EU Mobilizes €15.5 Billion to Boost Africa’s Clean Energy Boom

November 27, 2025

The European Union has announced it will mobilize €15.5 billion to support Africa’s clean energy transition. The region gathers funds from various sources. This includes EU institutions, member states, African partners, development banks, and private investors.

The funding package, announced by President von der Leyen, aims to increase renewable power, improve electricity access, and strengthen energy systems across the continent.

This initiative forms part of the Global Gateway Africa–Europe Investment Package. The goal is to promote sustainable growth, reduce carbon emissions, and enhance living standards. It supports large-scale energy projects, off-grid solutions, and technical assistance for infrastructure and regulatory reforms.

President von der Leyen stated:

“Today, the world has stepped up for Africa. With €15.5 billion, we are turbocharging Africa’s clean energy transition. 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 that meets the needs of partners across the globe. President Ramaphosa and I both look forward to a clean-energy future for the continent. A future led by Africa, with strong support from its friend and partner, Europe.”

What Composes the €15.5 Billion Campaign?

The campaign, coordinated with Global Citizen and supported by the International Energy Agency, aims to boost public and private investment in Africa’s clean energy transition. It seeks to expand electricity access, support sustainable economic growth, and promote low-carbon industrialization.

The €15.5 billion package is made up of several components:

  • More than €15.1 billion comes from European public sources, including over €10 billion pledged by President von der Leyen on behalf of Team Europe.

  • Additional pledges are expected from other governments and development banks.

  • Private investment is expected to be the main source of funding. It will use public money to lower risk and draw in commercial investors.

The package will fund both large and small projects. For example, the Côte d’Ivoire’s transmission line upgrades aim to expand electricity distribution across urban and peri-urban areas. Moreover, Madagascar’s mini-grid systems will help off-grid households and small businesses. These flagship projects show that the campaign is focused on tangible outcomes.

Africa’s Energy Gap: The Urgent Need

Africa faces a major electricity gap. Analyses by international agencies and research groups show the following key statistics:

  • 600 million people in Africa currently lack access to electricity.
  • Around 900 million people still rely on traditional biomass, such as firewood or charcoal, for cooking.
  • Installed renewable power capacity is about 120 gigawatts (GW). This makes up less than 20% of total electricity generation.

The continent’s demand for electricity is growing rapidly. Urbanization, population growth, and industrial expansion are driving energy needs higher. By 2050, Africa’s population is expected to exceed 2.5 billion, increasing electricity demand significantly.

Catalyzing 27 GW of Renewable Power by 2030

Meeting Africa’s energy and climate goals by 2030 will require hundreds of billions of dollars annually in investment. Estimates say the continent needs about $120–150 billion each year. This money is essential for achieving universal electricity access and boosting renewable energy generation.

The €15.5 billion mobilization covers roughly 10–12% of the annual investment gap, showing its catalytic rather than complete role. The package seeks to unlock more public and private funding. It also aims to encourage policy reforms and provide technical support.

Long-term scenarios envision adding around 300 GW of renewable capacity by 2030. The €15.5 billion initiative will not deliver all of this, but will contribute nearly 27 GW of additional renewable power and support for millions of households.

Power generation capacity additions in Africa in the Sustainable Africa Scenario, 2011-2030
Source: IEA

What are the Expected Outcomes?

The mobilization is projected to deliver measurable results, including:

  • Renewable capacity: Nearly 27 GW of new solar, wind, and hydro generation.
  • Electricity access: Around 17.5 million households will gain new or improved electricity services.
  • Job creation: Thousands of construction and operational jobs will be created through project implementation.

Country-level examples highlight these tangible impacts:

  • Cameroon: €59.1 million is allocated to rural electrification for 687 communities — reaching more than 2.5 million people.
  • Madagascar: €33.2 million will support the rollout of mini‑grids to bring electricity to rural and off‑grid areas.
  • Mozambique: €13 million is directed toward enabling a low-emission energy transition and encouraging private‑sector participation in renewables.
  • Somalia: €45.5 million goes toward increasing access to affordable renewable energy, promoting climate‑resilient agri‑food systems, and advancing circular‑economy practices.

These investments are designed to improve both the electricity supply and the reliability of grids. They will help local communities, schools, hospitals, and businesses access modern energy.

Tapping Africa’s Untapped Solar & Wind Potential

Africa has vast untapped renewable energy potential, especially solar. Estimates suggest that the continent could generate over 10,000 GW of solar power if fully developed. Wind, hydro, and geothermal resources further increase the potential.

Africa annual solar capacityAfrica annual solar capacity
Source: Ember

Despite this, Africa’s per capita emissions remain low: only around 1 ton of CO₂ per person, compared with a global average of about 4.8 tons. This highlights the need for investment in clean energy to support growth without raising emissions significantly.

Urbanization and population growth add urgency. By 2030, Africa’s urban population could reach 1.5 billion, creating higher electricity demand in cities. Clean energy projects can meet this demand while reducing reliance on expensive diesel and fossil fuels.

Governance, Technical Support, and Smart Planning

The EU programme works closely with African institutions to ensure the effective use of funds. The African Union and the African Development Bank play roles in project selection, co-financing, and oversight.

Technical assistance is a key part of the package. Their support includes:

  • Grid planning and expansion studies
  • Regulatory reforms to encourage private-sector investment
  • Training programs for engineers and technicians
  • Tools for monitoring and evaluating energy projects.

This approach ensures that projects are not only built but also managed sustainably over time. About 10–15% of the total mobilization can go to technical assistance and capacity building. This shows how important governance and expertise are.

Risk, Regulation, and Resilience

Mobilizing the €15.5 billion is an important step, but it does not guarantee success on its own. Several risks could affect the implementation of clean energy projects. Regulatory uncertainty in some countries can slow investment.

Also, infrastructure gaps may hinder the integration of new renewable energy into current grids. Political instability and local conflicts pose additional threats, potentially delaying or disrupting construction.

Technical challenges are also present. Solar and wind power rely on the weather. They need storage systems and smart grids for a steady electricity supply.

The EU tackles these risks using blended finance, guarantees, and strong teamwork with African partners. Public support lowers upfront financial risk. This encourages private investors to join in and helps projects succeed.

A Sustainable and Inclusive Energy Future for Africa

The €15.5 billion mobilization is a significant step for Africa’s clean energy future. While it covers only a fraction of the total investment needed, it acts as a catalyst. It encourages additional public and private investment, strengthens local institutions, and supports technical capacity.

If projects are delivered on time, millions of people will gain electricity for the first time. Jobs will be created, economies strengthened, and emissions reduced. Africa could build a modern energy system that is both sustainable and resilient.

These combined efforts show that partnerships between Europe and Africa can unlock large-scale transformation. The focus is on tangible, measurable results, not promises alone, to benefit people, economies, and the planet.