Solar energy companies are rapidly expanding across Africa, a continent where 600 million people still lack access to electricity.

Solar energy companies are expanding quickly across Africa, helping to provide electricity to the 600 million people who still lack access to power on the continent.

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Oct 5, 2024 - 16:38

Solar energy companies are rapidly expanding across Africa, a continent where 600 million people still lack access to electricity.

Solar energy companies are emerging as some of the fastest-growing businesses in Central and West Africa, where governments have long struggled to address severe infrastructure challenges and the impacts of climate change. Many of these companies, often African-owned, operate in regions where most people are off the electricity grid. Their products range from solar-powered lamps, enabling children to study after dark, to advanced home systems that can power kitchen appliances and large televisions.

Prices for solar products vary significantly, from under $20 for a simple solar lamp to several thousand dollars for more complex home appliances and entertainment systems.

Central and West Africa have some of the lowest electrification rates globally. In West Africa alone, 220 million people live without access to electricity, with some regions experiencing electrification rates as low as 8%, according to the World Bank. Many households and businesses rely on costly and hazardous fuels like kerosene, which pose fire risks and fill indoor spaces with toxic fumes.

At the most recent United Nations climate summit, a global goal was set to triple renewable power generation capacity by 2050. While Africa contributes very little to global carbon emissions, solar power is seen as a cost-effective solution for expanding electricity access on the continent.

The International Energy Agency (IEA) highlighted earlier this year that small and medium-sized solar companies are making impressive strides in delivering electricity to homes. However, significant investment is still needed to ensure every home and business in Africa has access to electricity by 2030.