AFRICA’S SUN

Africa: Time to go solar; Africa should follow China's lead, and foster solar innovation, production and demand
Banji Oyelaran-Oyeyinka, 24 March 2010

"There are many reasons why Africa should turn to solar power to meet its energy needs. The continent receives an average of 6kWh of solar energy per square metre every day. In the face of climate change, Africa is also under increasing pressure to find low-carbon alternatives to traditional fuels.

"And solar power is not only about reducing emissions — it can also help reduce poverty. An estimated 560 million people live without electricity in Sub-Saharan Africa and 625 million rely on solid fuels such as wood or coal for cooking…Solar technology can provide clean, good quality light, heat, cookers and communications with very little electricity — but with huge benefits for health and quality of life…"

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"The falling costs and growing markets for solar technology provide yet another incentive for Africa…Several technologies are competing to improve the efficiency of solar power, including photovoltaics and concentrated solar thermal. Production costs are falling and solar power is predicted to dominate the global renewable energy market within ten years…McKinsey & Company [predicts] global installed solar capacity will increase twenty to fortyfold by 2020…Clean Edge [predicts] solar photovoltaics — including modules, system components, and installation — will grow from a US$29.6 billion industry in 2008 to US$80.6 billion by 2018…If Africa can tap into these markets, positioning itself as a global supplier and consumer of solar technology, it will reap economic growth and development…

"…Africa should be able to gradually replace conventional fuels with solar power in four sectors: power generation, hot water and space heating, transport fuels, and rural energy…But that will require governments to use a range of subsidies and incentives to foster small-scale solar developments so they grow into a fully-fledged industry that can deliver economies of scale and, eventually, grid parity…Many countries, including China, Germany, Israel and Spain have already shown that schemes such as capital subsidies, renewable energy certificates, feed-in tariffs (favourable rates paid to grid-connected renewable energy systems), net metering (paying those who generate renewable energy for their excess power) and a solar photovoltaic mandate can successfully promote solar photovoltaics…"

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"Africa needs to build its capacity to develop and produce the technology itself and provide incentives to ensure solar products enjoy wide uptake…The continent can learn a lot from countries such as China, which has in recent years seen phenomenal growth in its renewable energy industry. By 2008 it had the third largest renewable power capacity in the world.

"One clear lesson is the need for strong innovation policies that foster efficient, high-quality technology institutions, a cadre of highly skilled engineers, and professionally managed enterprises…The major weakness of development policies in Africa has been a failure to appreciate how dynamic technological advance drives long-term economic development…African policymakers must start by financing technology and innovation support, including new investments and other incentives to promote research, development and design of solar technology and production systems…And this financial support needs to be backed by legislation processes that support technology adoption…Perhaps most importantly, African policymakers need to link universities with manufacturers to ensure that knowledge and capacity is integrated into production systems…"