‘African leaders have the right to define their own energy policy’

In addition, institutions such as the African Development Bank (AfDB) and Afreximbank play an important role in financing large-scale oil and gas projects in Africa.

The African Petroleum Producers Organisation (APPO), alongside Afreximbank, is behind the creation of the African Energy Bank, which aims to find alternative financing solutions for these projects. This initiative proves that Africa is capable of financing its own future.

Will the African Energy Bank, due to come into being this year, be a game changer?

The creation of this institution, which specialises in financing African energy projects, aims to reduce the dependence of African nations on foreign financing and enable them to benefit from their abundant oil resources.

This bank could play a crucial role in mobilising resources, attracting investment and offering tailor-made financial solutions that meet the specific needs of the African energy sector.

Its creators wanted to emphasise the importance of self-sufficiency and also of meeting the challenges posed by the lack of international investment.

The AEC supports this initiative, which will enable Africans to stimulate the development of their oil and gas sector, thereby boosting growth and job creation and improving energy infrastructure.

Côte d’Ivoire, Senegal, Mozambique, Uganda… How can future African producers make the most of their oil and gas projects and ward off the s0-called black gold curse?

Firstly, transparent and accountable governance is essential. This means putting in place sound regulatory frameworks and anti-corruption measures to ensure that oil and gas revenues help to drive the economy as a whole.

It is also essential to diversify the economy beyond the energy sector, by investing oil revenues in other sectors, such as infrastructure, education and health, to create a more resilient and balanced economy.

Africa should change its perspective and not depend on foreign aid

Furthermore, prioritising the development of local content and encouraging the participation of local companies in the oil and gas value chain will also promote job creation, skills development and technology transfer – with the aim of making economic growth more inclusive.

Should African countries accept the promises of aid for the energy transition made to them on the sidelines of COP28, at the expense of their oil and gas projects?

Absolutely not. Africa should change its perspective and not depend on foreign aid, and manage its own oil and gas resources to finance its economic future. History has shown that foreign aid, however well intentioned, often has unintended consequences, such as increased poverty and the emergence of systemic corruption.

My position is clear: rather than succumbing to external pressure, African states should exploit their oil and gas resources to stimulate growth, create opportunities – jobs, income – and reduce energy poverty. This approach, which combines the use of hydrocarbons with investment in renewable energies, is in line with the AEC’s vision of a self-sufficient and prosperous Africa.

How should African decision-makers respond to pressure from the West?

They have the sovereign right to define their own energy policy, whether in terms of fossil fuels or clean energy, without interference from the West. It is essential that African nations determine their energy strategy on the basis of their own economic and social needs. This approach makes it possible to find solutions that reconcile energy security, economic growth and environmental sustainability in a way that is in line with the interests and aspirations of the African continent.

Source: Theafricareport.com

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