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As the global fight against climate change gathers pace, more financial market regulators in Africa are introducing environmental disclosure policies. **By Conrad Onyango, bird story agency** The list of African countries introducing financial market policies related to environmental, social or governance (ESG) issues is growing, amid a global push for sustainable investing. 17 countries on the continent now have sustainability-focused policies, after another five joined the growing list in just the last 12 months, according to the latest joint report by the think-tank, Official Monetary and Financial Institutions Forum (OMFIF) and Absa Bank. “Countries are working hard to ensure that they are well placed to attract the sort of global capital that is focused on long-term sustainability,” said Arrie Rautenbach Chief Executive Officer, Absa Group. Launch of a strategic five-year plan that includes a provision encouraging the promotion of a ‘sustainable financial system’ in Uganda and the requirement by the Namibian Stock Exchange for companies to set up social, ethics and sustainability committees have been listed among key developments in entrenching green rules on the continent. In early October, Namibia’s Government Institutions Pension Fund launched its ‘responsible investment’ policy to facilitate the integration and implementation of environmental, social, and corporate governance (ESG) into all aspects of the fund's investment activities. In July, the Bank of Uganda launched a strategic plan for 2022-27 citing the promotion of a sustainable financial system among its key goals. Uganda’s Central bank Deputy Governor, Michael Atingi-Ego, cited among others, “Our SP 2022 - 2027 includes a progressive approach to emerging issues such as central bank digital currencies; sustainability of the financial system; climatic risk.” Egypt, Kenya, Mauritius and South Africa top the report's sustainability policy rankings, with commercial lenders in these countries required to incorporate climate change into their risk profiling. Africa's 'green' rules on the rise [Graphics:Hope Mukami] In Kenya, lenders have started reporting on environmental responsibility disclosures, with Kenya Commercial Bank, a top-tier lender, saying it has cut its carbon footprint by 11.25 per cent in its premises across the six countries. In its Sustainability report dubbed, Progressive Action for Sustainable Development, covering Kenya, Tanzania, South Sudan, Uganda, Rwanda and Burundi, reported screening loans worth over US $2.8 billion (Ksh 336 billion) for social and environmental risks while increasing its green portfolio in the past two years. In the last 12 months, however, Namibia, Uganda and Kenya have been among the countries that significantly increased their scores attributed to their progressive nature in implementing green rules. “They have bolstered their environmental, social and governance market frameworks and, in Kenya, climate risks have been incorporated into financial stability regulation,” outlined the report. Nine countries- Mauritius, South Africa, Ghana, Kenya, Namibia, Nigeria, Egypt, Tanzania and Morocco now offer sustainable financial products including green bonds. For the first time since the index was launched in 2017, countries have begun doubling their overall scores with 19 seeing their performance lifted even in difficult operating environments, affirming the growing attractiveness of sustainable financing to investors. The authors of the report have linked the improved country rankings to a sustained focus on fostering a financial market ecosystem, better placed to meet Africa’s financing needs. “This was largely due to broad-based progress in developing sustainable financial markets, which is becoming increasingly important to global investors,” said the report. Financial markets in Africa have faced disruption from the pandemic and before that faded, spillovers of the Russia-Ukraine war and tighter global financial conditions dampened their growth prospects. **bird story agency**

For all those forced to walk or cycle to work or school every day, a new report highlighting the positive climactic impact will not bring much relief. But in the global race to decarbonise, the impact of the millions who walk, is huge. Now, how to keep these increasingly affluent commuters, "green"? **By Conrad Onyango, bird story agency** Africa’s ‘default’ mode of walking and cycling is helping the continent stay ahead in the world's race to decarbonise its transport sector. Only one in every three Africans benefits from motorised modes of transport daily, according to UN-Habitat, making it the region with the lowest access to public transport in the world. While that statistic - which is likely to change substantially as Africa's economy develops - is a negative for those concerned, it is a huge positive for the world. The United Nations Environmental Programme (UNEP) shows that up to 78 percent of people walk for travel every day to access healthcare, education, shops, jobs and transport, often because they have no other choice. Two new reports view these as a blessing in disguise and are building a case for walking and cycling as the most affordable and sustainable transport modes. A new report, Walking and Cycling in Africa - Evidence and Good Practice to Inspire Action calls for more focus and investments into non-motorised modes of transport to keep the impending rise in carbon emissions at bay as more cars enter Africa's roads, thanks to rising incomes and urbanisation. “ In Africa, where there is an incredibly high modal share in walking and cycling, decarbonization of the transport sector means retaining and enabling people to move safely in their cities by foot or bicycle,” said UNEP Africa Office,Acting Director and Regional Representative Frank Turyatunga. Up to one billion Africans spend 56 minutes walking or cycling for transport every day, generating the least noise and air pollution of any commuting population in the world, according to the report by UN Human Settlements Programme (UN-Habitat), the UN Environment Programme (UNEP), and the Walk21 Foundation. However, governments need to act to support walking and cycling. While the continent accounts for just 3 percent of the world’s registered vehicles, it is home to 20 percent of global road traffic deaths. More than 260 000 people were killed on African roads in 2019. Of these 36 percent were pedestrians and 3 percent were cyclists. That makes African countries among the least safe places to walk and cycle in the world. Walk21 Foundation Chief Executive Officer, Bronwen Thornton, said the continent’s leadership and policymakers need to start building better facilities to increase the value of - and people’s satisfaction with - walking and cycling. “We can put walking and cycling at the heart of planning and investment for our streets and neighbourhoods. They are the solution to the multiple challenges we face and usually at lower costs than the alternatives,” she said. Walking and cycling keeps Africa ahead in the global race to decarbonise[Graphics: Hope Mukami] The latest Climate Reality Barometer by Epson shows walking and cycling among actions that Africans in Kenya, South Africa, Morocco and Egypt are planning to embark on or are currently engaged in, to minimise the impact of climate change. Of 26,205 people surveyed across 28 markets, 87.2 percent plan to embrace non-motorised transport and 31.8 percent have done so over the last 12 months. Over the past year, 18.6 percent of those surveyed made a shift to renewable energy. “We hope that the Barometer’s insights will help governments, industries and individuals to step up their efforts to avert climate disaster. While we know there is a long way to go, we believe we can build a better future if we work together and act now,”  said Epson Global President, Yasunori Ogawa. According to the Barometer, more than eight in 10 people (80.2%) cite having witnessed climate change in their daily lives as the most influential factor in building awareness. “Planning for the long term and enabling people to take climate action now is the most powerful action countries can take to sustain climate optimism, reduce carbon pollution and build resilience to climate impacts," said environmental scientist and Co-CEO of Change by Degrees, Tara Shine. The authors of the Walking and cycling Africa report call for improved urban planning and design that focuses on how to bring people and places together, as many cities begin to accelerate a COVID-19-related expansion on walkways and bike lanes. “There is a window of opportunity for change in the way we organize our transport systems,” said the United Nations Human Settlements Programme, Director for the Regional Office for Africa, Oumar Sylla, of the immediate post-COVD period when governments are still looking to enhance the wellness and resilience of their populations. Among African cities that are already making progress are Addis Ababa - with a plan to build 1,000 km of pedestrian routes and cycling lanes - and Yaounde, which has strict plans around pedestrian access. Kenya's government has also committed to investing in walking and cycling infrastructure. Zambia, Ghana and Senegal have Pedestrian Safety Action plans that promote investment in safer road crossings, wider footpaths and protected bike lanes, as well as shelter for pedestrians from weather, secure bike parking, lighting, and improved access to public transportation. bird story agency

