Brighter Africa: the growth potential of the sub-Saharan electricity sector
The management consulting firm finds that there is a direct correlation between economic growth and electricity supply and that the region needs power to survive. McKinsey’s report, Brighter Africa: The growth potential of the sub-Saharan electricity sector, explores how power demand will evolve in the region, along with the associated supply requirements; how much it will cost to supply the needed power, plus the options available to manage the expense; and what is required to ensure that the new capacity gets built. As the study demonstrates, power sector is significantly underdeveloped, in terms of energy access, installed capacity, or overall consumption. The fact that sub-Saharan Africa’s residential and industrial sectors suffer electricity shortages means that countries struggle to sustain GDP growth. Africa in general depends on the ability of government and investors to develop the continent’s huge electricity capacity.