Distributed renewable energy (DRE) systems – small-scale power solutions that generate electricity near the point of use – are becoming a pivotal tool in Africa’s quest for energy security. As large parts of the continent remain underserved by traditional power grids, DRE systems offer a more sustainable, decentralised alternative to bridge the energy gap.
Speaking at the 11th IEEE Power Africa Conference in Boksburg, Ekurhuleni, last week, Ifeanyi Orajaka, Renewable Energy Expert and Co-Founder of Green Village Electricity Projects Limited, said DRE systems could transform energy access across Africa. With 600 million people in sub-Saharan Africa lacking electricity, DRE solutions are well-suited to overcoming the inefficiencies of conventional power grids.
“Poor transmission systems and limited interconnection between countries make it difficult to share power effectively, particularly between energy-rich and energy-poor regions. This is one of the major obstacles to achieving universal energy access through conventional systems.”
The region faces a significant power deficit with an estimated shortage of 45 GW – enough to power over 40 million homes. This gap, Orajaka explained, has constrained economic development across the continent. Around 75% of businesses experience regular power outages, forcing many to rely on expensive and unsustainable fossil fuels like diesel, he said.
Smarter solutions
Advances in DRE technologies enable smarter load balancing, ensuring renewable energy is distributed efficiently to match demand, Orajaka added.
Introducing the concept of “DRE+”, he explained how virtual power plants, powered by software-driven technologies, can further enhance the efficiency of systems. These virtual plants use demand studies to optimise power distribution to either the grid or local energy pools, depending on real-time needs. “This approach could be particularly useful if regional power pools improve and as Africa moves towards creating a continental super grid. DRE sources could then help address latent energy demands with greater reliability.”
The addressable market for DRE in Africa is substantial. Solar capacity alone is estimated to be 10 GW with 60% of that capacity located in sub-Saharan Africa. The region’s solar potential is estimated to be 122 GW, representing a market opportunity worth US$85 billion, Orajaka pointed out. He also projected that the cumulative average growth rate for DRE systems in Africa would be between 5-8% from 2020-2040.
Regulatory and fiscal incentives are important to accelerate the adoption of DRE systems in Africa, Orajaka said. In recent years, significant load shedding and blackouts across sub-Saharan Africa have prompted governments to reform their energy policies. Increasing the distribution cap has enabled service providers to deploy DRE systems more rapidly, creating opportunities for faster expansion of renewable energy solutions.
He also stressed the need for quality, bankable data to support the growth of this sector. “These are crucial elements in driving Africa’s energy transition and ensuring the continent can meet its energy needs sustainably.”
