As African Presidents, Prime Ministers, and business leaders arrive in Washington to attend the first US-Africa Summit, one topic that will be paramount in their discussions with President Obama and his Cabinet is: how governments and families can access affordable electricity across the African continent.
Consider the facts: one in three Africans, that’s 600 million people, has no access to electricity. Neither do some 10 million small and medium-sized enterprises. Those homes and businesses fortunate enough to have power pay three times as much as those in the United States and Europe; furthermore, they routinely endure power outages that cost their countries from one to four percent in lost GDP every year.
Despite the fact that Africa is blessed with some of the world’s largest hydropower and geothermal resources (10-15 GW of geothermal potential in the Rift Valley alone), bountiful solar and wind resources, as well as significant natural gas reserves, total power generation capacity in Africa is about 80,000 megawatts (MW) (including South Africa), roughly the same as that of Spain or South Korea.
As Africa enters its 20th consecutive year of economic expansion, with the World Bank forecasting that Africa’s GDP growth will remain steady at 4.7 percent in 2014, and strengthening to 5.1 percent in each of 2015 and 2016, the continent needs more electric power. Specifically, Africa needs to add 7,000 MW of generation capacity each year to meet the projected growth in demand, yet it has achieved only 1,000 MW of additional power generation annually.
Over the last week I visited Cameroon and the Democratic Republic of the Congo, two of Africa’s so-called ‘fountain states.’ The resources in these two countries – along with Guinea, Ethiopia, and Uganda – can generate enough hydroelectricity to satisfy the growing demand in Africa. I saw the range of applications for which this power is needed, and I saw clear solutions.
In Eastern Cameroon I visited the construction site for the Lom Pangar hydropower project. Once construction is complete and the reservoir is filled in the next couple of years, this new dam on the Sanaga River will improve the reliability of power supply and lower the cost for up to five million Cameroonians. The Lom Pangar project will also pave the way for developing the full 6,000 MW of hydropower potential of the Sanaga River by regulating the flow of the river.
In the Democratic Republic of Congo, last week, I visited the Inga hydropower site on the mighty Congo River. DRC’s overall hydropower potential is estimated at 100,000 MW, the third largest in the world behind China and Russia, yet only 2.5% of this key resource has been developed. With 40,000 MW of generation potential, Inga is the world’s largest hydropower site. Its proper development can make Inga the African continent’s most cost-effective, renewable source of energy with an estimated generation cost of US$ 0.03 per kilowatt hour with little or no carbon footprint--a significant added virtue.
The excellently named Research Institute for Compassionate Economics (R.I.C.E) recently published an equally excellently named survey – the SQUAT (Sanitation Quality, Use, Access and Trends) survey. Based on the findings of this survey conducted in five north Indian states, R.I.C.E calls for a latrine use revolution - since the bottleneck is not the non-availability of a latrine (since even those with a government latrine are not using them), nor is it lack of funds (since far poorer countries and communities have built and used latrine). It is an issue of messaging around hygiene, towards which we need to set our firm focus.
My first job in the development sector was with an NGO, Gram Vikas in Odisha and my experience there has shaped many of my core beliefs about working in this sector. At the core of Gram Vikas' work was the conviction that the 'poor can and will pay for quality services'. So when I think toilets (not latrines – and there is a key difference in the definition), I often use the 'quality' lens and make the argument about how the usage of physical facilities installed by projects has a direct link with what community perception of what counts as good quality. This also has a strong link with the extent to which they feel a sense of ownership for the facility.
In January, World Bank Group President Jim Yong Kim urged the audience at the World Economic Forum in Davos to look closely at a young, promising form of finance for climate-smart development: green bonds. The green bond market had surpassed US$10 billion in new bonds during 2013. President Kim called for doubling that number by the UN Secretary-General's Climate Summit in September.
Just a few days ago—well ahead of the September summit—the market blew past the US$20 billion mark when the German development bank KfW issued a 1.5 billion Euro green bond to support its renewable energy program.
The similarities are striking. Nepal and Lao PDR are both land-locked. Both are endowed with vast hydropower potential. Both aspire to middle income status by the first quarter of this century. To their advantage, both Nepal and Lao PDR border energy-starved neighbors and see regional energy trade as their ticket out of poverty. And both countries harbor ambitions to become the “battery” that powers growth and prosperity in their respective regions.
Yet Lao PDR is going places while Nepal is stuck in stasis.
To understand this conundrum, the World Bank Group facilitated a study visit to Lao PDR last week for senior political party leaders and journalists from Nepal. The visit included a tour of the groundbreaking 1,080 MW Nam Theun 2 Hydropower Project as well as meetings with hydropower champions in the Lao government, private sector developers and local communities.
The proposed WHO/UNICEF Joint Monitoring Program (JMP) WASH Post 2015 goals for sanitation calls for universal access to basic improved sanitation – by the year 2030. Using largely small scale project approaches that have failed to deliver sustainable sanitation service delivery – especially for the poor -- most countries have not yet achieved the more modest MDG sanitation goals. However, many countries have already started working to achieve the goal of universal access by taking steps to make the transformational changes needed to stop doing “business as usual” in their sanitation programs.
Stretching for more than 1,800 kilometers across Guinea, Mali, Senegal and Mauritania, the Senegal River is the third longest river in Africa. In a region such as the Sahel, which is plagued by drought, poverty, and underdevelopment, access to a water resource such as the Senegal River is critical to local populations who rely on it for energy production, land irrigation, and potable water.