This archive report was first published on 25 May 2020.
Decentralised Renewable Energy Systems: A Job Creation Opportunity for Africa's Youth ¶
As the world grapples with the coronavirus crisis, Africa is facing a unique challenge: high unemployment rates and a rapidly increasing youth demographic. According to scientists, by 2050, one in four human beings will be an African, with 30 million new Africans added to the global population every year.
However, Africa's energy landscape is also a pressing issue. Approximately 700 million Africans live without access to electricity, relying on firewood for cooking and paraffin for lighting. This is where decentralised renewable energy systems (DRE) come in – a solution that can not only provide energy access but also create jobs for Africa's youth.
Power for All, a non-profit organisation, conducted a study in 2019 on the job creation potential of DRE in India, Nigeria, and Kenya. The study found that DRE can play a significant role in emerging economies suffering from joblessness, with the potential to create formal jobs in the sector.
For instance, new and improved electricity access projects from 2017 to 2020 have stimulated close to half a million jobs in India and about 65,000 in Kenya, with 12,000 formal jobs created. This transition from fossil fuels-based to renewable energy-based systems and from centralised utility-owned to decentralised systems closer to where the power is needed is a significant opportunity for job creation.
Companies such as M-Kopa and hundreds of other ESCOs are bringing electricity to thousands of families in rural Kenya, reducing carbon emissions and providing healthier living styles. This electricity also provides wealth creation through income-generating activities such as solar-powered water pumping for irrigation, metal fabrication, mobile phone charging, internet services, and food preservation.
Interventions from governments, donors, universities, and training institutes are urgently needed to skill up the workforce and reap the benefits of DRE for Kenya. The sector has the greatest impact on women and the youth, who make up the majority of the unemployed people in Kenya.
Prof Da Silva, DVC Research and Innovation at Stratmore University, and Dr Shirley, chief research officer at Power for All, highlight the importance of DRE in creating jobs for Africa's youth. They note that DRE is an engine to create good, skilled, and formal jobs in emerging economies, already employing as many as the traditional power utility sector does.
Published on May 25, 2020