During the African Development Bank (AfDB) Group’s 2023 Annual Meetings in Sharm El Sheikh, Egypt, the Africa Investment Forum presented four noteworthy renewable energy and sustainability projects with a combined value of nearly $1.5 billion. These projects were sourced from the Africa Investment Forum’s pipeline and aim to address the urgent need for climate action in Africa, which is considered the world’s most vulnerable region to climate change.
The forum, held under the theme “Mobilizing Private Sector Financing for Climate and Green Growth in Africa,” attracted private investors, including venture capital and private equity firms. One of the projects showcased was a hybrid hydrogen feedstock/ammonia initiative in North Africa. This project plans to utilize 400 MW of renewable energy to produce 183 tons of hydrogen feedstock and 1,000 tons of green ammonia daily, without emitting CO2. An additional investment of $27 million is required to make the project bankable.
The second project presented was a 27 MW hydropower venture in West Africa. It has undergone successful feasibility assessments and has received funding support from international entities and multilateral development agencies. The project aims to provide electricity to 700,000 households, generate 600 jobs, and reduce CO2 emissions by 81,000 tons annually. This initiative will increase the country’s total electricity generation capacity by 10%.
The investment roundtable also featured a $73 million expansion drive for a plastic recycling and sustainability company across seven African countries in the West, Central, and Southern region. Currently, only 10% of Africa’s plastics are recycled. The project has attracted interest from funders for project preparation and feasibility studies. It aims to create 16,000 jobs, provide opportunities for 20,000 waste pickers, divert 214,000 metric tons of plastic waste from landfills, and reduce carbon emissions by 149,000 metric tons.
The fourth project offered an investment opportunity in a $440 million hydropower independent power producer in Southern Africa. This venture is expected to generate 544,000 MWh/year of energy while incorporating water distribution and flood prevention elements. It will also create 3,000 construction jobs. The project sponsors are seeking $12.5 million to complete the development phase.
Chinelo Anohu, the Senior Director of the Africa Investment Forum, highlighted the importance of the platform in convening and showcasing investment opportunities on the continent. Representatives from the Africa Investment Forum founding partners, such as the African Development Bank, Africa Finance Corporation, Africa50, and others, also attended the event.
The Africa Investment Forum’s pipeline currently consists of 90 deals valued at $62.9 billion in either the capital raise phase or the bankability phase. The forum’s flagship Market Days event, scheduled for November 2023, will bring together deal sponsors, investors, and government leaders to progress transactions toward closure.
