Thulani Gcabashe, chief executive of Eskom Holdings
Ltd, urged leaders to not only have ideas around
how to prosper Africa, but to act on those ideas
in practical ways that yield results.
Gcabashe was talking at the Eskom African Business
Leaders Forum held in Johannesburg, and focused
on leadership challenges and opportunities in Africa’s
energy sector. Gcabashe highlighted the role of
energy in producing prosperity for Africa, and
said one of the most urgent challenges facing developing
and transition economies is the supply of adequate,
reliable and competitively priced electricity on
a sustainable basis.
Gcabashe said that only 15% of Africa’s
population had access to electricity and much of
the available supply was unreliable.
By 2030, he said, Africa will require an additional
60 000 megawatts to satisfy its growing energy
needs.
Gcabashe believes the African electricity sector
faced four major challenges. The first was ensuring
the security of energy supply to the continent.
The second was dealing with the existing uneven
access to modern energy and in particular access
to electrical power. Thirdly, Gcabashe said the
sector faced the challenge of reducing the threat
of environmental damage caused by energy use, and
finally, it had to successfully attract the requisite
investment in the electricity supply infrastructure
of the continent.
Gcabashe said Eskom believed in a collective continental
response involving all stakeholders. He said a
number of initiatives were already underway to
address these challenges. Among these were private
public partnerships and a dedicated Nepad team
within Eskom to facilitate the mobilization of
Eskom’s resources to promote, develop and
implement Nepad-related projects in the energy
and particularly the power sector.
He also discussed the role of the Union of Producers,
Transmitters and Distributors of Electrical Energy
in Africa (UPDEA), which works with the African
Union to ensure the delivery of electricity as
a basic service fundamental to the well-being of
people in Africa. Through UPDEA, of which Gcabashe
is president, Nepad’s vision of creating
a Pan-African power grid is fast becoming a reality,
he said.
Gcabashe said the SADC region was leading the
continental drive to bridge the gap created by
the uneven supply of electrical power through the
South African Power Pool (SAPP).
In conjunction with the planned Central Power
Pool and Eastern Power Pool, the SAPP is part of
a plan to create an electricity grid that spans
the continent’s length and breadth.
“African power utilities have very little
choice but to rise up to the challenges ahead,” Gcabashe
said. “The need to develop an African response
owned by the full spectrum of stakeholders including
African governments and the private sector is no
longer negotiable. The success of the mining, manufacturing
and telecommunications sectors, as well as social
sectors such as health and education, relies heavily
on the power sector to deliver their business objectives.
This calls for a visionary and insightful leadership.
We need to elevate the manner in which we do business
beyond geographical boundaries. I believe that
the potential of an economically integrated Africa
is huge. The one thing we should prioritize is
the leadership commitment required to tap this
vast reservoir of opportunities,” he concluded.