Africa stands on the frontlines of the climate crisis—not as a major emitter, but as its most vulnerable victim. Despite contributing only around 4% of global energy-related emissions, the continent faces some of the most severe impacts of climate change, from droughts and floods to food insecurity and displacement. The recently published 2025 report by the All-Party Parliamentary Group (APPG) on Africa lays out a compelling case for a just energy transition—one that uplifts the continent economically while supporting global environmental goals. The report calls for urgent UK engagement to ensure this transition is both fair and effective.
At the heart of the report is the concept of justice. A just energy transition means not only moving away from fossil fuels but doing so in a way that promotes inclusive development, social equity, and long-term sustainability. Over 600 million Africans still lack access to electricity, and nearly a billion people rely on biomass like firewood and charcoal for cooking. This energy poverty undermines healthcare, education, gender equality, and economic opportunity across the continent. Yet, Africa possesses vast untapped renewable resources—sunlight, wind, hydro, and geothermal—alongside crucial minerals needed for the global green economy. The real obstacle is not potential, but financing, infrastructure, and global support.
One of the starkest revelations in the report is the extent of underinvestment in Africa’s clean energy sector. The International Energy Agency (IEA) estimates that Africa requires $25 billion annually to meet basic energy access goals by 2030. Yet, less than $5 billion is currently flowing toward that target, with the continent receiving only 2% of global clean energy investment in 2023. High capital costs, weak governance frameworks, and perceptions of risk deter private investors, while concessional finance is inadequate. Even large-scale hydropower projects, like the Grand Ethiopian Renaissance Dam or Mozambique’s Cuamba Solar Plant, struggle to gain sufficient funding without external debt or donor involvement. Without significant changes, this investment shortfall threatens to perpetuate energy poverty and stall economic progress.
The report also exposes the challenges of unreliable national grids, many of which suffer from poor maintenance and frequent blackouts. In South Africa and Nigeria, power outages are common, and diesel generators are often used as costly backups. Rural areas, where most of the energy-poor live, are especially underserved. Off-grid solutions like solar mini-grids and stand-alone photovoltaic systems offer a promising way forward, particularly when combined with mobile payment systems that make energy more affordable. Companies like Azuri Technologies are already providing pay-as-you-go solar systems that serve tens of thousands of homes, enabling everything from lighting and phone charging to food preservation and water pumping.
The debate over fossil fuels remains contentious. Some African governments argue that natural gas is necessary as a transitional fuel to support industrialization and job creation. The IEA estimates that using Africa’s available gas would still only increase its share of global emissions to 3.5%. Others advocate for skipping fossil fuels entirely, emphasizing that global climate targets cannot be met if new fossil infrastructure continues to be built. Still, the consensus across much of the testimony gathered by APPG is that Africa’s energy transition must reflect local realities. Solutions cannot be one-size-fits-all. Instead, each country must chart its own path, with international support guided by the principles of equity, inclusion, and sustainability.
Finance remains the linchpin. Domestic resources are limited; international support is essential. The report estimates that Africa needs $2.8 trillion by 2030 to meet its nationally determined contributions (NDCs) under the Paris Agreement. The UK, as a former colonial power and a high-income country with historical responsibility, must play a leading role in addressing this gap. The APPG outlines nine strategic recommendations for the British government, ranging from scaling up bilateral climate finance and reforming carbon markets to improving the regulatory environment and promoting green manufacturing in Africa.
Blended finance—where public funds are used to de-risk private investment—is a critical tool. The UK’s development finance institution, British Investment International (BII), has had success in leveraging investment for renewable projects in countries like Mozambique and Sierra Leone. Yet the report also calls for greater transparency and accountability in these initiatives to ensure they truly benefit local communities and do not merely serve investor interests. Regulatory support and capacity building are equally important to help African governments attract and manage investments in clean energy infrastructure.
The APPG report makes clear that justice must not be a rhetorical flourish but a guiding framework. This means engaging communities in project planning, protecting the rights of indigenous peoples and workers, and ensuring that benefits are equitably distributed. It also means avoiding the pitfalls of past development strategies, where external actors dictated terms with little local input. As seen in successful case studies from Kenya, Tanzania, and Nigeria, when communities are empowered and included, energy projects are more likely to succeed and endure.
Africa’s just energy transition is not just a regional issue—it is a global imperative. The continent’s future is intertwined with that of the planet. If the UK and other high-income countries fail to act, they risk exacerbating inequality, deepening geopolitical instability, and undermining climate progress. The APPG report is a call to action: to invest not only in clean energy, but in justice, dignity, and shared prosperity.
SOURCE:
APPG Africa. (2025). Africa’s Just Energy Transition: How Can the UK Support? All-Party Parliamentary Group on Africa. Full Report PDF