Energy Poverty Is Killing Africans & Preventing Industrialization

Picture of the Earth from space at night depicting electricity distribution around the globe. (Source: Wikimedia Commons)

July 2, 2025

I am posting below, the latest article by Gyude Moore, because I concur with his insightful analysis. He articulates well, the failure of energy policy for Africa, which must be changed for the survival of African nations.

Electricity is the life blood of an economy; when that lifeblood does not exist, the economy fails to be healthy and livable, and human beings die.

Let me be as blunt as possible.

All the NGOs, human rights organizations, good governance activists, charitable foundations, Western nations and their financial institutions, so called environmentalists, and even the United Nations itself, either out of ignorance or malice, refuse to advocate for the quality and quantity of energy required to end poverty, hunger, and unnecessary deaths in Africa. Solar energy, the latest craze, can light a light bulb or charge a phone, but it is too diffuse an energy source to power an industrial economy. As Moore correctly emphasizes, African nations need abundant powerful forms of energy to industrialize their economies and build their manufacturing sectors.

It is the height of arrogance and moral hypocrisy, for people whose lives and nations exist due to the exploitation of carbon based fossil fuels, to deny that right of exploitation to others. Every aspect of modern Western life depends on manufacturing and electricity. A robust program of utilizing all forms of energy, including small nuclear reactors, should begin immediately to secure Africa’s industrialization. It is the lack of economic development that drives instability and insecurity in African nations.

Key excerpts from Moore’s article:  

“But for all its strengths, the report is silent on one of the most critical aspects of Africa’s energy future: the productive use of electricity—particularly for industrialization. This omission is more than an oversight. It matters. It reflects a broad pattern about how development practitioners think about energy in Africa: too often as a social good to be distributed, instead of a strategic input for economic transformation.

“If Africa is to industrialize, we need a new energy narrative—one that links energy to human development. One that counts kilowatt-hours for steel mills and assembly lines, not just solar lanterns. One that sees energy as the foundation of wealth, not merely well-being.

Image credit – SDG 7 report

Access Without Power: The SDG7 Report’s Silent Gap on Africa’s Productive Future

by W. Gyude Moore from the Africa Project <gyudemoore@substack.com>

Every year, the Tracking SDG7: Energy Progress Report provides a necessary but sobering update on how far the world is from achieving universal energy access. The 2024 edition is no different. It confirms what many of us working in African development already know: that energy poverty in Africa remains an existential problem and the region of the continent south of the Sahara remains the epicenter of global energy poverty.

The report draws much needed attention to the stagnation in global electrification, the widening urban-rural divide, and the increasingly indispensable role of decentralized renewables. The analysis rightly highlights that solar home systems and mini-grids must do the heavy lifting if we are to reach the most remote and vulnerable communities. In doing so, the report provides a valuable, evidence-based foundation for governments, investors, and donors to coordinate their efforts.

But for all its strengths, the report is silent on one of the most critical aspects of Africa’s energy future: the productive use of electricity—particularly for industrialization. This omission is more than an oversight. It matters. It reflects a broad pattern about how development practitioners think about energy in Africa: too often as a social good to be distributed, instead of a strategic input for economic transformation.

Energy as Survival, Not Development

The report measures progress by counting connections and households with basic access. That is essential—access to light, refrigeration, and clean cooking saves lives and lifts burdens, especially for women and girls.

But energy is more than light. It is an indispensable precondition of industrialization. You cannot process cocoa without reliable electricity. You cannot operate a textile mill on a solar lantern. You cannot build the factories, agro-processors, or logistics cold chains that Africa needs if the electricity system is engineered only to power bulbs, not businesses.

What Kind of Access Are We Measuring?

The SDG7 report congratulates progress in off-grid solutions—but it doesn’t ask whether those solutions can support productive livelihoods. There is no mention of voltage stability, grid reliability, or the cost per kilowatt-hour for small and medium enterprises. In most African countries, industrial users face:

· High prices per unit cost

· Frequent outages or load shedding

· Absence of power in designated economic zones

If we are serious about structural transformation, then not all connections are equal. Counting connections without considering quality risks creating a hollow narrative of progress. And this is one of my worries about Mission 300 – that given the self-imposed limits of reaching its goal in 4.5 years, the measure of success will focus on counting connections.