Three African countries are poised to lead the world in the switch to carbon-free steel production. By Conrad Onyango, bird story agency Egypt, Algeria and Libya have been listed among the countries set to lead the world in what is expected to be a massive shift to carbon-neutral steel production by 2050. In 2021, the three North African countries, together with six others in the Middle East, produced more than 55 million tonnes of steel using gas-fired plants, accounting for 46 percent of the world's "low-carbon" steel. In Africa, Egypt leads in gas-based steel production with 5.2 million tonnes, accounting for 50 per cent of its crude steel, followed by Algeria (3.08 million tonnes) and Libya (0.88 million tonnes), according to an analysis by the Institute for Energy Economics and Financial Analysis (IEEFA) covering the Middle East and North Africa. These countries, based on the analysis have among the world’s highest number of gas-fired plants using direct reduced iron-electric arc furnaces (DRI-EAF) that use a mixture of carbon monoxide and hydrogen derived from natural gas to remove oxygen from iron ore - part of the refining process. Currently, hydrogen makes up some 55 percent of that mixture. Analysts now point to the potential of these African countries to quickly switch from natural gas to the 100 percent use of green hydrogen (hydrogen made using renewable energy) as a feedstock, offering the three countries an opportunity to leap ahead in production terms. “With ample renewable energy potential, the region could become a leader in hard-to-abate and carbon-intensive industries, specifically steel,” said Soroush Basirat, energy financial analyst at the Institute for Energy Economics and Financial Analysis (IEEFA). IEEFA analysts also say that green hydrogen offers these countries the upper edge when it comes to significantly expanding carbon-free steel production at very low costs compared to their global peers. According to Basirat, Africa’s steel industry must first work on replacing 30% of natural gas in their steel-making plants with green hydrogen since the existing capacity does not require extra investment for replacing the base technology. “All new investment could be focused on expanding production of green hydrogen among other renewables. If it acts fast, MENA has the potential to lead the world in green steel production,” she said. Already, Africa has begun recording major investments in green hydrogen, particularly in countries such as Mauritania, Namibia, South Africa, Morocco and Egypt. In February, South African President Cyril Ramaphosa announced the development of a pipeline of green hydrogen projects worth some US$ 17.8 billion over the coming ten years. Neighbouring Namibia, in November 2021, announced a US$ 9.4 billion green hydrogen project to be developed near the coastal town of Luderitz. Accelerating these efforts across the continent, Kenya and other countries have embarked on baseline studies to consider the production of green hydrogen at scale. Egypt, Algeria and Libya set to lead world's ‘green steel’ revolution [Graphics:Hope Mukami] Three months ago, Kenya, South Africa, Namibia, Egypt, Morocco and Mauritania formed an alliance to boost cooperation around green hydrogen projects in Africa. Rising demand for green steel is led by European car manufacturers, which are leading a bid to "green" their production processes. Top carmakers like Mercedes Benz and BMW are looking to green steel to help them meet their carbon reduction targets. A Swedish-Finnish advisory firm, AFRY AB, said that although countries would face higher green hydrogen production costs than traditional fossil fuel methods, this would vary, based on the costs of renewable energy sources. “One of the biggest challenges facing the industry is how to decarbonise and produce “green” steel in an extremely competitive market,” said AFRY AB in its latest analysis, "Green Steel: Decarbonising with Hydrogen-Fuelled Production". “This means they (cost of renewables) vary by region, but also that they will reduce as production capacity and subsidies for renewables and green hydrogen increase” AFRY said. With vast unpopulated areas and some of the world's highest solar energy capacity, a number of Africa countries have the potential to create renewable energy extremely cost effectively. The North African countries offer more than 5.8-kilowatt hours (Kwh) per square metre per day of solar potential, compared to around 3.8 Kwh/day in Europe, according to the World Bank. Lower solar energy costs will help reduce the price - currently still prohibitively high - of creating green hydrogen at scale. Local production of hydrogen will also minimise one of the biggest hurdles facing a hydrogen economy - transport costs. “Access to such rich solar energy resources will allow for production of green hydrogen at a competitive price,” said Basirat. According to the International Energy Agency (EA), countries in North Africa and Middle East have potential to produce green hydrogen below US$1/kg by 2050. The IEA, in its Net Zero Emissions scenario, projects that the global share of hydrogen-based green steel production will reach 29 percent of primary steelmaking by 2050. More optimistically, BloombergNEF estimates that 56 percent - equivalent to 840 million tonnes of primary steel production, will come from green hydrogen-powered plants by 2050 in a net zero emissions scenario. African countries, from the north, to the south - where South Africa not only has huge solar potential but also mines large amounts of iron ore - stand to gain from this switch to green steel, if they move fast enough to retain a competitive position. bird story agency

Kenya's power utility lays out plans to substantially reduce its carbon footprint by purchasing more e-vehicles, rolling out nationwide charging stations and opening up its national power channel to private sector players. **By Conrad Onyango, bird story agency** Kenya is racing ahead of many African peers as it formally begins phasing out fossil fuel-powered vehicles in state-owned firms. The country’s public utility firm, Kenya Power, is leading the country’s switch to electric vehicles (EVs) with an initial commitment of US $300,000 (over 40 million shillings) to start overhauling its fleet and begin the construction of electric vehicle charging stations across the country. “As a responsible business, Kenya power is actively promoting adoption of clean energy. We have a very critical role in supporting e-mobility ecosystem to ensure that every electric vehicle has a place to charge,” said Kenya Power, Acting Managing Director, Geoffrey Muli. In this financial year, the power distributor will use the funds to purchase three electric vehicles - two pickups and a four-wheel drive - to pilot the shift. The funds will also be used to put up three charging stations in Nairobi for the company’s use and demonstration. In the medium term, the country’s sole power distributor is looking to purchase 50 long-range electric motorbikes to initiate a planned phase-out of diesel and petrol-powered vehicles. Kenya Power is leveraging its national electricity distribution capacity to drive the uptake of EVs in the country, with a commitment to help plug in startups and companies investing in electric mobility. “We are supporting the private sector to ensure those who want to install electric charging points are connected in a timely manner,” said Muli. Kenya’s current installed electricity capacity stands at 3,077 MW, with only 1,100 MW in use during off-peak periods. The country’s energy mix is mostly clean energy (92 percent) with hydro and geothermal power, equally split, making up the bulk. Wind power made up 11 percent in 2020, according to a Cleantechnica (cleantechnica.com) report. Extra capacity can be funneled into mobility, according to officials. “This means that Kenya has enough power to support the entire e-mobility ecosystem,” Muli affirmed. In August, the public utility company initiated a search for e-mobility technology partners