Africa Energy Is Changing the Game And Why Africa Indaba Is the Deal-Maker’s Playground

Africa is increasingly attracting global attention as a high-growth energy market, with experts citing the continent as one of the largest untapped opportunities for sustainable energy investment in the 21st century. Despite abundant renewable resources and growing policy reforms, investment flows remain relatively modest, highlighting a market with significant upside for both private and institutional investors.

According to the World Economic Forum, Africa will require an estimated US $2.9 trillion in energy investment between 2022 and 2050 to achieve a sustainable energy future. Annual energy investment needs are projected to rise from US $70 billion in 2022 to US $160 billion by 2050, underscoring the scale and urgency of the continent’s energy transformation.

Renewables Growth and Market Signals

Installed renewable energy capacity in Africa increased from roughly 60 GW in 2023 to nearly 67 GW in 2024. Solar and wind capacity are expected to expand rapidly, driven by falling technology costs and rising demand. The continent’s theoretical renewable potential is substantial, including approximately 10 TW of solar, 350 GW of hydropower, 110 GW of wind, and 15 GW of geothermal energy. Yet Africa has attracted less than 2% of global renewable energy investment over the past two decades, illustrating a significant investment gap.

Market activity shows signs of acceleration. Solar panel imports surged 60% year-on-year, reaching 15 GW in the 12 months ending June 2025, indicating rapid uptake in regions historically underserved by grid infrastructure. At the same time, more than 600 million Africans remain without access to electricity, highlighting the urgency of scaling investment in both grid and off-grid solutions. Achieving universal access is estimated to require around US $64 billion annually.

Climate-related finance is also increasing, with mobilised funds exceeding US $50 billion—a 48% rise—reflecting growing global confidence in African energy markets and the continent’s role in meeting global climate targets.

Why the Africa Energy Indaba stands out

Industry stakeholders are turning to platforms such as the Africa Energy Indaba, held annually in Cape Town, to connect with policy-makers, financiers, and project developers. The event convenes government leaders, utilities, regulators, technology providers, and investors to discuss investment-ready projects, regulatory frameworks, and strategies for scaling energy delivery.

Participants gain direct access to opportunities across a range of energy sectors, including renewables, transmission, hydrogen, gas, nuclear, and off-grid solutions. They can engage with decision-makers shaping energy policy and regulation, as well as private and institutional investors seeking partnerships.

Why does this matter?

Africa’s energy transition presents a complex but compelling market. While the continent faces challenges including financing gaps, infrastructure deficits, and regulatory hurdles, its scale of opportunity is unmatched in emerging markets. Strategic engagement through targeted events, policy alignment, and investment in bankable projects will be crucial for capitalising on Africa’s energy transformation.

As global energy markets increasingly pivot toward renewables, Africa’s combination of resource potential, policy momentum, and unmet demand positions it as a key frontier for high-growth energy investment.