Courtesy of Ken Opalo

Sub-Saharan Africa manufacturing output for 2023 was 234.69 billion US dollars, a 3.05% decline from 2022.

Industrialization Needs Its Own Energy Track

Africa’s population is young, urbanizing, and growing. Every year, millions more enter the labor market. Where will the jobs come from?

We know the answer: manufacturing, processing, value addition. And we know what those activities require: abundant, reliable, and affordable power. Yet the report offers no analysis on industrial energy use, no insight into how to extend abundant power to rural agro-processing clusters, no discussion of the energy implications of the African Continental Free Trade Area (AfCFTA). That’s not just a gap. It’s a blind spot. And this blind spot is reflected in the kinds of solutions offered for the continent’s energy poverty problem.

To be clear, household access must remain a priority. But Africa’s energy strategy must also be judged by its ability to empower—not just individuals, but entire economies. That means:

· Powering industrial parks in the Gambia, Sierra Leone as well as Cote d’Ivoire

· Supporting cold storage and irrigation in Senegal and Malawi

· Energizing green manufacturing zones in Nigeria and South Africa

I would thus recommend a second track in the SDG7 framework—one that focuses not on access alone, but on abundance.

Reframing Energy for Africa’s Future

As noted in the beginning of this blog, the report is a necessary account of what progress is being made on this goal. However, having seen as many “plans for Africa” as any one person should see over a lifetime, I worry that this line of thinking ends up mistaking motion for momentum. The SDG7 report shows us where we are, but I find its proposed solution of where we need to go, incomplete. It tells us how to keep the lights on. It doesn’t tell us how to power prosperity.

If Africa is to industrialize, we need a new energy narrative—one that links energy to human development. One that counts kilowatt-hours for steel mills and assembly lines, not just solar lanterns. One that sees energy as the foundation of wealth, not merely well-being.

The world’s energy agenda for Africa must not be satisfied with lighting our homes while leaving economies in the dark. Read: energy poverty in Africa remains an existential problem 

Read below my earlier posts on this topic.

Energy poverty sustains poverty because electricity is the foundation of all economic development  ­͏     ­͏   Energy Poverty Is Killing Africans-Renewables Are Insufficient 

­͏  Lawrence Freeman is a Political-Economic Analyst for Africa, who has been involved in economic development policies for Africa for 35 years. He is a teacher, writer, public speaker, consultant on Africa, and an analyst of global strategic relations. Mr. Freeman strongly believes that economic development is an essential human right. He is the creator of the blog: lawrencefreemanafricaandtheworld.comalso publishes on: lawrencefreeman.substack.com, “Freeman’s Africa and the Worldand on X @lkfreemansafrica   ­͏  

  ͏     ­͏     ­͏     ­͏     ­͏     ­͏     ­͏     ­͏     ­͏     ­͏     ­͏     ­͏     ­͏     ­͏     ­͏     ­͏     ­͏     ­͏     ­͏     ­͏     ­͏     ­͏     ­͏     ­͏     ­͏     ­͏     ­͏     ­͏     ­͏

South African Minister Pandor Articulates Principles of Development for Africa

South African Minister Naledi Pandor speaking in the Democratic Republic of the Congo

July 18, 2023

Below are excerpts from remarks by South African Minister, Dr. Naledi Pandor, in Kinshasa, Democratic Republic of the Congo, on July 4, 2023.*

Minister Pandor’s words speak eloquently for themselves. However, permit me to put a fine point of her focus on the importance of African nations fostering manufacturing and industrialization.

As a physical economist, I understand better than most people, the substance of her reasoning. The only true measure of a successful economic policy is: does the material standard of living improve from one production cycle to the next? And does the implementation of this  policy produce an expansion of real physical wealth from the present generation to that of their children? Throughout modern history, it has been proven repeatedly that real sovereignty requires a robust manufacturing sector, physical infrastructure, and increased industrialization of one’s economy.