to design a charging infrastructure, billing and payment system as well as service management - indicating it is inching closer to the planned nation-wide rollout of charging stations. According to Kenya Power, approximately 1,000 electric vehicles are already on Kenyan roads. That is behind South Africa and Morocco. South Africa’s Automotive Business Council - Naamsa - shows the country’s clean energy vehicle figures rose to 2,139 by August. Kenya on a charge with e-mobility [Graphics: Hope Mukami] Morocco sold 83,831 electric cars in the first half of 2022 but the bulk of those were for export, with electric vehicles on its roads accounting numbering 3,353, according to that country’s media. These numbers are still low compared to a total fleet of 12 million vehicles in South Africa, 4.7 million in Morocco and some 2.2 million on Kenyan roads. While there has been an increase in investment in e-mobility in South Africa, Kenya and Morocco over the past 12 months, overall sales are hamstrung by a lack of tax incentives or even by punishing duties. A 2022 AutoTrader Mid-Year Industry Report, ranked South Africa among the countries with the most expensive EVs in the world. South Africa has an import tariff of 25 percent for EVs- even higher than the 18 percent for fossil-fuel-powered vehicles. McKinsey, in its report, Power to move: Accelerating the electric transport transition in sub-Saharan Africa points to other hurdles standing in the way of green mobilty. “While momentum is building, sub-Saharan Africa faces some unique challenges in its electric mobility transition, including, in some cases, unreliable electricity supply, low vehicle affordability, and the dominance of used vehicles,” said Mckinsey. However, according to the advisory firm, many countries have made significant strides in improving electricity access. South Africa, Kenya, Rwanda, Uganda, Ethiopia, and Nigeria have urban electricity access rates above 70 percent and in some cases, more than 90 percent. Kenya's haled import duties for fully electrical vehicles to 10 percent in 2019, while Rwanda has announced tax exemptions for EV sales. Both moves point to African governments getting behind clean mobility. **bird story agency**

Startups working to mitigate climate change in Africa have caught the eye of investors as venture funds flow into technology that could shape the future of energy on the continent. **By Conrad Onyango, bird story agency** Investment into African tech startups that focus on mitigating climbing change is beginning to rise, following a global trend - albeit at much lower valuations than elsewhere. Since the start of the year, green tech startups offering solutions that help countries keep to the Paris Agreement’s goal of limiting global warming to below 1.5 degrees Celsius have attracted growing investor interest. Several venture capital firms are actively hunting startups while others are building up their war chests to capitalise on existing opportunities - including the take-over of successful and promising energy startups. The recent acquisition of Ghana-based solar energy startup, PEG Africa, by UK-based power company, Bboxx is among the most significant deals in this vertical, so far. PEG, with a pay-as-you-go solar home system, has a customer reach of one million. The company, already present in Senegal, Ghana, Mali and Ivory Coast, is served by over 500 employees in 100 centres. Reports value the deal at US$ 200 million. “The agreement was closed on 6th September 2022. Financials have not been disclosed,” said Bboxx in a statement. Following the deal, the two became the fastest-growing clean energy firms on the continent, with a combined customer base of 3.5 million across 10 African countries. Canadian investor FinDev Canada pumped US$ 13 million into the Energy Entrepreneurs Growth Fund (EEGF) in January. EEGF invests in early and growth-stage energy startups in sub-Saharan Africa. The fund - founded by oil marketer Shell - seeks to increase access to clean energy for households and off-grid businesses in the region. Two months ago, Africa's Climate Venture Builder, Persistent Energy, closed a US $ 10 million series C funding round to strengthen its team and scale climate activities in Africa. It said the funding has the potential to improve 2 million lives, create 6,000 green jobs and cut 700,000 tonnes of carbon emission. “By leveraging powerful partnerships, we will be able to accelerate our most pioneering venture building investments, driving the transition to clean energy, promoting e-mobility and finding innovative business models and technological developments across the continent,” said Persistent Managing Partner, Tobias Ruckstuhl. Over the last two decades, Persistent has engaged in 22 early-stage investments in pay-as-you-go- solar home systems, commercial and industrial solar, as well as e-mobility players including Kenya’s e-mobility startup, Ecobodaa. Boston-based venture accelerator, Catalyst Fund has announced plans to begin funding Fintech and climate resilience startups in Africa starting October 2022. Venture capital is flowing into Africa’s sustainable energy startups [Graphics: Hope Mukami] “We are actively looking for early-stage startups that improve the resilience of underserved and climate-vulnerable communities in emerging markets. Our next cohort will kick off in October 2022,” announced the venture firm. It is looking for startups offering solutions in recycling, sustainable agriculture, carbon credits and sustainable utilities like water management and clean energy. Already, the fund has received US $ 3.5 million from FSD Africa to support these initiatives. Research firm Magnitt, shows energy startups raised hundreds of millions of dollars in the first half of 2022. Africa energy startups drove 67 percent of this capital. A comparative report, State of Climate Tech 2021 by advisory firm PwC also highlights the growing attractiveness of the sector across the globe. According to the report, investments in climate tech surged in the first half of 2021, to US$ 87.5 billion globally, from a low of US$ 28 billion in the second half of 2020. “Though this area presents a major commercial opportunity, due to the inherent value associated with reducing emissions, there is still much work to be done to channel this investment appropriately,” said PwC researchers. US climate tech firms raised the largest share (US$ 56.6billion), followed by Europe and China (US$ 18.3 billion and US$ 9 billion respectively). Most of this capital funding growth targetted electric vehicles. **bird story agency**

Electric motorcycles, bicycles and quadricycles are driving the future of sustainable mobility in Africa as an affordable and practical electric vehicle option. by Seth Onyango, bird story agency From four wheels to two, or even three - the pursuit of cost-effective transportation is accelerating the adoption of electric bikes in Africa as gas prices soar. Analysis shows that e-bikes, with their considerable cost advantages, are spreading much faster than other electric vehicles on the continent, with e-commerce and delivery services driving market penetration. Light, battery-powered transportation models are becoming especially popular in Africa's major cities, where demand for daily commutes is growing rapidly. Kenya has become a hotspot of e-bike growth after a number of start-ups chose to set up shop in the country's capital. In February 2021, Kenya-based ARC Ride launched an electric motorcycle-based service for Uber Eats deliveries in Nairobi. ARC Ride is now on course to grow its fleet to more than 2,000 electric eBikes and electric three-wheelers (Tuk Tuks) to ply different routes in Nairobi by the end of 2022. A transport operator riding an electric motorbike model from Roam in Nairobi. Credit: Roam ARC is also building its own charging network to facilitate in-city charging of e-bikes on its network. The service is also planning to enter other African markets on the back of the successful adoption of its e-mobility offerings in Kenya. Meanwhile, another 3,000 Kenyan designed-and-built electric bikes are expected to hit the streets of Kenya and other African cities following a strategic partnership between global ride-hailing firm Uber and a Swedish-Kenyan firm, Opibus, now known as Roam. A Roam electric motorcycle model, tailored for commercial usage such as carrying passengers or cargo with safety at the forefront. Credit: Courtesy Albin Wilson, Chief Strategy & Marketing Officer at Roam told bird that with the adoption of electric transportation, Africa is able to significantly slash local emissions. "We feel like we shouldn't get Africa stuck in the old ways of the west. Africa has the possibility now to leapfrog into new technology and start correctly from the beginning, by