIC PARTNERSHIPS

GHANA

The Ministry of Energy recently inaugurated a GH¢6.3 million SCADA Centre at the Electricity Company of Ghana’s Eastern Regional Office. This facility aims to improve power reliability by streamlining fault identification and resolution. It is part of a broader initiative to enhance Ghana’s power infrastructure and service quality across the region.

SOUTH AFRICA

Last year, President Cyril Ramaphosa signed the Electricity Regulation Amendment Act, a major reform to create a competitive electricity market in South Africa. This legislation establishes an independent Transmission System Operator, promotes investment in generation capacity, and introduces a transparent electricity trading platform. Focusing on renewable energy and protecting public infrastructure, the Act aims to address energy challenges, stimulate industrial growth, and reduce consumer costs nationwide.

V. PROBLEMS

NIGERIA

In 2024, Nigeria’s power grid experienced an alarming 11 collapses, shedding light on the ongoing challenges faced by a sector hindered by outdated infrastructure, inadequate maintenance, and corruption tied to power contracts. Frequent blackouts severely disrupted businesses and daily life, prompting experts to warn of the country’s severe energy poverty and a staggering N5.5 trillion shortfall in the power sector. This situation has led to urgent calls for investment, necessary upgrades to infrastructure, and stronger measures against corruption.

IVORY COAST

In 2024, Ivory Coast faced a severe electricity crisis, with key power plants experiencing unplanned outages that cut the national supply by 22%. This led to an $8 million loss in the mining sector and disruptions in cocoa grinding, impacting the world’s top cocoa producer. The power deficit hit 800 MW, prompting the Compagnie Ivoirienne d’Électricité to implement a rationing plan for industries. As the country strives to restore power, concerns about ongoing shortages loom over industry and agriculture.

DRC

In 2024, the Ruzizi Hydroelectric Power Station, crucial for providing electricity to South Kivu and Burundi, encountered a major crisis when plastic waste blocked its turbines, reducing electricity output by 50%. This situation triggered widespread power outages, severely affecting local economies dependent on this single energy source. Despite ongoing manual efforts to clear the obstructions, the persistent nature of this issue highlights the urgent need for enhanced waste management systems in the region. 

ZAMBIA & ZIMBABWE

Zambia and Zimbabwe faced a major power crisis due to prolonged droughts that drastically reduced hydroelectric output from Lake Kariba. This led to severe load shedding, with power cuts lasting up to 12 hours in Lusaka and 10 hours in Zimbabwe. Authorities urged citizens to explore alternative energy sources like solar and gas. The situation was further complicated by aging infrastructure and reduced electricity imports, prompting both nations to declare an emergency. Zambia secured emergency funding for energy solutions, while Zimbabwe worked on repairing key power plants, highlighting the urgent need for sustainable energy innovations in Southern Africa.

VI. FUTURE OUTLOOK

NIGERIA

Last year, Nigeria launched an ambitious initiative to revitalize its power sector. The country aims to provide 20 hours of daily electricity by 2027, focusing on urban and industrial areas. Despite ongoing challenges like grid failures and widespread outages, the government is working to improve revenue collection and stabilize electricity generation. This effort could greatly enhance access for underserved citizens and transform the economy. 

TANZANIA

In a pivotal effort toward achieving universal electricity access in Africa by 2030, Tanzania has bolstered its collaboration with neighboring nations such as Rwanda, Uganda, and Zambia to improve power supply. The government is capitalizing on its electricity surplus, thanks to the Julius Nyerere Hydro Power Project, which will contribute 2,115 Megawatts to the national grid. This initiative is in preparation for the Africa Heads of State Energy Compact Summit in 2025, which aims to raise $190 billion to provide electricity for 300 million people. Issues.

UGANDA

In a pivotal change for Uganda’s power sector, the Uganda Electricity Distribution Company Ltd (UEDCL) is set to assume control from Umeme Ltd when its concession ends in March 2025. The government’s decision not to renew Umeme’s 20-year contract was based on concerns over poor performance and high costs. UEDCL is committed to ensuring a seamless transition, with plans to connect 300,000 new customers each year and enhance its network of offices. With a financing strategy of 4 trillion Shillings, the company aims to cut energy losses and streamline payments to transmission firms, ushering in a new era of public service in Uganda’s electricity distribution.

VII. WORTHY OF NOTE

LIBERIA

In a notable event last year, Hon. Monie Ralph Captan wrapped up his tenure as CEO of the Liberia Electricity Corporation. Under his leadership, the utility saw an 88.79% increase in electricity supply and a remarkable 183% growth in revenue. Despite successes, challenges remained, including nearly $19 million in government arrears and 25% of electricity lost to theft. 

EGYPT 

Egypt and Saudi Arabia advanced their power linkage grid project, set to be operational by the summer of 2025. This initiative, signed in 2021, will allow the exchange of up to 3,000 megawatts of electricity via over 1,350 kilometers of transmission lines connecting three stations in both countries. The project enhances electricity stability, reduces fuel dependency, and underscores their commitment to renewable energy investments, marking a vital step toward a sustainable energy future in Africa.

SOUTH AFRICA 

Eskom reached 150 days without load-shedding, marking a remarkable improvement from previous years’ power outages in South Africa. Key reforms, including establishing the first Electricity Minister and a $14 billion government investment, have strengthened the utility’s recovery. This progress has not only enhanced electricity reliability but also contributed to a 3.7% increase in the South African rand, indicating a more stable environment for businesses and investors.

In summary, 2024 marked a turning point for Africa’s electricity sector, showcasing notable accomplishments that established a strong base for future development. The progress driven by infrastructure investments, the adoption of renewable energy, and enhanced distribution approaches will influence the continent’s power framework for years ahead, fostering sustainable growth and prosperity throughout Africa.