Experts on Tuesday said Africa needs more private investment in energy sector as inadequate investment is one of major reasons that Africa remains the world's least connected continent, experts said Tuesday in Kigali, capital city of Rwanda.
"Almost all energy generation and transmission projects in Africa are financed with public sector money, which is not sustainable. We need more private investments in this sector to boost energy connectivity on the continent," said Alain Ebobisse, CEO of Africa50, a pan-African infrastructure investment platform, at a panel session of the 7th Africa CEO Forum.
Africa won't achieve much in economic development, if countries continue relying on public investments to generate electricity, said Ebobisse.
Africa can start with small private investments projects in energy sector, and prove their profitability, he added.
Ahmed El Sewedy, CEO of Elsewedy Electric, an integrated energy solutions provider in the Middle East and Africa region, said Africa has the world's lowest electricity access rates because much of the power infrastructure development and generation is done by the state funds, he said.
He added that huge private sector investment in power infrastructure development, generation and distribution for Africa is needed to achieve more reliable, accessible and efficient power systems.
According to the African Development Bank, private investment in energy sector would help Africa meet the shortfall in the estimated 90 billion U.S. dollars required to achieve universal energy access by 2030.
About 1,500 participants, including Africa's top CEOs, international investors, experts and high-level policy makers, are meeting at the two-day forum that opened on Monday to discuss major topics and key challenges concerning Africa's private sector.
Editor:Cherie