not having the weight of historical mistakes that includes a lot of fossil fuel vehicles," he said. Roam said it is betting on Uber’s presence in African markets to accelerate the mass adoption of electric vehicles across the continent. “We're seeing a huge demand for locally-designed electric motorcycles on the African continent, and by working with Uber we've now been able to prove the feasibility for large-scale deployment. Next year we're scaling up our production to meet the market demand, both in Kenya and in the region,” explained Mikael Gånge, Co-Founder and Chief Sales Officer of Roam. A staff making final touches on a Roam electric motorcycle at the company’s manufacturing plant in Nairobi. Credit: Roam E-bikes are motorcycles, pedelecs, scooters, and other battery-powered two or three-wheeled bikes, that are equipped with an electric motor for propulsion. Some can be partially pedalled or fully electrically propelled, depending on their configuration and are seen as a tool to help reduce the carbon footprints from daily commutes. Fuel and maintenance costs for electric motorcycles in Africa are 40 per cent less on a per-mile basis than their fossil-fuel equivalents. The United National Environment Program (UNEP), which sees e-bikes as a cheaper and healthier mode of transportation for African cities, is funding e-bike projects in a number of African countries. According to Global Fleet (GF), the UN agency projects sales of both electric and traditional two and three-wheeler motorcycles to jump 50 per cent by 2050. In Kenya alone, UNEP estimates that motorcycles will triple to five million this decade, driven by services like ARC. UNEP’s Emob calculator shows that a global shift to electric motorcycles could prevent 11 billion tons of carbon dioxide emissions, more than double the annual energy-related emissions in the United States of America, from being released into the atmosphere. Globally, the electric bike market size was valued at US$ 45.75 billion in 2021 and is forecast to reach US$ 109.53 billion by 2030 - a growth of some 10 percent per annum - while Astute Analytica figures show the Middle East and Africa eBike market was valued at USD 822.22 million in 2021 and is projected to reach US$ 1.7 billion by 2029. Lithium-Ion accounts for the largest battery type segment in the respective market owing to the as these batteries are smaller in size, and long-lasting. In November 2021, Africa’s e-commerce giant, Jumia said it had begun replacing 'hundreds' of the fuel-based delivery motorbikes used by its riders, through a partnership with a Kenyan Start-up eBee Africa. Jumia described the decision to switch to E-bicycles as consistent with the firm’s effort to be an environmentally conscious organization. “This pilot with eBee is the beginning of a conscious push across Africa into EVs. We hope we can play a part, as early adopters, in speeding up the penetration of the industry in Africa” said Jumia Services Country Manager, Ankur Agarwal. According to Global Fleet, the governments of Kenya, Uganda, Rwanda, Ethiopia, Burundi, Madagascar, and Seychelles are cooperating to spearhead the region’s transition to e-mobility. There are currently more than 20 start-ups and companies promoting and developing electric motorcycles and three-wheelers in East Africa alone. “While these vehicle types are not yet as popular in Africa as they are in Asia – where the proximity of and joint ventures with China are fuelling the market – this may soon change,” GE notes. A transport operator riding an motorbike model from Roam in Nairobi. Credit: Roam In Rwanda, startup Ampersand plans to scale up the number of electric motorcycles from its current fleet of 56 drivers on the country’s roads to ‘several thousand’ and also grow in the Kenyan market by the end of 2022, as it eyes the potential to electrify the around 5 million fuel-powered motorcycles in East Africa. Another Kenyan startup, Ecobodaa, with a similar business model to Ampersand, began the production of its electric bike brand in November as it ramps up the roll-out of battery swap stations across the country. Ecobodaa is betting on a rent-to-own business model to boost uptake. While there is plenty of buzz around e-mobility in East African countries, East Africa is hardly the only region to experience a rapid increase in the eBike market. Bonafide Research's South Africa Electric Bicycle Market Overview, 2027, shows the market will expand significantly in the forecast period as the pursuit of healthy lifestyles, fitness trends and recreational activities drives sales. In West Africa, Nigeria's Federal Ministry of Power in April unveiled 10 electric-powered motorcycles manufactured by MAX Nigeria under its Electric Vehicle opportunities in rural and peri-urban communities in Nigeria. Germany and the EU which are part of the project, hope significant adoption of the eBikes will follow. The African market is also attracting investors from other markets outside the continent, with the latest hailing from Asia. In July last year, Indian EV maker, One Electric, announced the start of deliveries for its motorcycle brand, Kridn in Kenya, with plans to expand to four more African countries in 2022. Global Fleet notes that more companies are also taking notice of Africa’s EV potential including Mellowcabs, based in Stellenbosch, South Africa, which operates 60 light-duty electric delivery vehicles in Botswana and Namibia, as well as South Africa. "Japan’s Yamaha Corporation took part in funding for electric motorcycle delivery company MAX.NG. The company is on track to launch 1,000 EVs in Nigeria by the end of 2021," its analysis shows in part. bird story agency

New carbon credit trade initiatives, including the use of blockchain technology, are offering African nations a new opportunity for climate action. By Conrad Onyango, bird Africa Story Agency A recently-launched blockchain-based trading system is just one new initiative offering African nations an opportunity to benefit from carbon-trading and reduce emissions. The World Bank’s private sector financing arm, the International Finance Corporation (IFC), recently partnered with three US-based technology companies to launch the Carbon Opportunities Fund. The global investment platform allows emerging markets to use virtual currencies in the sale and purchase of carbon credits. Carbon credits are permits, common in the US and Europe, that allows the owner to emit a certain amount of carbon dioxide or other greenhouse gas. They can be traded to benefit entities working to reduce carbon dioxide emissions. One of the US-based companies, Cultivo, will source land for regeneration projects in Africa, producing ‘high quality" carbon credits, while another, Aspiration - with over 7 million members, who buy credits to offset their personal carbon footprints - will advise on the green projects. Those include tree planting and solar and wind power investments. The third, Chia Network, founded by the creator of software firm BitTorrent, will provide the blockchain technology in the form of a secure digital ledger that will be tracked by the World Bank’s Climate Warehouse. The IFC said this new regime will improve transparency and integrity and allow capital markets to fully engage in global carbon trading. “This framework that will use new blockchain technologies is an innovative way for capital markets to fully engage in carbon trading in a transparent, secure, fair and beneficial way,” said IFC Senior Global Director of the Financial Institutions Group, Paulo de Bolle. Blockchain offers to boost Africa’s carbon market [Graphics: Hope Mukami] According to de Bolle, environmental solutions that restore and protect ecosystems can make up to 40 percent of the carbon dioxide (CO2) removal needed to address the climate crisis. The UN Global Compact says green methods can provide over one-third of the cost-effective climate mitigation needed between now and 2030 to keep warming to below two degrees Centigrade. The Intergovernmental Panel on Climate Change (IPCC) in its sixth assessment report warned that two degrees of warming will be exceeded during the 21st century unless deep reductions in greenhouse gas emissions are achieved now. In another carbon trading initiative, talks have also begun on the planned development of an African carbon credit market. The project, led by the UN’s Economic Commission for Africa (ECA), is building on a regional carbon registry and a harmonised protocol for the issuance of carbon credits for countries along the Congo Basin. Early in August, the ECA hosted a group of experts in Addis Ababa to explore how Africa can take advantage of the rising interest in carbon trading, as witnessed in the surge of offerings on international exchanges. “Carbon markets would be an opportunity