As Africa continues to face major energy challenges, natural gas is becoming an important resource in closing the energy gap. With over 600 million people lacking access to electricity, the continent needs reliable energy solutions more than ever.
Natural gas provides a cleaner alternative to coal and oil, making it a key player in achieving energy security while supporting economic growth. Here’s how natural gas is shaping Africa’s energy future.
A Key Resource for Energy Access
Natural gas is often referred to as a “bridge fuel” because it helps countries transition from high-emission fuels to cleaner energy sources. In Africa, where energy demand is expected to increase by 30% by 2040, natural gas is essential for meeting this growing need.
According to the International Energy Agency (IEA), without a mix of renewable energy and natural gas, it will be nearly impossible to achieve universal energy access in Africa.
Countries like Nigeria, Egypt, and Mozambique are rich in natural gas reserves. Mozambique, in particular, is estimated to have over 180 trillion cubic feet of natural gas in its Rovuma Basin. These resources can provide not just domestic power but also offer export opportunities that can drive economic growth.
Supporting Economic Growth
Natural gas can make a big difference in Africa’s economic development by providing affordable and reliable energy for industries and households.
The World Bank estimates that the lack of reliable energy reduces Africa’s annual GDP growth by 2% to 4%. By investing in natural gas infrastructure, countries can improve their industrial output, create jobs, and enhance living standards.
For example, the Dangote Refinery in Nigeria, which started operations in early 2024, will use local natural gas to produce diesel and aviation fuel.
This refinery will not only meet Nigeria’s energy needs but also strengthen its position as a key player in the global oil market, showcasing the economic power of natural gas.
A Cleaner Alternative
Natural gas emits about 50% less carbon dioxide than coal when burned, making it a cleaner option for generating power. For African nations, this transition is critical, especially as the continent suffers more from the impacts of climate change, despite contributing little to global emissions.
The Kigali Communique, developed by ten African countries, supports the use of natural gas as a transition fuel until renewable energy can fully meet demand. This approach acknowledges the need for a balanced energy strategy that includes both traditional and renewable energy sources.
Regional Cooperation and Infrastructure Development
To get the most out of natural gas, cooperation among African countries is essential. Projects like the Nigeria-Morocco Gas Pipeline aim to connect West African nations and allow natural gas to flow across borders.
The pipeline will help Nigeria use its untapped gas resources and provide steady energy supplies to Morocco and other countries.
Also, projects like the Greater Tortue Ahmeyim LNG project between Senegal and Mauritania highlight the importance of working together to develop liquefied natural gas (LNG) infrastructure. These projects will not only improve energy security but also strengthen economic ties between neighboring nations.
Challenges Ahead
Despite its potential, developing natural gas resources in Africa faces several challenges, including political instability, unclear regulations, and a lack of funding.
The recent COP28 discussions raised concerns about phasing out fossil fuels without providing adequate support for developing countries to transition effectively.
International partners and investors must recognize the role that natural gas plays in Africa’s development plan. While investments in renewable energy technologies continue to grow—accounting for only 2.4% of global energy investments between 2010 and 2020—natural gas must be considered part of a broader strategy to ensure sustainable energy access for Africa.
A Path Forward
Natural gas holds great potential for closing the global energy gap in Africa. By providing a reliable and cleaner source of energy, it can support economic growth while also facilitating the shift toward renewable energy.
As African nations continue to develop their natural gas resources, it will be crucial for governments, private sectors, and international partners to cooperate.
Moving forward, using natural gas as part of a balanced energy strategy will not only improve energy security but also contribute to environmental goals.
This approach will ensure that Africa’s abundant natural resources benefit its people and help pave the way for a sustainable future.
