{"id":10209,"date":"2021-04-13T10:59:37","date_gmt":"2021-04-13T10:59:37","guid":{"rendered":"https:\/\/oilnewskenya.com\/?p=10209"},"modified":"2021-04-13T10:59:37","modified_gmt":"2021-04-13T10:59:37","slug":"african-energy-developments-demand-sustained-investment-with-new-projects-in-mozambique-tanzania-uganda-senegal","status":"publish","type":"post","link":"https:\/\/www.oilnewskenya.com\/index.php\/african-energy-developments-demand-sustained-investment-with-new-projects-in-mozambique-tanzania-uganda-senegal\/","title":{"rendered":"African Energy Developments Demand Sustained Investment with New Projects in Mozambique, Tanzania, Uganda & Senegal"},"content":{"rendered":"

In the past twelve months, the African energy sector has seen several encouraging developments \u2013 in the form of both Foreign Direct Investment (FDI) and strategic partnerships \u2013 that have advanced the sustainable development of its natural resources. In fact, despite a global downturn in investment in 2020, FDI flows to developing economies accounted for 72% of global FDI, the highest share to date. Given the magnitude of Africa\u2019s oil and gas reserves \u2013 not to mention its abundant renewable resource wealth\u00a0\u2013\u00a0<\/strong>the continent remains a highly attractive market for inbound investment, which is vital for its growth.<\/p>\n

Take Uganda, for instance, which is home to one of the largest onshore discoveries in sub-Saharan Africa. Following multiple petroleum discoveries in Uganda\u2019s Albertine Graben \u2013 estimated to contain 6.5 billion barrels of oil, of which 1.4 billion are considered recoverable \u2013 foreign investments into the country are expected to reach nearly $20 billion. Last April, Total E&P Uganda B.V. signed a Sale and Purchase Agreement with Tullow Oil PC, through which Total will acquire Tullow\u2019s entire 33.34% interests in Uganda\u2019s Lake Albert development project and the East African Crude Oil Pipeline (EACOP). Five months later, the Ugandan Government and Total signed a host government agreement for EACOP, representing a significant step toward reaching a final investment decision. The deal pushes along an extended development process \u2013 slowed by infrastructure issues, tax complications, then COVID-19 \u2013 that not only promises to bring first oil by 2022, but also provides a pathway to monetization via associated transport infrastructure.<\/p>\n

In addition to developments at Lake Albert, the Ugandan Government has proven its commitment to attracting FDI to its hydrocarbon sector through its second licensing round held last year, as well as its invitation to local and foreign entities to forge joint-venture partnerships with the Government. By prioritizing the establishment of mutually beneficial partnerships, the emerging East African producer aims to facilitate the successful transfer of skills, knowledge and technology, initiating an influx of technical expertise and working capital into the country.<\/p>\n

\u201cThose who have been locked out from access to opportunity want the same from the energy sector that the energy sectors want from governments.\u00a0 We must not forget local content, local jobs, local opportunities especially for young people and women\u201d Stated NJ Ayuk Executive Chairman of the African Energy Chamber.<\/p>\n

Meanwhile, in West Africa, Senegal has been reaping the rewards of a long-standing partnership with Germany, which has resulted in more than one billion Euros in funding, including significant support for small-scale power plants and renewable energy projects. Holding sizeable potential for solar and wind energy development, Senegal serves as a regional leader in renewable deployment as a means of rural electrification. Indeed, energy is a central component of poverty alleviation across Africa, with electricity access enabling greater independence, clean cooking and potable water, as well as dramatically improving the well-being of individuals, businesses and communities alike.\u00a0 Rural populations are cognizant of the challenges posed by a lack of stable electricity supply \u2013 increased urban migration, lack of access to basic services, low economic competitiveness, to name a few \u2013 and distributed renewables can represent the fastest and least expensive path to electrification.<\/p>\n

European interest in Senegal has shed light on and served as a model for co-operation opportunities between renewable-rich African countries and developed partners, which offer cutting-edge technologies and technical expertise to transform raw resources into viable off-grid and mini-grid solutions.<\/p>\n

Furthermore, while the cost of deploying renewable technology has never been lower, the availability of renewable-focused capital has never been higher. Investment in commercial and industrial solar has demonstrated resilience against the pandemic, continuing to be seen as a safe investment in light of rising utility costs and increasing distribution of both solar and financial technologies. Yet resource potential and low costs of equipment are not enough; Senegal and other resource-rich African nations require active investor interest and strong government support to unlock diversified energy mixes. In turn, a lack of investment represents a pointed threat to the achievement of long-term energy security.<\/p>\n