for African countries to leverage the true value of their natural capital and raise much-needed resources for development and climate resilience,” said outgoing UN Economic Commission for Africa (ECA), Executive Secretary Vera Songwe. A number of other initiatives to promote the sale of carbon credits to finance the distribution of clean cooking systems in Africa have also emerged. In May, C-Quest Capital (CQC), a carbon finance and private equity business, secured US$ 10 million to support the distribution of environmentally-friendly stoves, to seven million households across 15 countries in Africa. Among the key beneficiary countries are Malawi, Kenya, Uganda, Zimbabwe Zambia, Mozambique, Tanzania and Angola. In Mozambique, Maputo-based firm UpEnergy Group, through its initiative Community Carbon, rolled out a credit plan valued at US$ 20 million to deploy 3.5 million cleaner, fuel-efficient stoves. In July, Paris-based Aera, which markets itself as the largest originator and trader of African carbon credits, renewed its partnership with Ecosphere+, a provider of green methods, to sell carbon credits for clean cooking to more African markets. “We are delighted to deepen our partnership with Aera and expand into new regions to continue transforming outcomes for climate, nature and people,” said Ecosphere+ Executive Director, Lisa Walker. In a further initiative, Gabon has also taken its climate action a notch higher with plans to begin collecting "biodiversity credits" to preserve its natural resources. Among the most forested countries globally with over 88 percent of its total surface area covered by rainforests, Gabon plans to sell 90 million carbon credits ahead of the COP 27 climate summit in November. In 2021 the country became the first African nation to start earning money from efforts to protect its forests, receiving 17 million US dollars from the Central Africa Forest Initiative. The country announced in June that it intends to initiate a debate on biodiversity credit in its race to top the world in the preservation of nature. “We will start working on a biodiversity credit system like carbon credits. The Congo Basin is the heart and lungs of Africa, and it helps to maintain the stability of our continent. Surely we can put a price on this service and put a value on this equatorial forest,” said Gabon Minister of Water and Forests, Lee White. Congo Basin “forest carbon” currently trades at US$ 5 per ton on international carbon markets but the president of the Democratic Republic of Congo, Felix Tshisekedi, last year began a push to raise that to US$ 100 per ton. Africa is widely regarded as an untapped market for carbon trading. However, most countries still lack the regulatory frameworks needed to drive carbon pricing. Currently, South Africa is the only African nation to have implemented carbon tax legislation, through its Carbon Tax Act No 15 of 2019. A number of other countries, including Cote d’Ivoire, Senegal and Botswana, are considering introducing carbon trade policies. The World Bank’s annual “State and Trends of Carbon Pricing” report shows that globally, carbon pricing revenue in 2021 rose by almost 60 percent, to US$ 84 billion, highlighting the huge potential for African countries to raise climate finance to pay for its energy needs and transition to a low-carbon future. bird story agency.

The climate finance needs are significant if Africa is to take its place amongst regions creating solutions to the climate emergency, but African leaders are determined to unlock funds. We break down the details of multi-billion pitches likely to be tabled at COP 27 By Conrad Onyango, bird Africa Story Agency Egypt is leading other African countries in mobilising for climate financing with billions of dollars worth of project pitches lined up for the UN’s COP 27 climate summit, scheduled for November. Out of 140 ‘investible and bankable climate positive impact’ projects, Africa has settled on 19 with high regional impact and scope that will be marketed to rich nations, local and regional investors, governments and philanthropists for funding. A projects review by Boston Consulting – the COP27 exclusive consulting partner - shows mixed funding models for all these projects- in the form of public and philanthropic grants, concessional loans, bonds and direct investments. 10 of these projects, covering just energy transition, food security, carbon credits, digital transformation, the Blue Economy, water and cities carry a funding ticket ranging between USD$120 million and US$10 billion. At Cop26 last year, the UK, the US, the EU, Germany and France, announced a ground-breaking 8.5 billion US dollars package to help South Africa increase its share of renewable energy and accelerate the retirement of coal plants. The proposed arrangement of this funding was in form of grants and concessional loans over a period of up to five years, signalling the kind of agreements that may be preceding COP27. Egyptian Minister of Foreign Affairs and COP27 President Designate, Sameh Shoukry said developing countries need adequacy and predictability of climate finance to achieve the goals of the Paris Agreement. “There is an urgent need to unlock climate finance through a massive mobilization of public and private finance for climate actions solutions at the local, national and regional levels across the themes of climate action,” Shoukry said. Host country Egypt will be the single largest beneficiary of the multi-billion-dollar mobilisation drive - with three of its projects taking its total funding ticket close to US$18 billion. The biggest involves a US$ 10 billion fundraise to retire 17 inefficient fossil fuel power plants with a combined capacity of 7,500 MW and replace them with clean energy from wind and solar at a combined capacity of 11,300 MW. Once complete in 2035, it will lead to a reduction of 7.7 million tonnes of carbon emissions annually. By 2025, the country plans to put up a 6 billion US dollar electric light rail to significantly cut down the use of buses for passenger and freight services across the country. Over the next five years, the Egyptian government is also looking to develop six solar desalination plants - at a cost of US$600 million. The plants will gradually reduce dependence on freshwater supplies from the Nile - currently pressured by population growth and climate change. “The project will increase adaptation to possible freshwater shortages due to reduced Nile flows as a result of climate change,” according to the report. Starting next year, Egypt also plans to start a US$800 million crop adaptation program in the Nile Valley and Delta region - to increase the annual production of wheat, barley, maize and sorghum on 1.5 million hectares and boost climate resilience for 30 million rural citizens. Since early August, the COP 27 presidency, in collaboration with among others UN Global Compact, the UN Development Programme and the United Nations Framework Convention on Climate Change (UNFCCC) has held five regional forums on Climate Initiatives to Finance Climate Action and the SDGs. The forums bringing together government representatives, international organizations and multilateral and private financial institutions, as well as philanthropists, have covered Africa, Latin America and the Caribbean, Asia-Pacific, Western Asia and Europe regions. Another US$10 billion fundraise targets the restoration of degraded land in 32 countries that have committed to restoring 128 million hectares of land. This will be funded through a mix of private finance, and public and philanthropy grants. Already US$ 1.4 billion has been committed to the project. Inside Africa’s big climate financing deals [Graphics: Hope Mukami] Nigeria’s big power project, the 3 GW Mambilla hydroelectric power project has also been lined up for financing, with a US$ 6 billion budget. Once complete, it will produce 5,457 GWh of renewable energy, pushing up the use of clean energy in the country to 30 percent. A portion of that energy will be exported to ECOWAS - a regional political and economic union of fifteen countries located in West Africa. A Blue Bond and debt-for-nature swap initiative, valued at US$1.5 billion US dollars and aimed at conserving 2 million square kilometres in the Western Indian Ocean has also been listed The initiative - currently in the design phase - involves purchasing the debt of developing countries in exchange for commitments to preserve blue natural environments. The US$3 billion, 712-kilometer Lesotho-Botswana bulk water reservoir, under development in Lesotho’s lowlands requires a further US$500 million to complete, in order to bolster water security. Another project expected to boost the supply and use of renewable energy in ECOWAS countries is the 150 MW regional solar power