Clean Energy

Clean energy refers to power generation derived from sources that produce little or no greenhouse gas emissions or air pollution, including solar, wind, hydropower, geothermal and increasingly green hydrogen. It encompasses both the technologies used to harness these resources and the broader policy and investment ecosystem supporting their deployment. In Africa, clean energy is central to closing electricity access gaps while avoiding the emissions-intensive development pathways followed by industrialised economies. The sector spans utility-scale renewable projects, mini-grids and off-grid solar systems serving rural and underserved communities. Governments, development finance institutions and private investors are increasingly channelling capital into clean energy as part of broader climate and carbon-finance strategies, often linked to carbon-credit generation. Key drivers include falling technology costs, energy-security concerns, loadshedding challenges in markets such as South Africa, and international climate commitments under the Paris Agreement. Challenges include grid infrastructure constraints, financing costs, currency risk and policy uncertainty across different jurisdictions. The African Development Bank, Development Bank of Southern Africa and UNDP are among institutions supporting clean energy programmes on the continent. Clean energy initiatives also intersect with carbon markets, as displaced emissions can be monetised through carbon credits. The sector features prominently in continental frameworks such as AUDA-NEPAD's infrastructure and climate agendas. Interest in clean energy has grown substantially over the past decade as part of Africa's broader energy-transition and climate-finance discourse.