€739 million of foreign investment in renewable energy

The Moroccan government announces a solar and wind rush. Close to 8 billion dirhams, or 739 million euros, of foreign investment from Western powers and the Middle East are flowing in to support projects in the renewable energy sector.

“For us, Morocco is the gateway to Africa,” said Abdulla Falah Abdulla Al-Dosari, Qatar’s ambassador to Morocco. Present in Casablanca on October 24, 2018, at the opening of the Elec Expo Forum, the Qatari diplomat said that companies in his country are seeking to establish joint ventures with major Moroccan groups in the field of energy.

Although Qatar’s expertise in hydrocarbons is much more recognised, it is one of the many foreign powers (the United States, France, Germany, Japan, Korea, Saudi Arabia, Emirates) whose companies will release an investment of 108 billion Moroccan dirhams, or about 10 billion euros, in various sectors, including electricity, which alone receives an envelope of 739 million euros (8 billion Moroccan dirhams). According to Aziz Rabbah, Moroccan Minister of Energy, Mines and Sustainable Development, these investments will also create thousands of jobs.

Morocco, which wishes to join the Economic Community of West African States (ECOWAS), has a new and attractive element to offer through these investments. The subregion has a market of 1.2 billion people, more than half of whom do not have access to electricity. Morocco’s ambitions will therefore contribute to transforming the constraints into investment opportunities for reducing the electricity deficit in ECOWAS member countries, and become a power pool for West Africa.
Morocco wants to produce 7 times the amount of wind energy installed on the continent

The sectors targeted by foreign Moroccan joint ventures are: solar, wind and energy efficiency. For example, the additional wind energy needs that remain to be installed are estimated at 7 GW, whereas the continent can only produce 1 GW today. “We have the opportunity to take up this challenge,” said Abderrahim El Hafidi, Director General of the National Office of Electricity and Drinking Water (Onee).

Morocco has refined its energy strategy to better meet the challenges in terms of supply security, access to energy and environmental protection. Target: increase the share of renewable energy to 42% of installed capacity by 2020 and to 52% by 2030. With that in mind, the national programmes will involve an additional capacity for electricity production from renewable sources of about 10,100 MW, including 4,560 MW from solar, 4,200 MW from wind and 1,330 MW from water, which will reduce the Kingdom’s energy dependence from 94% to less than 82% in 2030.

Boris Ngounou

Source: Afrik21

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Klöckner: German companies to invest more in Africa

Before the Africa conference on Tuesday at the Chancellor’s Office, Federal Agriculture Minister Julia Klöckner (CDU) called on the German economy to invest more on the continent.

“Unfortunately, German companies are still turning too little to the African market,” she says to the editorial network Deutschland (Tuesdays editions). She wishes them “greater interest and commitment”.

Agriculture in Africa in particular offers a “huge opportunity”, Klöckner said. A modern, sustainable and productive agriculture could reduce local unemployment and offer young people a chance to stay. “It is set within a larger framework to combat the causes of flight in very concrete terms,” said the Minister.

At the same time, she admitted that it is not always easy for German companies in Africa. “Investments are often still associated with risks that are too great,” said Klöckner. A major problem is the lack of legal certainty.

Federal Chancellor Angela Merkel (CDU) will receive several African heads of state and government on Tuesday at an Africa conference in the Chancellery. This is about the so-called G20 Compact with Africa, which is intended to improve the framework conditions for private-sector investment in Africa.

Source: Epoch Times

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Upcomming Forum in Johannesburg, South Africa

During November 7-9, 2018 in Johannesburg, South Africa, the Africa Investment Forum is where project sponsors, borrowers, lenders, and public and private sector investors will come together to accelerate Africa’s investment opportunities.

The African Development Bank is championing the inaugural Africa Investment Forum (AIF) a multi-stakeholder, multi-disciplinary collaborative platform for the economy and social development of the continent. The Africa Investment Forum is totally transactional marketplace dedicated to advancing projects to bankable stages, raising capital, and accelerating the financial closure of deals.

Interested parties can register here: https://africainvestmentforum.com/

Source: Africa Investment Forum

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Kenya to grow 6.2 % in 2018

East Africa’s leading economy will grow by at least 6.2 % in the 2018/2019 financial year if good policies  are in place, according to Central Bank of Kenya Governor Patrick Neroge. He stressed fiscal policy, review of the interest rate cap law, strengthening of the banking sector and further progress in ease of doing business as key factors in pushing growth.

Source: African Business, February 2018

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Investments in Africa