park project in Mali – with an annual production capacity of 498GWh – which requires US$250 million dollars after feasibility studies are complete. To further increase the supply of investment-ready clean projects in Comoros, Kenya, Madagascar, Mozambique, Tanzania and Seychelles ocean coastlines, a Blue Natural Capital Facility worth US$120 million will be marketed to investors. As African government leaders continue to aggressively mobilise these funds, they are optimistic that COP 27 – already christened, ‘Africa’s COP’ - will unlock most of the numerous pledges made by private investors and governments from western nations. Ghana’s President, Akufo Addo at a Virtual Climate Adaptation Summit in the Netherlands in early September said Africa can no longer wait for promises, calling for “a standalone implementation plan of the COP26-agreed doubling of adaptation funding by 2025”. “It’s time to turn words into deeds and ambition into action,” said President Addo. Western nations are yet to honour their 100 billion US dollars per year initial promise, due in 2020 and last year’s fresh pledges by some rich countries to double their adaptation finance contributions by 2025 are yet to become a reality. Funding commitments have however begun flowing into the Africa Adaptation Acceleration Programme (AAAP) which intends to mobilise US$25 billion over a period of five years to scale up and accelerate adaptation actions. The African Development Bank is leading this front, with a commitment to provide half of the amount and the rest expected to be delivered by rich nations. One project not mentioned in the Boston Consulting Report: a US$40 billion MoU signed between the Mauritania government and renewable energy company, CWP Global to develop a 30GW plant for low-cost green hydrogen in the West African nation. A number of green hydrogen projects like Mauritania’s are in the works – from Egypt to Morocco to Namibia and South Africa, with major investment deals already announced and some deals are done. At the Adaptation Summit, the United Kingdom (with US$23 million), Norway (with US$15 million), France (US$10 million) and Denmark (US$7 million) announced new funding contributions for the AAAP, to kick-start the mobilization of over US$ 5 billion in climate adaptation investments for Africa. “Developed countries need to provide, by COP27, a clear roadmap of how and when they will deliver on this commitment,” said United Nations Deputy Secretary-General, Amina Mohammed. Other leaders who have echoed these sentiments - and exuded confidence that Egypt’s COP27 will offer a chance to finally deliver on commitments - are the President of Senegal and Chairperson of the African Union, Macky Sall and the President of the Democratic Republic of the Congo, Felix Tshisekedi. “Our time to act is coming to an end. Africa must prioritize adaptation. Africa needs to invest massively in adaptation and resilience,” Sall said, while Tshisekedi’s tone was even more urgent. “With an African COP this year, we cannot miss out on a win for Africa on climate,” he said. An analyst at the economic advisory firm Oxford Economics, Jacques Nel, argues that while funding is critical, African leaders must be cautious of impending implications on the form the funding will take. “We caution leaders to consider the long-term debt implications of such loans, and how this might affect the continent's broader development agenda,” said Nel. According to Nel, a holistic view of embedded infrastructure, developmental needs, available resources and fiscal positions will be needed to draw up the best roadmap to carbon neutrality. bird story agency

Seven more African governments are looking to join South Africa - the only African nation with an operational nuclear power plant – in commercial production of nuclear power. **By Conrad Onyango, bird story agency** At least seven African countries are at various stages – commissioning, shopping for vendors and mapping appropriate sites - in the roll-out of nuclear power plants, as a majority eye 2030 as a start-date for generating electricity from nuclear energy. Egypt is currently the only country to have begun construction, following the formal launch of a site in July. The US$25 billion project, being developed by Russian state energy corporation Rosatom, will have total installed capacity of 4.8 gigawatts (GW) made up of four, 1,200 megawatt reactors, when complete. “Egypt has joined the nuclear club. The plant will be the largest project of the Russian-Egyptian cooperation since the Aswan High Dam. Having its own nuclear energy industry has been a dream for the Egyptian people for more than half-a-century,” said Rosatom Director General Alexey Likhachov, during the launch. Kenya is also inching closer to the development stage, after identifying two coastal sites - Kilifi and Kwale counties – earlier in the year, to put up the country’s first nuclear power generator. The country’s Nuclear Power and Energy Agency (NuPEA) has estimated the project would cost about US$50 million, with construction works planned for 2030, a test run four years later and full operations projected for 2036. African countries pushing nuclear energy [Graphics: Hope Mukami] "There is a need to complement the existing renewable energy sources in Kenya to meet the projected energy demand while achieving low carbon development, through alternative low carbon source," said NuPEA Chief Executive Officer, Collins Juma, during the Tenth Review Conference of the Parties to the Treaty on the Non-Proliferation of Nuclear Weapons early August. Uganda is considering three sites – on the Kyoga, Kagera and Aswa rivers - for the construction of two 1,000 megawatt reactors, by 2031. This follows agreements reached by the country’s Ministry of Energy with Russian and Chinese investors. Last month, Uganda’s President Yoweri Museveni requested of Russian Foreign Minister Sergei Lavrov that Russia help the country build East Africa’s first nuclear power plant. In May, the International Atomic Energy Agency (IAEA) gave Uganda the green light to start building and production of nuclear power. After a false start, Nigeria is starting all over again. Nigerian Nuclear Regulatory Agency opened bidding for construction of a 4 gigawatt nuclear plant in March, 2022 - and the country is reportedly betting on the four-reactor power plant with an equivalent of a third of the country’s total installed capacity, to address power outages. In 2016, the West African nation reportedly sealed a US$80 billion plan for four nuclear stations with Rosatom but this never materialised. After the discovery of uranium deposits four years ago, Tanzania is looking to help from Rosatom and its subsidy Uranium One, which has a license to mine uranium in the Mkuju River within the Selous Game Reserve, to build a research reactor and subsequently set up a commercial nuclear plant. In June, Morocco advanced its plans for nuclear energy after the release of a report that gives its legislators recommendations for making a switch to renewable energy sources. “Morocco has invested in solar and wind energy, and it is now eyeing nuclear energy to ensure its electricity needs in the future… we now need a national decision to start producing electricity from nuclear energy,” Energy Transition and Sustainable Development Minister Leila Benali was quoted as saying, by Moroccan media. The report follows an almost seven-year feasibility study of for a nuclear reactor and will guide the country’s parliament, which is expected to deliberate on it through the year. Morocco is largely an energy imports-reliant country, importing up to 90 percent of its annual energy requirements. Rwanda is also making significant strides after signing a deal with Rosatom to build a center of nuclear science and technologies, in October 2019. In August, 100 Rwandans are expected to graduate in the field of nuclear science and technology and in the next two years, a centre of nuclear science and technology is scheduled to be constructed in the Bugesera Industrial park. While other countries are chasing after large projects, Rwanda plans to build two Small Modular Reactor (SMR) units, each with a capacity around 100 megawatts. A 2022 forum report by the Mo Ibrahim foundation shows that small modular reactors can be mobilised more quickly and present more short-term opportunities for nuclear power in Africa. “Large nuclear power plants are subject to cost overruns and construction delays,” according to the report titled, The Road to COP27; Making Africa’s Case in the Global Climate Debate. South Africa’s Koeberg nuclear power station - owned and operated by state-run power utility Eskom - is the only nuclear power plant on the continent. It has an installed capacity of 1,940 megawatts. As more countries push on with the switch to low carbon electricity, South Africa has been eyeing an additional 10,000 megawatt in nuclear power capacity. However, there has been widespread opposition by an anti-nuclear lobby. **bird story agency**