\u201cYoung people and women have shown their great resilience, and it is our hope we close these deals in the renewable energy sector, Africans can have a sense of some hope that they will be included in the industry contracts and opportunities. It is no longer correct for the African to be the last hired and the first fired\u201d Concluded Ayuk.<\/p>\n

Moreover, without sustained levels of FDI continuing to move the needle on oil, gas and renewable developments, energy export revenues run the risk of being stranded and resources left undeveloped. For emerging producers like Uganda \u2013 as well as Tanzania, Kenya, Mozambique, among several others \u2013 this would mean foregoing critical government revenues that could aid in a much-needed, post-COVID-19 economic recovery. FDI is vital to Africa\u2019s growth, and while it may be challenging to procure capital in a tepid global economy, it is even more difficult\u00a0not\u00a0<\/em>to. Yes, COVID-19 has put emerging producers in a tough spot: new exploration is seen as risky, and new producers lack existing assets or low-cost development of marginal fields on which to fall back. However, it is not an option to slow or postpone time-sensitive developments that promise to harness natural resource wealth and make sustainable improvements in standards of living across the continent. Africa requires a sustained flow of investment and has proven time and again that it offers the scope of projects and magnitude of resources that are worthy of foreign capital.<\/p>\n","protected":false},"excerpt":{"rendered":"

