Energy in Africa: Immense Potential Between Hydrocarbons and Renewables
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Two out of three Africans do not have access to modern and reliable energy sources. Africa accounts for 20% of the world's population but only 3% of energy consumption. The needs are therefore considerable, especially since the continent's population is expected to double by 2050. The African continent has exceptional resources, not only in hydrocarbons but also in renewable energies. It remains to be seen how quickly Africa will make the transition to a more sustainable .
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Oil in Africa: Long-standing Exploitation with Uneven Benefits
Oil exploitation in Africa, initiated in the 1930s by major international companies, has been a constant feature throughout the continent's contemporary history. Still limited before 1960, production accelerated sharply between 1960 and 1970, driven by Gabon, Nigeria, Algeria, and Libya. A second boom occurred at the end of the 20th century, thanks to major discoveries in the Gulf of Guinea and off the coast of Angola.
However, this boom only partially benefited African economies. Lacking sufficient refining capacity, the continent exported massive amounts of ... while importing refined products, which weighed heavily on trade balances.
After 2015, due to the sharp drop in oil prices, investment in the hydrocarbon sector fell, suggesting a rapid transition to a more sustainable energy mix. But it began to rise again in 2021. In 2025, it still accounts for more than half of energy investment.
Several countries, such as Senegal, Mauritania, Mozambique, and Namibia, have also embarked on oil and gas exploration and exploitation.
Natural Gas: A Market Revitalized by Geopolitics
Geopolitical tensions surrounding Russian gas caused by the war in Ukraine starting in 2022 have stimulated global trade in liquefied natural gas (LNG). This development opens up new opportunities for African producers, who are already present but sometimes on the margins of major global flows.
However, the continent is still struggling to reduce flaring, the practice of burning gas associated with oil production.
According to the World Bank, around 150 billion cubic meters of gas are wasted each year worldwide, including 40 billion in Africa—equivalent to half of the continent's energy consumption.
Renewable Energy: Immense Potential Still Underutilized
Africa has exceptional potential in and is beginning to exploit it more intensively, but the pace is too slow.
According to the , investment in renewables has risen from $17 billion in 2019 to $40 billion in 2024. This is a significant increase, but three times lower than that seen in Europe.
The tipping point in the relationship between hydrocarbons and renewables remains difficult to predict, as the possible trajectories vary greatly according to the scenarios established by the IEA.
On the other hand, the continent could become a major player in the extraction and processing of rare metals, which are essential for batteries, , and renewable technologies. Experts estimate that Africa holds 30% of the world's reserves of these minerals.
Hydroelectricity: Structural Delays Despite Powerful Rivers
Despite the of its rivers, Africa exploits only about 5% of its hydroelectric potential. The Aswan High Dam, built in Egypt in the late 1960s, illustrates this situation: it ranks only 49th in the world, far behind Chinese and Brazilian dams.
Some very ambitious projects are underway, but they face the difficulties inherent in this sector: high financing costs, complex construction sites in poorly equipped areas, and the need for agreements between several states sharing the same river basin.
For example, the “Grand Inga” dam on the Congo River in the DRC (Congo-Kinshasa), which could theoretically have almost twice the capacity of China's Three Gorges Dam, was still not under construction in January 2026.
The Renaissance Dam on the Blue Nile is 95% complete and partially operational, but the long-running dispute between Egypt, Sudan, and Ethiopia has not been fully resolved.
Solar and Wind Power: the Driving Forces Behind Africa's New Electrification
Many African countries are now investing in solar energy—such as the Ouarzazate park in Morocco, Zagtoudi in Burkina Faso, and Nzema in Ghana—or , such as Lake Turkana in Kenya and Shegold in Ethiopia.
In rural areas, solar power is revolutionizing the industry. The falling cost of panels is enabling the deployment of off-grid installations directly in villages, with simple, robust models adapted to local uses.
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