Europe's rush to replenish its gas stocks has unlocked a massive new market for Africa's natural gas, with forecasts now showing the continent is on course to export 50 per cent of its total gas output to its European and Asian counterparts between now and 2025. Seth Onyango, bird story agency Europe's looming energy crisis amid fears of a cold winter could offer financing solutions for Africa's green energy future: selling its gas to tap its renewables. Experts argue that natural gas, the "cleanest" fossil fuel, could prove a game changer in Africa's push for a just energy transition in the wake of new lucrative markets. According to McKinsey and Company, Africa's gas suppliers should not sleep through the opportunity, urging them to plough the proceeds from gas sales into renewable-energy projects. In its analysis, the consulting firm suggests African oil and gas-producing states at the same time look to their natural ecosystems for significant new carbon-abatement revenue streams. "Investment in lower-carbon-energy infrastructure projects, especially gas pipelines, processing infrastructure, and liquified petroleum gas (LPG), could enable African countries to promote intraregional trade and boost global exports of African energy products, while also helping to strengthen regional energy access," it states. "Despite having the largest proven gas reserves on the continent, Nigeria could find itself in a situation in which gas demand outstrips gas supply by 2030 by at least three billion cubic feet per day. This presents a potential opportunity for investment in gas infrastructure such as gas pipelines, gas processing facilities, and coastal LNG regasification to connect currently stranded gas reserves onshore and offshore with domestic industrial, commercial, and power demand centres." With reduced flows of Russian gas to Europe, and the lingering threat of a full supply disruption in the dead of winter, the EU is scrambling for any gas it can find. To Africa's top ten producers, this is a windfall that could be converted into a wider strategy for a clean energy revolution. Fears of a cold winter expand Africa's gas exports to Europe [Graphics: Hope Mukami] According to the Africa Energy Chamber's (AEC) latest projections, gaps in the European gas market that weren’t there in the past now urgently need to be filled. "The existence of those gaps means that there’s more room for African gas now than there used to be, particularly liquified natural gas, which is easy to store and transport. As our report notes, 50 per cent of the 2022-25 cumulative gas flows from Africa’s top-10 producers are expected to be exported as LNG," states the Chamber. "And, the interest in African LNG is not likely to be a momentary blip. Going forward, new technologies and shifting geopolitical conditions should make it easier for African producers to maintain market share in Europe." AEC further notes that European buyers aren’t just treating African gas as a quick fix — as something to cover the gap for the time being. Italy expects Algeria to keep supplying extra volumes beyond 2022, and it’s also talking to Angola, Egypt, and the Republic of Congo about more extensive deals. Germany is looking to cement ties with Senegal in light of that country’s future gas production, which is on track to start next year. The EU has signed a trilateral memorandum of understanding (MoU) with Israel and Egypt in the hope of boosting future gas imports from the Eastern Mediterranean region. According to AEC, the EU has also sent Matthew Baldwin, the European Commission’s deputy director-general for energy, to Nigeria to discuss the possibility of increased gas supplies. Baldwin, who leads the EU’s Energy Platform Task Force (EPTF) — set up in May 2022 to help cut Europe’s dependence on Russian oil and gas — waxed enthusiastic about Nigeria’s contribution to the EU’s gas supply in an exclusive interview with Premium Times. He noted that the West African country already accounted for 14 per cent of the EU’s LNG imports and suggested that the figure might rise to 30 per cent or more in the long term, describing Nigeria as a supplier that European gas buyers could count on. As new markets open, Africa’s emerging gas producers are expected to take advantage of new LNG technologies such as the modular Fast LNG solutions offered by New Fortress Energy (NFE), a U.S.-based company, to meet European demand for gas. With these technologies, AEC argues, they won’t have to wait as long or spend as much money to begin producing the LNG that European consumers are clamouring to buy. They can start in two years or less, rather than waiting five years or more, as is common with more conventional onshore projects. Meanwhile, the European Union has now classified natural gas projects as “green energy” investments, potentially allowing the block to invest in the sector and at the same time contribute to what African nations are increasingly calling a "just transition" in the energy sector as the continent taps into gas and uses the proceeds to build on its huge green energy opportunities. According to the Brookings Institute, the result of the January decision is that Europe is likely to be a key financer. However, there may be a number of international players eyeing Africa's gas and renewables opportunities. And Russia's invasion of Ukraine is focusing attention with startling speed. With BP divesting its stake in Russian state oil company Rosneft, it may also look for new business opportunities in Africa. Of interest is Africa’s more than 630 trillion cubic feet of proven natural gas reserves that the EU would seek to integrate into its energy mix. African states have warned that an excessively fast move to renewable energy would be disruptive to their development prospects and have called for a just transition. With a looming crisis, Europe now also finds itself willing to look anew at financing some of Africa's potential carbon developments. bird story agency

Green Finance facilities are beginning to emerge on the continent as private equity firms and banks lead local efforts to narrow the climate funding gap and accelerate a transition to clean energy in the fight against climate change. **By Conrad Onyango, bird story agency** Africa is eying increased climate investments inflows as foreign and local banks, private equity firms and startups begin to roll out green finance initiatives to accelerate clean energy transition. Africa's biggest lender by assets, Standard Bank, and UK-headquartered Standard Charted have made the biggest commitments so far in local green finance mobilisation on the continent. Recently, Standard Charted launched the African Natural Capital Alliance (ANCA) in partnership with the United Nations Economic Commission for Africa (UNECA), targeting the mobilisation of 300 billion US dollars by 2030. The project, which will be implemented by Nairobi-headquartered Financial Sector Deepening (FSD) Africa, aims to reach a billion people. In April, Standard Bank said it will mobilise US$17 billion for green finance by 2026 as part of its plan to cut down oil-related investments in favour of clean energy projects in South Africa. This is expected to complement US$ 200 million the bank raised in green bonds in 2020 that were directed to finance renewable energy projects, energy efficiency and green building construction. Continental multi-lateral lender, the African Development Bank (AfDB) also announced in late March plans for an African Green Finance Facility Fund (AG3F) scheduled for launch in 2023, to tap into a lending opportunity it values at US$3 trillion. The AfDB green finance facility is expected to provide technical assistance grants to help local governments and financial institutions design green finance facilities and develop pipelines of sustainable, green “Paris aligned” projects. It will also offer countries an opportunity to capitalize green financing facilities and co-finance project pipelines by providing concessional resources and de-risking mechanisms to allow private investors to participate in green transactions. Rise of climate finance in Africa [Graphics: Hope Mukami] “Mainstreaming the Green Bank Model presents a broad opportunity to fill the climate and environment finance gap for Africa,” said Audrey-Cynthia Yamadjako, fund manager for the African Development Bank Trust and coordinator of the Green Bank Initiative, The International Monetary Fund (IMF) and the United Nations (UN) Economic Commission for Africa estimates that sub-Saharan Africa alone will need up to 50 billion US dollars