Harnessing Wind Energy in Africa
INTRODUCTION
Recently, the Republic of Djibouti celebrated opening its first-ever wind farm near Lake Goubet.[i] The 60-MW wind farm, known as Red Sea Power (RSP), is spread over 387 hectares and has 17 Siemens turbines that produce 3.4 MW of renewable electricity respectively. The wind farm is connected to the grid, via a five-kilometer (3.10 miles) overhead transmission line and has a 220-MVA substation. The project cost USD 122 million (EUR 113.6m), marking the first significant international investment in Djibouti's energy sector.[ii] The wind farm consortium includes investors such as Africa Finance Corporation (AFC), Dutch Development Bank FMO, Climate Fund Managers (CFM), and Great Horn Investment Holding (GHIH). The group has already secured a long-term power purchase agreement (PPA) with the state-owned utility Electricité de Djibouti (EDD) and plans to expand capacity by adding 45 MW of renewable energy.[iii]
WIND ENERGY IN AFRICA
Africa's energy systems are under threat from climate change, which could lead to disruption. The International Energy Agency's (IEA) Africa Energy Outlook 2022 reveals that three-fifths of the continent's thermal power plants are at a high risk of disruption due to water stress, while one-sixth of its liquefied natural gas (LNG) capacity is susceptible to coastal flooding. Significant investment in climate adaptation is necessary to ensure greater resilience.[iv]
Despite Africa contributing less than 3% of the world's energy-related carbon dioxide (CO2) emissions, it suffers disproportionately from the adverse effects of climate change. By 2050, North Africa could face a rise in median temperature of 2.7 degrees Celsius, compared to the global average increase of 2 degrees Celsius. Failure to address this could result in an 8% reduction in African gross domestic product (GDP) by 2050, with the figure being closer to 15% in East Africa.[v]
To tackle fossil-fuel energy's supply and cost volatility and the dangers of increasing global warming, African governments should prioritize renewable energy, particularly wind power, as part of their sustainable energy mix (where feasible).
It has been estimated by PWC that Africa possesses the potential to produce up to 59,000GW of electricity from wind power. Many regions across the continent boast wind speeds in excess of 6 meters per second, which is the minimum speed required to operate wind turbines efficiently. Unfortunately, per the Global Wind Council's estimations, only 0.01% of this capacity is currently being utilized. Merely three African countries have installed up to 1 gigawatt wind power capacity, making Africa's total installed wind power capacity only about 6.5GW.[vi]
However, recent advancements in wind power technology have opened up more possibilities for wind power generation in Africa. The International Finance Corporation (IFC) of the World Bank has conducted studies that reveal that two-thirds of Africa's wind potential lies in areas with above-average wind speeds. The potential exists for several countries, including Botswana, Namibia, Nigeria, Chad, Cameroon, Mauritania, Tunisia, and Cote d'Ivoire, to generate wind power. Mauritania is the sole country with a wind power installation exceeding 100 MW.[vii]
Notably, in several wind hotspots across Africa, the wind blows strongest during the early morning and evening, when electricity demand typically peaks. This makes wind power an excellent complement to daytime solar generation.[viii]
EXISTING MAJOR INSTALLATIONS
The coastlines of Africa have great potential for wind power production, both for small and utility-scale turbines. Because of the scattered population, off-grid and distributed power systems are becoming popular for electrification on the continent. Morocco, South Africa, Egypt, Ethiopia, and Kenya are key markets where large-scale facilities have been established, producing a total of 3.1 GW of installed wind power capacity, with an additional 1.2 GW currently being constructed.[ix]
Lake Turkana Wind Farm in Kenya generates 310 MW of affordable and dependable electricity to power a million homes. It sells this energy to Kenya Power over a 20-year period and contributes to the national grid through a high-voltage substation. This project, valued at $650 million, is the largest wind power initiative on the continent and represents the most substantial private investment in Kenya to date.
The Tarfaya Wind Farm in Morocco, a joint venture between GDF SUEZ and Nareva Holding, produces 301 MW of power sold to Morocco's National Electricity Office. Covering over 100 km² in the Sahara Desert with 131 wind turbines, it is Africa's largest onshore wind farm, with an investment of $560 million.
Egypt's Ras Ghareb Wind Farm near the Gulf of Suez is a pioneering independent power producer project worth $400 million. It was developed by a joint venture involving Engie (40%), Toyota-Tsusho / Eurus Energy (40%), and Orascom Construction (20%). This wind farm, inaugurated in October 2019, can provide electricity to approximately 500,000 households.
The West Bakr Wind Project in Egypt, led by Lekela Power, is under construction in the Gulf of Suez. It aims to commence operations in late 2021 and aligns with Egypt's goal to derive 20% of its electricity from renewables by 2022.
Ethiopia's Adama I & II Wind Farm, with a total capacity of 204 MW, reflects the country's commitment to renewable resources for economic growth. Adama I became operational in May 2015, while the 153-MW Adama II, costing $340 million, was completed the following year. These projects were executed by a joint venture involving the Ethiopian Electric Power Corporation and CGC Overseas Construction Group, a Chinese state-owned enterprise.
Morocco's Akhfenir Wind Farm, operational since 2014, boasts 200 MW of onshore wind power and is owned by Nareva, a subsidiary of Morocco's National Investment Company. The first 100 MW utilized Alstom turbines, while General Electric expanded its capacity to 200 MW. Morocco has ambitious plans to source over 50% of its electricity from renewables by 2030 and achieve 100% energy access by 2050.
