Press Release
Friday, May 31, 2024
The African Development Bank (AfDB) Annual meetings concluded in Nairobi with a commitment to massively scale-up Africa’s renewable energy generation capacity.
The launch of AfDB’s new Ten-Year-Strategy, which promises to provide African households and firms access to affordable, reliable and sustainable modern energy by 2033 remained the highlight of the meetings and was applauded by groups as a key step forward.
A recent analysis by Christian Aid had suggested that the African Development Bank could do more to deliver sustainable renewable energy to the people who most need it most, including 600 million people in Africa who lack access.
However, it remained unclear how the bank aims to achieve its long-term climate goals without addressing its continued financing of fossil fuel projects in Africa. An analysis by Power Shift Africa has stated that continued fossil fuel expansion could be a missed opportunity to help Africa take a development pathway built around energy sovereignty, industrialisation and protection of the natural environment.
The AfDB Energy Policy Review is underway and is an important opportunity for the AfDB to raise the bar on standards across the Multilateral Development Banks (MDBs) and to commit to leapfrogging gas and invest in its renewable potential for growth and industrialisation.
We welcome the engagement by the AfDB with civil society by Bank officials, and hope to build on access of civil society to the AfDB meetings going forwards in order to represent the needs of communities at the heart of the development agenda.
At the close of the meeting, civil society gave the following quotes:
Dean Bhekumuzi Bhebhe, Campaigns Lead, Power Shift Africa said, “ AFDB's emphasis on the private sector involvement in its 10 year strategy is a red flag; that could lead to profit-driven models that undermine the urgency of energy access and justice. Public-private partnerships should not be vehicles for multinational profit extraction. Instead, they must ensure equitable distribution of development benefits, particularly among Africa's vulnerable population. The AfDB must prioritise support for Africa’s sustainable and inclusive growth.”
Fran Witt, Campaign Manager, Recourse, said, “The AfDB’s ambitious agenda to harness the enormous potential of wind and solar power for growth and industrialisation is heartening. But this must go hand-in-hand with a Fossil Fuel Finance Exclusion Policy that recognises that gas does not make economic or climate sense for the continent, and would lock Africa into a carbon-intensive toxic energy model for decades to come. Sustainable renewable energy investment is needed for industrialization and energy access for millions of Africans still living without modern energy services.”
Florence Gichoya, Communications and Membership Manager, ACCESS Coalition said, “The AfDB needs to include civil society organisations in the main sessions of the annual meetings. This will ensure the inclusion of communities that are beneficiaries of the bank’s projects and promote accountability for the bank's projects. The majority of Africa’s population lacks access to clean energy. Over the years, electricity grid expansions have continued to leave out the off-grid communities. The AfDB’s energy policy needs to prioritise funding clean cooking and decentralised renewable energy systems, which are the best pathways for promoting clean energy access for communities in Africa.”
Courtney Morgan, Senior Campaigner, African Climate Reality project said “While there are steps being taken, the African Development Bank has still not committed to a fossil fuel exclusion policy. In a rapidly heating world, where Africans are experiencing the impacts of climate change first and most severely, the AfDB continues to miss the mark. Ambitious climate action needs ambitious finance- and the AfDB has a mandate and the potential to support community driven sustainable development, supported by fair and equitable financing. Its failure to do this, is disappointing to say the least”
Janet Milongo, Manager, Energy Transition, Climate Action Network International said, “The AfDB must realise and leverage on its pivotal role in the leapfrog of the African Continent to clean, affordable, reliable, flexible, sustainable and safe energy. The bank’s current prioritisation of the abundant wind and solar energy resources is welcomed. However, it should also work with countries for the just and equitable phase out of all fossil fuels while stopping any finance for new production. It must also be at the forefront in strategizing towards, advocating for and enabling African-centred utilisation of the drivers of the transition, such as transition minerals.”
Wafa Misrar, Campaign and Policy Officer, Climate Action Network Africa said , "The African Development Bank (AfDB) remains committed to Africa’s energy sector, yet continues to fund both renewables and fossil fuels, which is a concerning approach. This dual approach by the AfDB should be questioned. The AfDB must focus on sustainable investments that promote inclusive growth across the continent. Investing in renewable energy is essential to provide modern, clean, affordable and sustainable energy services to millions of Africans and drive the continent’s industrialisation."