Page 12 - AfrElec Week 48 2020

AfrElec NEWS IN BRIEF AfrElec

DEMAND albeit at a lower pace than in other regions (5 year.
percent). Most of the RE growth comes from The industry data available to Energy
African Energy Chamber solar, wind and geothermal power plants, and Vanguard shows that oil and gas firms
this expected to continue into 2030. Africa
operating in the country flared 286.8 billion
projects Africa’s power generated 830 megawatts (MW), 5,748 MW standard cubic feet, SCF, of gas between
and 7,236 MW of geothermal, wind and solar
January and October 2020.
demand to keep rising by installed capacity in 2019, signifying growth obtained from the National Oil Spill Detection
However, according to gas flare data
rates of 17.4 percent, 26.1 percent and 60.2
4-5% per year percent respectively since 2010. and Response Agency, NOSDRA, the volume
Nonetheless, most of these RE
of gas flared in the 10-month period was 23.84
Africa’s electricity generation capacity has developments on the continent are limited per cent lower than the 376.6 billion SCF, BCF,
grown at an average of 4.8 percent per primarily to Northern (Morocco, Egypt) of gas valued at $1.3 billion, about N492.7
annum since 2008; The Chamber remains and South-Eastern Africa (South Africa, billion, flared in the same period in 2019.
determined in its commitment to seek a Kenya). Given the declining costs of key The NOSDRA report added that the
fair and just resolution that puts forth the RE technologies along with rising concerns volume of gas flared from January to October
interests of African people, businesses, over CO2 emissions, the level of renewables 2020 attracted penalties of $573.5 million,
investors and economic growth; This is an deployment, particularly solar and wind about N217.36 billion.
excerpt taken from the Africa Energy Outlook energy is expected to increase by 1.5 percent It noted that the flared gas was equivalent
2021. Get your free copy today on www. annually over the next decade to 2030. to 15.2 million tonnes of carbon dioxide, C02,
EnergyChamber.org. Regarding sectoral electricity consumption, emissions and capable of generating 28,700
Total electricity generation in Africa the industrial sector remains the continent’s gigawatts per hour, GWH, of electricity.
stood at 870 terawatt-hours (TWh) in 2019, largest user (41 percent) followed by In comparison, the volume of gas flared
an increase of 2.9 percent from 846 TWh in residential (33 percent), commercial and from January to October 2019 attracted
2018. Africa’s electricity generation capacity public services (18 percent) and agriculture penalties of $753.2 million, about N285.46
has grown at an average of 4.8 percent per (4 percent). Transport consumes a small billion.
annum since 2008, compared to 2.7 percent proportion (approximately 1 percent) while According to the report, the flares are
globally. Nonetheless, Africa’s share of global the remaining 3 percent was accounted for by equivalent to carbon dioxide emission of 20
electricity generation has been around 3 other sectors. million tonnes capable of generating 37,700
percent since 2000. GWH of electricity.
The African Energy Chamber forecasts The onshore and offshore breakdown of
that 2021 generation is likely to range between the flaring, according to the report, show that
870-900 TWh if demand picks up aggressively GAS FL ARING companies operating onshore accounted for
throughout the year following the gradual 57.78 per cent of total gas flared in the first ten
removal of COVID-19 lockdown restrictions Nigeria: Flared Gas Capable months of 2020, with 165.7 BCF of gas valued
and economies opening more fully to at $580.1 million or N219.86 billion.
international trade. Our base case forecast of Generating 28,700 Gwh
using a conservative 4.5 percent yearly growth
(current stated policies) shows that electricity of Electricity
generation on the continent will increase THERMAL POWER
by 25 percent, 55 percent and 141 percent As the age-long battles over gas flaring in
of 2020 baseline levels to reach 1,057, 1,138 Nigeria’s oil industry seem intractable, a total Flexicycle plant improves
and 2,047 TWh by 2025, 2035 and 2040 of $1 billion, about N379 billion, has been
respectively. This increases to 1,520 in 2030 recorded as the cumulative value of gas lost electricity access at lower
and 2,700 TWh in 2040 in a more aggressive to the recorded incidents in 10 months of this
push to expand capacity at 6 percent per
annum.
The latter assessment is premised on Africa
aggressively pushing to expand electricity
supply and modern energy services within
the framework of the Africa Agenda 2063 on
energy and infrastructure development. This
will ensure that generation expansion will
outpace population growth on the continent
(Africa will have 1.8 and 2.45 billion people by
2040 and 2050).
Regarding the supply mix, natural gas (39
percent) constitutes the largest element in
Africa’s electricity generation mix, followed by
coal (29 percent), hydro (15 percent) and oil
(10 percent).
While nuclear energy accounted for
another 2 percent, the share of renewables
(RE) in Africa’s generation mix is growing,

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