The European Union has unveiled a €15.5 billion financing push to scale up Africa’s clean energy transition, one of the largest energy-focused commitments Europe has made to the continent in recent years.
The package, announced by European Commission President Ursula von der Leyen, brings together funding from EU institutions, member states, African governments, development partners, and private investors.
The investment falls under the Global Gateway Africa–Europe Investment Package, the EU’s flagship instrument for deepening infrastructure and climate-related cooperation with African states.
At its core, the initiative aims to boost renewable energy deployment, expand electricity access, and modernise power systems in some of the fastest-growing but most energy-constrained economies in the world.
Africa’s clean energy potential is enormous, but financing gaps remain substantial. The EU’s €15.5 billion commitment is designed to help close that gap through a blend of public and catalytic private financing. The initiative supports:
- Utility-scale renewable energy projects
- Electricity transmission and distribution upgrades
- Mini-grids and off-grid solar solutions
- Technical assistance for regulatory and infrastructure reforms
- Low-carbon industrialisation pathways
President von der Leyen framed the announcement as both a development opportunity and a strategic partnership. “Millions more people could gain access to electricity—real, life-changing power for families, for businesses, for entire communities. This investment is a surge of opportunity: thriving markets, new jobs, and reliable, clean energy,” she said.
“A future led by Africa, with strong support from its friend and partner, Europe.”
The financing package consists of several coordinated streams:
1. €15.1 Billion from European Public Sources
This includes contributions from the European Commission, EU member states, development finance institutions, and other Team Europe partners. More than €10 billion comes directly from commitments announced by President von der Leyen.
2. Additional Pledges from Global Partners
Other governments, multilateral development banks, and international climate funds are expected to complement Europe’s contribution, further expanding the pool of available financing.
3. Private Investment as the Major Driver
A significant portion of the campaign will rely on private capital, with public funds used strategically to de-risk projects. The EU expects blended finance—loans combined with guarantees and grants—to unlock commercial investment in sectors traditionally considered too risky.
The broader campaign is being coordinated with Global Citizen and supported by the International Energy Agency (IEA), which has repeatedly highlighted Africa’s central role in the global energy transition.
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The EU emphasised that the investment push is not abstract—it is tied to tangible on-the-ground work. Two examples illustrate the range of projects expected under the initiative:
Côte d’Ivoire: Strengthening Transmission Capacity
Financing will support upgrades to transmission lines in fast-growing urban and peri-urban areas, improving grid stability and preparing the country for expanded renewable generation.
Madagascar: Scaling Mini-Grids for Off-Grid Communities
New mini-grid systems will supply electricity to households and small businesses in isolated regions, expanding access where national grid expansion remains costly or slow.
These examples are indicative of the broader focus: improving both centralised and decentralised energy systems to ensure reliability, reach, and affordability.
Africa’s clean energy transition is not only about emissions reductions—it is directly tied to economic competitiveness, job creation, and improved quality of life. The EU’s €15.5 billion commitment signals a recognition that Africa’s energy future is a shared global priority.
If deployed effectively, the package could help accelerate the continent’s shift toward renewable power, unlock industrial opportunities, and drive inclusive growth—while reducing dependence on fossil fuels and enhancing climate resilience.
