The global demand for oil has increased sharply in recent years, from about 77 million barrels per day a decade ago, to nearly 85 million per day in 2011. Energy accounts for a significant part of the revenue of some African states, representing in some cases over 90 percent of foreign exchange earnings. Africa provided 21 percent of the total U.S. petroleum imports in 2009, and accounts for about 11 percent the world’s oil supply, underscoring the enormous potential for scaling up the efficient development and utilization of Africa’s energy resources. New opportunities are emerging in the oil and gas sector for partnership with local players in marginal fields, pipelines, supply chain management, oil servicing ventures, environmental management and remediation, oil-spill clean-up, and marine and logistics management.
Although Africa boasts enormous power generation potential from hydro, coal, natural gas, solar and wind sources, it currently faces chronic power supply challenges. The infrastructure deficiency in the continent’s power sector is an impediment to its long-term economic growth and competitiveness. There is therefore huge private sector opportunity to invest in the power sector – generation, transmission and distribution. The African continent presents the most untapped power market in the world.
GHICC’s Energy Program covers energy topics such as access to oil and gas exploration and exploitation, creating enabling environments for public private partnerships, how to transparently manage revenues and national wealth, and how to maximize the energy sector’s investment potential. The program also focuses on power and infrastructure issues including traditional and alternative funding sources to finance Africa’s power sector, the challenges and successes of public private partnership initiatives and prospects for renewable energy programs. The Energy Working Group meets monthly to discuss these issues and make new business connections.
For more information on the Energy Program and Working Group, contact the Program Manager.