Senegal's Taiba N'Diaye Wind Farm, developed by Lekela Power, is the nation's inaugural utility-scale wind power project. The first 50 MW phase became operational in December 2019, contributing 400 GWh of clean electricity annually and offsetting 300,000 tons of carbon emissions. It is expected to increase Senegal's total electricity output by 15%.
South Africa has numerous wind farms, including the Khobab & Loeriesfontein 2 Wind Farms, each supplying 140 MW to the power-deficient grid. They began commercial operation in December 2017 and constitute the country's largest expanse of wind turbines, powering 240,000 South African households with a total of 122 wind turbine generators.
Kangnas Wind Farm, also in South Africa's Northern Cape, commenced commercial operation in November 2020. Generating around 513,200 MW/h annually, it can power up to 155,000 South African households and reduce carbon emissions by approximately 550,000 tons annually.
The Boulenouar Wind Farm in Mauritania, led by Spanish power company Elecnor SA and Siemens Gamesa Renewable Energy, is expected to contribute 100 MW to Mauritania's grid with 39 turbines. This $167-million project is scheduled to come online in the fourth quarter of 2022, building upon Elecnor's prior experience in the country with constructing a 30-MW wind farm in 2014.
LEGAL, REGULATORY AND POLICY MECHANISMS TO DRIVE WIND ENERGY ACROSS AFRICA
1. Strengthen Grid Integration and Infrastructure construction: It is crucial for governments to focus on building and expanding grid infrastructure to help integrate wind energy into the electrical system. This includes upgrading transmission and distribution networks to handle the increased capacity from wind farms. To enhance grid flexibility and stability, policies should encourage the advancement of smart grid technologies, energy storage systems, and demand-response mechanisms.[x]
2. Facilitate Access to Financing and Risk Mitigation: African nations can create specialized institutions or financing systems to offer reasonable and accessible financing choices for wind energy projects. This might include low-interest loans, subsidies, or guarantees to lower the financial risks involved with wind energy projects. Governments might also introduce risk-reduction strategies like political risk insurance or hedging products to inspire trust in private investors.[xi]
3. Enhance Research and Development (R&D) Efforts: To promote innovation, enhance technological efficiency, and lower costs, it is crucial to invest in research and development efforts specifically geared towards the wind energy industry. Governments can set up research facilities, provide funding for research endeavors, and encourage interaction between academia, businesses, and research organizations. It will also encourage the development of localized solutions and a competent workforce for the wind energy industry.[xii]
4. Promote Local Content and Job Creation: African nations should encourage local content. This involves promoting the usage of wind turbines, parts, and services made and manufactured locally. Such measures promote domestic economic expansion and job creation and aid in knowledge transfer and professionalization of the wind energy industry.
Feed-in Tariffs and Incentives: Governments can promote wind energy development by offering feed-in tariffs to attract investors.[xiii]
Energy Regulations and Licensing: Developing unambiguous and comprehensive regulatory frameworks for wind energy is paramount. Establishing specific regulations pertaining to licensing, permitting, and environmental assessments for offshore installations is imperative. Such measures would enable efficient and effective sector management, ensuring the protection and preservation of natural resources.[xiv]
CONCLUSION
By implementing effective mechanisms via policies, regulations and laws, African countries can successfully harness the power of wind energy to not only promote sustainable energy and economic development, but to also address crucial energy access and environmental concerns. Such proactive measures can pave the way for a brighter, cleaner, and more prosperous future for the African populace, while also contributing to a more sustainable global energy landscape.
[i] Djibouti launches its first-ever wind farm’ <https://renewablesnow.com/news/djibouti-launches-its-first-ever-wind-farm-833569/ >
[ii] Ibid
[iii] Ibid
[iv] Sonia Adnane ‘Wind power can deliver a sustainable future for Africa’ <https://www.siemensgamesa.com/en-int/explore/journal/2022/11/africa-sustainability-wind-power-cop27 >
[v] Ibid.
[vi] ‘Africa Energy Review 2021’ < https://www.pwc.com/ng/en/assets/pdf/africa-energy-review-2021.pdf >
[vii] Emmanuel Anwanaodung, ‘Wind power in Africa: Struggles, Opportunities, and Successes’ <https://blog.mustardinsights.com/in-africa/wind-power-in-africa-struggles-opportunities-and-successes-8lZPS >
[viii] Ibid.
[ix] ‘Top 10: Wind Farms in Africa’ < https://energycapitalpower.com/top-10-wind-farms-in-africa/ >
[x] David Omata, ‘Incentive mechanisms for private investments for Wind Energy Projects’ <https://businessday.ng/paywall-free/article/incentive-mechanisms-for-private-investments-for-wind-energy-projects/ >
[xi] Ibid.
[xii] Ibid.
[xiii] Asian Development Bank Institute, ‘Feed-in tariffs and loans for boosting private investment in renewable energy < https://www.asiapathways-adbi.org/2019/10/feed-in-tariffs-and-loans-for-boosting-private-investment-in-renewable-energy/ >
[xiv] ‘Regulatory Frameworks for Marine Renewable Energy’ < https://tethys.pnnl.gov/regulatory-frameworks-marine-renewable-energy >