Energy and the economy in Sub-Saharan Africa

Abstract

Sub-Saharan Africa embodies a paradox. Although the region is blessed with energy resources and has long attracted the oil and gas industry, the majority of its population lacks access to energy, especially electricity, which hinders their economic and social development. For decades the dominant discourse, from governments as well as international development agencies and economic actors, has considered that the exploitation of its energy resources would prompt the economic growth of the continent by giving the countries the financial means to undertake development strategies. Unfortunately, the reality seems much bleaker as most energy producing countries in Sub-Saharan Africa seem to underperform in terms of economic development, plagued by the so-called resource curse. Nigeria, the main oil-producing country on the continent, offers a dramatic illustration of this situation. However, a new approach has recently emerged which focuses on the development of access to energy for the population. As a consequence, all over the continent new initiatives have been put in place to boost access to energy for the local population. This access has at last been acknowledged as a key driver for economic development.