African cities plan for self-reliant electricity

July 07, 2025

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Cape Town has made strides in establishing its first city-owned solar power plant, with about 20% of the solar panels now installed. The city aims to build more such plants to prevent future power cuts without relying on the national grid. Other African cities are looking into having own power plants to meet their demand, and some are exploring decentralised grids.

  • Cape Town city has been at the forefront of establishing an independent grid, becoming the first municipality in South Africa last month to open its network for electricity trading. 

  • African cities lead their countries' economies, host major industries and offices, and are the most affected by blackouts. Having independent grids will create resilience and boost productivity.

  • Our take: Decentralising power grids allows cities to better plan for their specific energy needs… Read more (2 min)

Africa’s renewable energy sector struggles with imported substandard and second-hand solar equipment, undermining reliability and investor confidence. To address this, Nigeria’s Rural Electrification Agency (REA) and Huawei have established a Mini-Grid Standardisation and Simulation Centre to ensure quality and durability.

  • This facility is pivotal as Nigeria embarks on local manufacturing. By setting stringent quality standards, the centre will protect local manufacturers from unfair competition posed by imported substandard products, thereby catalysing industrialisation and private sector investment.

  • While Nigeria leads with this advanced simulation centre, other African countries like Kenya and South Africa are focusing on regulatory frameworks and quality assurance to support mini-grid deployment.

  • Our take: Standardisation and rigorous testing will likely accelerate mini-grid deployment, especially in remote areas… Read more (2 min)

The African renewables sector received $5.8 billion in funding commitments last month, which was a third of the amount in May. DR Congo was the largest recipient with $2.3 billion, almost half of the total raised. This follows a recent peace deal that encouraged investments in the energy sector to ensure various stakeholders benefit from natural resources.

  • The US government brokered a peace agreement between Rwanda and DR Congo, opening up the energy sector to US investors. Two deals have so far been struck: one for a hydropower plant and another for a power line.

  • South Africa last month continued its investment streak, securing $1.8 billion in commitments, mainly from the World Bank, which pledged $1.5 billion for energy and freight transport infrastructure.

  • Our take: African nations need to streamline their policies and offer de-risking mechanisms… Read more (2 min)

A cohort of the 3rd Edition of the Power & ELEC International Exhibition 2025 convenes in Kampala, Uganda

 

Events

📆 Participate in Global Energy Community’s Women in Energy webinar  (Jul 8)

📆 Attend the Power & Elec Uganda 2025  event (Jul 10)

📆 Sign up for the Nigeria Renewable Energy Innovation Forum (Aug 5)

Jobs

💼 Become AfDB’s Chief Investment Officer (Ivory Coast)

👨🏻‍💻 Apply for  Koolbok’s Head of Credit role (Nigeria)

👩🏻‍💻 Lead Scatec Solar’s payroll and HRIS activities (South Africa)

Various 

⚡ ENGIE commissions 15 solar mini-grids to electrify 30,000 Nigerians

🟢 Safaricom & Sistema.bio empower Kenyan farmers with clean energy 

🔋 Seriti Green installs first wind turbine at Ummbila Emoyeni site in SA

Seen on LinkedIn 

Vimal Kumar, Executive Director at GreenGen Energy, says, “Many investors and developers are falling into the trap of rapidly declining BESS costs, committing heavily to 25+ year RE-RTC projects under highly aggressive bidding processes, often without fully understanding the long-term financial risks. Such decisions, if not properly evaluated, may eventually drive investors toward bankruptcy.”