POWER/ENERGY AS A DRIVING FORCE

FOR ECONOMIC DEVELOPMENT

INDIA, AND OTHER AFRICAN

COUNTRIES.
COMMONWEALTH POWER SUMMIT 2011
POWERING NEW SOLUTIONS
 The program basically was about how to
improve in the power and energy sector to
promote economic growth.
 How power generation is not only concerned
in developing countries, but its an increasing
pressing challenge for all countries.
 How to reduce poverty by producing
electricity, because energy poverty is the
substantial root of poor development in
Africa.
 60% of the world populations are dependent on bio gas
as a primary source of energy.
 Between now and 2035 global energy demand is
expected to grow by about 49%, while net electricity
will increase by 87% between 2007 and 2035.
 India
 India has the fifth largest generation capacity in the
world but about 400 million people do not have
electricity and this has affected their economy growth,
and if India should add about 100,000MW to its
generating capacity, it will provide enormous growth.
 What india did was that the govt sold about 35% of its
shares…
RWANDA
 Rwanda has about only 6% of electricity and
they expect to increase it to 16% in 2020
 Currently they have 70MW hopping to have
130MW, that is if private companies come
and invest in their country.
 Their govt is ready to subsidy, by reducing
tariffs, so that investors won’t find it hard to
invest
 They want to divert from hydro to more
towards renewable source of energy, like
wind, solar and waste.
TANZANIA
 It has a population of 40 million people, and
their population annual growth is 2.6%.the
electricity access is 14%, and the rural area
access about 3%
 They have several attractive hydro
generation projects which have not yet
acquired developers, they have coal proven
reserve of 1.2 billion tones.
 They are looking for development of natural
gas, liquid biofuels, energy efficiency and
conservation.
NIGERIA
 Nigeria govt is trying to privatize about 11
distribution companies, 5 which are
generation company( 2 hydro & 3 thermal).
 It’s a limited multi buyer model, its selling
about minimum 51% of the shares, that is
70% shares can be sold to potential investors
while the govt holds 30%.
 They have about 3800MW, when they need
about 10,000Mw
CONCLUSION
 Power projects in Africa hardly succeeds,
and they feel its because govt has given
limited support, though the regulatory
framework is improving, but they can do
better..
 Because of the bad weather, performance of
projects go into crises.
 Political stability.
 If we can generate about 60% of electricity in
Africa, there will be economic growth, and
low rate of poverty.
 Thank you.
REFERENCES
 Commonwealth business council power
summit 2011
 www.cbcglobal.org.