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A brand new coverage paper from the African Policy Research Institute (APRI) means that Africa undertake a regional PV technique to efficiently combine into the worldwide photo voltaic worth chain. It warns that with no coordinated strategy, particular person nations are unlikely to combine into the worldwide market.
APRI recommends a regionalized photo voltaic technique in Africa to help the event of a aggressive PV trade on the continent.
The institute’s new coverage paper, “Solar photovoltaic manufacturing in Africa: Opportunity or mirage?,” analyzes knowledge on important supplies, commerce and funding flows to evaluate how African nations can use their pure sources and favorable geographical circumstances for PV manufacturing.
The paper warns that if African nations work individually, they are going to proceed to face challenges resembling a concentrated world market, restricted technological capability, monetary sources, and infrastructure.
APRI argues {that a} regional PV technique, connecting nations with vital mineral exports to these with photo voltaic expertise capabilities, is important. The paper states that the prospect of an African nation creating or integrating a PV manufacturing chain is unlikely, calling for the consolidation of alternatives in a regional photo voltaic worth chain technique.
An vital alternative for the way forward for the photo voltaic manufacturing chain in Africa is highlighted because the export of uncooked supplies. The continent is already a major exporter of copper and tin, with the coverage paper discovering each African nation exporting no less than one of many primary photo voltaic uncooked supplies in its main or processed type. However, most of those exports are in unprocessed or semi-processed types, that means that the continent solely captures a small portion of the worth. APRI says to maximise the advantages, Africa must develop its processing capabilities to maneuver up the worth chain.
APRI says that African nations can reap the benefits of their mineral sources by attracting funding within the processing and manufacturing industries. However, it requires infrastructure growth, technological capabilities, and favorable regulatory environments to draw native and worldwide funding.
The paper highlights the complexity of a regional strategy as a result of geopolitical pursuits. It inspired regional organizations such because the African Union and the African Export–Import Bank to advertise integration and appeal to overseas direct funding by way of regulatory enhancements, tax incentives, and partnerships.
APRI additionally requires prioritizing native deployment of photo voltaic PV to fulfill home power wants, which would require investments in training, R&D, and workforce coaching.
APRI suggests {that a} important first step in the direction of a regional technique is a sophisticated and systematic geological mapping of Africa’s pure sources, “to assist dispel any myths across the potentialities in Africa to construct a photo voltaic PV manufacturing worth chain.”
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