It is a touch of poetic justice, that Minister Pandor delivered her remarks on July 4, the day the United States declared Independence from the imperialist grip of Great Britain. British suppression of manufacturing by the colonies was overturned and reversed by the adoption of the scientific economic principles of Alexander Hamilton. Contrary to the myth that slavery was the underlying cause for the growth of the U.S as an economic power, it was the genius of Treasury Secretary Hamilton’s four economic reports that outlined the course of economic development for the newly formed nation.** If not for the decisive support of Hamilton’s policies by President George Washington, against the objection of those, who advocated, slavery, states’ rights, and agriculture as the only source of wealth, the American republican experiment would have failed.

Hamilton’s argument in his Report on the Subject of Manufactures, written in 1791, remains relevant today. A nation that cannot manufacture the essential commodities for the continuous progress of its people is endangering its national security.

 The essence of successful foreign, domestic, and economic policy by a wise government is founded on the same elementary principle: creating the economic conditions for the advancement of the physical wellbeing of its population.

*Ministerial meeting of the Bi-National Commission of South Africa and the Democratic Republic of the Congo

**Hamilton Versus Wall Street: The Core Principles of the American System of Economics, by Nancy Spannaus, 2019.

Excerpts from, Minister Naledi Pandor

We spend too much time trusting others outside our continent and not enough time trusting ourselves. We need to change that history. I’m hopeful that our business leaders will leverage opportunities provided by the African Continental Free Trade Area.

I believe that the AfCFTA will be a catalyst toward the pursuit of beneficial economic integration in the continent. Through the Free Trade Area agreement, we have promised ourselves as Africans that we will increase intra African trade. That doesn’t mean we buy goods from country B and pretend they were made in the DRC. It means we must manufacture in the DRC and sell within Africa. It means we must manufacture in South Africa and sell within Africa. It means we must manufacture in Ghana, in Togo, wherever we find ourselves as Africans we become productive, and we change our conditions.

Another matter that we must address if the African Continental Free Trade Area is to be a success, is the value addition to our natural resources within the confines of our continent. Everybody is running after the rare mineral resources of the DRC but they’re not establishing factories in the DRC. Don’t sign any agreement if production is not to happen here. We must refuse. We must ensure that value addition beneficiation happens within Africa. And we must ensure that as Africans we derive full benefit from the value chain and that our people realize these much needed opportunities. The time has come for South Africa and the DRC to work at changing our condition. To work at changing our history. But to do these things it’s not easy, there’ll be much opposition. So, the challenge is can we work together honestly and faithfully. If we can do that, we will change our conditions. But if we allow others to divide us, to direct us as to what should suit us, we will never achieve these ambitions.

So honorable minister I close by saying the future is in our hands. It is only by working together that will bring the change that we all want to see. I look forward to our fruitful deliberations… Our people have placed on us the responsibility of ensuring that they enjoy peace and prosperity. Our relations have always been inspired by our commitment to Pan African ideals and solidarity…Our Pan African ideals impose a commitment on us to ensure the development of our countries, but the development of the entire continent of Africa. Our Pan African ideals and our solidarity ask us to pose difficult questions to ourselves as to what good we are making out of the wealth of the nations of Africa. How do we industrialize? How should we manufacture?

Our main goal and vision is to see real changes in our people’s livelihoods. After all they don’t elect us because we are pretty or because we wear nice outfits. They elect us to change their lives. Our people want their children to be educated. They want their children to become responsible future leaders of our nations. Our people want girls and women to be empowered so that they can fully participate in our economies and in our political lives. Our people want us to create sustainable jobs and entrepreneurship opportunities for them so that our people become independent, self-sustained, enabled, and empowered to take charge of their own future and identity. Allowing our people to remain poor is to keep them in a prison of lack of advancement. So, we must change the condition of our people so that they are free to realize their full abilities. (Emphasis added)

Read my earlier posts:

South Africa and China Articulate Principles for Global Development at United Nations

China & Freeman Agree With The African Charter: “Economic Development is a Human Right”

Celebrate July 4th Time to Adopt Hamilton’s Industrialization Polices for Africa

Alexander Hamilton’s Credit System Is Necessary for Africa’s Development

Lawrence Freeman is a Political-Economic Analyst for Africa, who has been involved in economic development policies for Africa for over 30 years. He is a teacher, writer, public speaker, and consultant on Africa. He is also the creator of the blog: lawrencefreemanafricaandtheworld.com. Mr. Freeman’s stated personal mission is; to eliminate poverty and hunger in Africa by applying the scientific economic principles of Alexander Hamilton