In the past twelve months, the African energy sector has seen several encouraging developments \u2013 in the form of both Foreign Direct Investment (FDI) and strategic partnerships \u2013 that have … Read More<\/a><\/p>\n","protected":false},"author":24,"featured_media":10210,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2},"jetpack_post_was_ever_published":false},"categories":[7442,4746,11],"tags":[117,6178,877,1366,1636,2955,2283,9237,2466,2603],"class_list":["post-10209","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-countries","category-renewables-2","category-top-news","tag-albertine-graben","tag-eacop","tag-fdi","tag-lake-albert","tag-mozambique","tag-renewable-energy","tag-senegal","tag-small-scale-power-plants","tag-tanzania","tag-uganda","entry"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/04\/e9844dc53243e300ad9a2d5e04c862e5.jpeg?fit=800%2C534&ssl=1","jetpack_shortlink":"https:\/\/wp.me\/p5JWkQ-2EF","jetpack-related-posts":[{"id":10111,"url":"https:\/\/www.oilnewskenya.com\/index.php\/east-african-crude-oil-pipeline-eacop-will-disenfranchise-local-communities-in-uganda-tanzania\/","url_meta":{"origin":10209,"position":0},"title":"East African Crude Oil Pipeline (EACOP) Will Disenfranchise Local Communities in Uganda & Tanzania","author":"","date":"March 26, 2021","format":false,"excerpt":"By Charity Migwi of 350Africa.org, Edwin Mumbere of the Center for Citizens Conserving (CECIC) and Evelyn Acham of the Rise Up Movement The East African Crude Oil Pipeline (EACOP) is expected to reach a Final Investment Decision (FID) ) as soon as the end of March 2021.This will pave way\u2026","rel":"","context":"In "Countries"","block_context":{"text":"Countries","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/countries\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2017\/11\/EACOP-route.jpg?fit=632%2C563&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2017\/11\/EACOP-route.jpg?fit=632%2C563&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2017\/11\/EACOP-route.jpg?fit=632%2C563&ssl=1&resize=525%2C300 1.5x"},"classes":[]},{"id":3017,"url":"https:\/\/www.oilnewskenya.com\/index.php\/africa-energy-forum-set-dubai-just-two-weeks\/","url_meta":{"origin":10209,"position":1},"title":"The Africa Energy Forum set for Dubai in just two weeks","author":"","date":"May 26, 2015","format":false,"excerpt":"The Africa Energy Forum is set to come up in Dubai in just two weeks\u2019 time attracting some 456 unique companies have registered from 63 countries worldwide. The delegates spanning the value chain of Africa\u2019s power sector are from 28 African countries the largest number to date in the Forum\u2019s\u2026","rel":"","context":"In "Top News"","block_context":{"text":"Top News","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/top-news\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2015\/05\/Africa-Enery-Forum.png?fit=400%2C313&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":10107,"url":"https:\/\/www.oilnewskenya.com\/index.php\/russia-africa-energy-committee-to-drive-investment-deal-making-in-the-energy-sector\/","url_meta":{"origin":10209,"position":2},"title":"Russia-Africa Energy Committee to Drive Investment & Deal-making in the Energy Sector","author":"","date":"March 25, 2021","format":false,"excerpt":"The inter-party online conference drew attention to the developments of Africa\u2019s energy market, navigating relations on the continent for Russia-Africa partnerships and highlighting the announcement of the creation of the Russia-Africa Energy Committee aimed at developing clean power and strategic framework towards the continent\u2019s energy crisis. While the agenda for\u2026","rel":"","context":"In "Countries"","block_context":{"text":"Countries","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/countries\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/03\/Russia-Africa.jpg?fit=1200%2C675&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/03\/Russia-Africa.jpg?fit=1200%2C675&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/03\/Russia-Africa.jpg?fit=1200%2C675&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/03\/Russia-Africa.jpg?fit=1200%2C675&ssl=1&resize=700%2C400 2x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/03\/Russia-Africa.jpg?fit=1200%2C675&ssl=1&resize=1050%2C600 3x"},"classes":[]},{"id":8652,"url":"https:\/\/www.oilnewskenya.com\/index.php\/african-energy-chamber-and-mozambican-oil-gas-chamber-agree-to-work-on-local-content-development\/","url_meta":{"origin":10209,"position":3},"title":"African Energy Chamber and Mozambican Oil & Gas Chamber Agree to Work on Local Content Development","author":"","date":"July 21, 2020","format":false,"excerpt":"The African Energy Chamber and the Mozambican Oil & Gas Chamber (CPGM) have signed a cooperation agreement to support the development of local content in Mozambique and the attraction of investments into key segments of the country\u2019s energy industry. With multi-billion dollar LNG projects under-construction, including Coral South FLNG and\u2026","rel":"","context":"In "Countries"","block_context":{"text":"Countries","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/countries\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2013\/12\/mozambique_flag.jpg?fit=1200%2C800&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2013\/12\/mozambique_flag.jpg?fit=1200%2C800&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2013\/12\/mozambique_flag.jpg?fit=1200%2C800&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2013\/12\/mozambique_flag.jpg?fit=1200%2C800&ssl=1&resize=700%2C400 2x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2013\/12\/mozambique_flag.jpg?fit=1200%2C800&ssl=1&resize=1050%2C600 3x"},"classes":[]},{"id":8783,"url":"https:\/\/www.oilnewskenya.com\/index.php\/germany-to-ramp-up-investment-in-african-energy\/","url_meta":{"origin":10209,"position":4},"title":"Germany to Ramp Up Investment in African Energy","author":"","date":"August 7, 2020","format":false,"excerpt":"In an exclusive webinar held on Thursday, \u201cGermany-Africa Economic Relations: Making Deals Post COVID-19,\u201d panelists sought to mobilize German investment into the African energy sector, establishing clean energy and digitalization as two major pillars of economic and investment cooperation. In recent years, the African continent has shifted to the forefront\u2026","rel":"","context":"In "Countries"","block_context":{"text":"Countries","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/countries\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2020\/08\/426d1cbe5ca1e7b1a6a25b888a354c90.jpeg?fit=800%2C533&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2020\/08\/426d1cbe5ca1e7b1a6a25b888a354c90.jpeg?fit=800%2C533&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2020\/08\/426d1cbe5ca1e7b1a6a25b888a354c90.jpeg?fit=800%2C533&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2020\/08\/426d1cbe5ca1e7b1a6a25b888a354c90.jpeg?fit=800%2C533&ssl=1&resize=700%2C400 2x"},"classes":[]},{"id":10255,"url":"https:\/\/www.oilnewskenya.com\/index.php\/greenpeace-and-western-anti-africa-energy-groups-take-the-wrong-approach-to-east-africa-crude-oil-pipeline-eacop-in-uganda-and-tanzania\/","url_meta":{"origin":10209,"position":5},"title":"Greenpeace and Western Anti Africa Energy Groups Take the Wrong Approach to East Africa Crude Oil Pipeline (EACOP) in Uganda and Tanzania","author":"","date":"April 19, 2021","format":false,"excerpt":"By\u00a0NJ\u00a0Ayuk, Executive President of the African Energy Chamber. If someone were to put me on the spot and ask me to name an environmentalist group, I\u2019d probably blurt out the first thing that comes to mind, Greenpeace. There are obvious reasons for this: Greenpeace has been around for more than\u2026","rel":"","context":"In "Countries"","block_context":{"text":"Countries","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/countries\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"jetpack_sharing_enabled":true,"jetpack_likes_enabled":true,"_links":{"self":[{"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/posts\/10209","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/users\/24"}],"replies":[{"embeddable":true,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/comments?post=10209"}],"version-history":[{"count":1,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/posts\/10209\/revisions"}],"predecessor-version":[{"id":10211,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/posts\/10209\/revisions\/10211"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/media\/10210"}],"wp:attachment":[{"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/media?parent=10209"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/categories?post=10209"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/tags?post=10209"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}