Business models and innovativeness of potential renewable energy projects in Africa

Abstract

This study provides an overview of potential renewable energy (RE) projects for Africa. Pan African University master students were asked by their lecturer to characterize African projects they had in minds in uniform tables. Items of the project investment plan include project synopsis, the sponsors, market analysis and strategy, project scope, regulation and environmental information, project costs, financial projections, business model, and project innovativeness. Students’ RE projects are assessed with emphasis put on employed business models and project innovativeness. Criticalities for the implementation of these projects are discussed in African contexts providing outlook for future investment opportunities in the African continent. The work provides insights from the local students’ perspective for the various stakeholders interested in RE project investments in Africa. Useful suggestions formulated directly by young Africans are presented which may contribute to improved risks management when these or other potential RE projects will be deployed. Inputs from local people on how they understand the process of implementing RE projects in Africa might be interesting for investors seeking information about suitable ways for RE project deployment. Students characterize local contexts and identify numerous barriers for deployment of RE systems in Africa. Overall, this study explains the potential lying in renewable energy harvesting in Africa, seeks to emphasize major barriers for implementation of RE projects as well as investigates investment opportunities to implement economically feasible RE projects for cleaner and climate friendly energy future of this continent.