in additional finance annually to adapt to the impacts of climate change. Lenders are racing ahead to fill in this gap and take advantage of opportunities in green finance, with a recent survey showing that banks are becoming more aware of the need to address risks posed by climate change. A 2021 survey by European Investment Banking in Africa shows that more than half of African banks view climate as a strategic issue and that more than 40 percent had their staff working on climate-related opportunities. “Other financial institutions, including microfinance, private capital and insurers, are also filling market gaps in green finance, while policymakers are supporting these developments through regulatory intervention, technical support and financing, with initiatives at domestic, regional and international levels,” the survey stated. Private equity investors and startups are also jumping on local fundraising as a means to make their mark in addressing climate risks - and to make the most of funding opportunities. Earlier in August, UK-funded InfraCo Africa announced a 43 million US dollars investment into a climate-focused fund, Climate, Energy Access and Resilience (CLEAR). Private Equity firm Helios Investment Partners (Helios) is the fund’s advisor. The multi-million financial commitments targets projects related to clean energy and energy transition, transport, green mobility, sustainable growth and consumption in Africa. “CLEAR provides a missing piece of the puzzle and one which will be critically important if we are to accelerate action on climate change whilst also closing the infrastructure gap in Africa,” said InfraCo Africa’s CEO, Gilles Vaes. South African start-up Igugu Global earlier in August also launched an initiative dubbed “Angel Investment” to promote green investments. At least 1,000 companies across Africa have signed up on the platform that allow portfolio managers to benchmark the environmental risks of their activities and climate-related investment opportunities. Igugu Global founder, Anele Makhwaza sees the fintech tool increasing the share of African companies engaged in climate finance, from less than two percent currently. “The global green finance market has surpassed 1.6 trillion US dollars in bond issuance, but only 5.4 billion US dollars of that is for Africa,” according to Makhwaza. The EIB survey attributes the low level of engagement to underdevelopment in Africa’s green finance sectors compared to those in other regions. To shore up engagement, handbooks on sustainable finance are also springing up to guide countries on how to strengthen their green economies. Egypt, the host of COP27 is coming up with guidebooks to help governments, multilateral development banks and the private sector decipher the climate financing ecosystem and to engage in the mobilization of climate funds. In March, South Africa launched a manual in two municipalities - Tshwane and eThekwini – ahead of a national roll-out of the handbook, to help speed up preparations for the issuance of green bonds. **bird story agency**

Egypt, which will host COP27 on November 7-18, has penned a Memorandum of Understanding to set up a US$8 billion plant with the capacity to produce 220,000 tons of green hydrogen annually. By Patrick Nelle, bird story agency At the end of July, the Egyptian New and Renewable Energy Authority (NREA), Suez Canal Economic Zone (SCZONE) and Egyptian Electricity Transmission Company (EETC) on the one hand, and Indian renewable energy company ReNew Power, on the other, penned an MoU to set up a plant with an annual production capacity of 220,000 tons of green hydrogen - a USD 8 billion investment, according to Yehia Zaki, chairman of the Suez Canal Economic zone. "The first phase will be in 2023-2025, about $710 million aims to produce 100,000 tons of green ammonia and 20,000 tons of green hydrogen. The production capacity in the second phase during 2025-2029 aims to produce 200,000 tons of green hydrogen and million tons of green ammonia with estimated investments of about $7,147 billion," the SCZONE's Zaki said at the time, according to the SCZONE website. The Egyptian move is a significant step in Cairo’s push to establish Egypt as a green hydrogen powerhouse and a major supplier of energy to the region. The plan also pushes the North African nation into the top three green hydrogen developers globally, thanks to its role in a huge 11.62 GW green hydrogen power-generation masterplan. The scheme represents a massive USD 40 billion investment in this new energy source. The plan is also part of Egypt’s 2035 Integrated Sustainable Energy Strategy, which aims to generate 42% of electricity from renewable resources by 2030. In October 2021, Egypt's Electricity and Renewable Energy minister, Mohamed Shaker, revealed that the renewable energy share of the electricity produced by the country would reach 20 percent by the end of 2022. He also announced that green hydrogen would play a significant role in the 2035 Strategy. Egypt deal takes its green hydrogen ambitions to the next level [Graphics: Hope Mukami] The latest developments reflect a broader trend of Africa emerging as a major global green hydrogen supplier in the near future. A thousand kilometres west of Egypt, on Africa’s Atlantic coast, Mauritania is in the process of building its own US$40 billion green hydroge facility. Labelled AMAN, the project has a total capacity of 30 gigawatts (GW), producing 110 terawatt hours (TWh) of electricity per annum, and is expected to produce 1.7 million tons of green hydrogen and 10 million tons of green ammonia. According to a press release dated May 24, a framework agreement for the further development of the AMAN project had been signed. Signatories were the Mauritanian government and CWP, “one of the world’s leading developers of renewables and massive-scale green hydrogen projects,” stated the release. AMAN's targeted output is almost three times the annual energy consumption of Morocco and could grow the country’s GDP by 50 to 60 percent by 2035, according to reports. In the meantime, an MoU signed in April between Chariot Transitional Power and the port of Rotterdam in the Netherlands suggests the first green hydrogen exports for this country of 4.65 million are soon to become a reality. “The MoU represents a first step towards establishing supply chains to import green hydrogen and ammonia to meet expected demand in the Netherlands and other countries in Northwest Europe” stated the release. Chariot is the developer of Project Nour, another Mauritanian large green hydrogen project capable of generating 10 GW. The agreement secures exports from Project Nour production to Europe in the near future. “Our green hydrogen project in Mauritania has the potential to establish the country as one of the cheapest producers of green hydrogen. Our ambition is to help the nation become one of the world’s main producers and exporters of green hydrogen. We look forward to announcing further developments with this project in due course”, commented Benoit Garrivier, Chariot Transitional Power CEO. In Southern Africa, Namibia is pursuing a US$9.4 billion project that will generate 300,000 tons of green hydrogen per year intended for export markets, by 2026. Meanwhile, South Africa is seeking potential investors to implement a pipeline of green hydrogen projects worth US$17.8 billion, over the coming 10 years. Other countries like Nigeria, Kenya, and Niger, also have green hydrogen roadmaps. According to the IEA Africa outlook 2022, Africa has huge potential to produce green hydrogen, thanks to its renewable power resources. With further cost declines, it is estimated that Africa has the potential to produce 5 000 megatonnes of hydrogen per year (at less than US$2 per kilogramme) — an amount that is the equivalent of the global total energy supply today, states the report. Green hydrogen is hydrogen produced by splitting water by electrolysis, with the power used to do so sourced from clean energy sources. Electrolysis produces only hydrogen and oxygen. The hydrogen is trapped for use while the oxygen is released into the atmosphere, with no negative impact. Six African countries in May formally launched the African Green Hydrogen Alliance, an initiative first mooted at COP26 in Glasgow. The initiative will see Kenya, South Africa, Namibia, Egypt, Morocco and Mauritania "intensify collaboration to supercharge development of green hydrogen projects on the African continent" according to the Climate Champions online site. According to the African Development Bank (AfDB), Africa has almost unlimited potential for solar capacity (10 terawatts), and abundant wind (110 gigawatts). This puts the continent in a position to become a top player in global green hydrogen generation. bird story agency