In six years, 300 million people in Africa will have access to electricity. This commitment has recently been made official by the World Bank (WB) and the African Development Bank (AfDB).
The WB has committed to connecting 250 million people through decentralized renewable energy systems or distribution networks, while the AfDB will support an additional 50 million people, according to the Bretton Woods institution in Washington.
"Currently, 600 million Africans lack access to electricity, which creates significant barriers in healthcare, education, productivity, digital inclusion, and job creation," noted the same source on its website.
"Access to electricity is the foundation of all development. It is an essential ingredient for economic growth and large-scale job creation," stated Ajay Banga, president of the World Bank Group, emphasizing that achieving this goal requires partnership and ambition.
The WB further explained that this initiative is backed by a constellation of regional energy programs that will now be aligned with this common goal.
For the World Bank Group to connect 250 million people, $30 billion in public investment will be needed, particularly through the International Development Association (IDA), the institution responsible for grants and concessional loans to low-income countries, which will play a crucial role, it was noted.
Additionally, governments will need to implement policies to attract private investment and reform public services to be financially sound and efficient through tariff mechanisms that protect the poor, according to the WB.