How $100 Billion in Gas Investment Could Power Africa’s Future

Africa faces a severe power gap that limits homes, clinics, schools and factories from thriving. Experts say closing that gap will take at least $100 billion each year to build power plants, pipelines, and storage, and natural gas is the fastest way to light homes today while laying the groundwork for cleaner energy tomorrow.

The $100 Billion Question

Nearly 600 million Africans lack reliable electricity. Meeting their needs and powering factories, farms and hospitals demands major infrastructure spending.

The $100 billion annual target reflects the cost of constructing combined-cycle gas turbines, extending transmission lines and creating buffer storage so that power stays on even when demand spikes.

Gas as a True “Bridge” Fuel

Unlike solar or wind, gas can flow on demand, day or night, whatever the weather. By plugging gas turbines into existing grids and building new mini-grids for remote towns, governments can deliver reliable power now, then switch those same plants to greener fuels when they become viable. In this way, gas bridges today’s energy shortages and tomorrow’s clean-energy goals.

Real Benefits for Communities

Natural gas can transform daily life in African communities. Replacing wood fires with gas stoves slashes indoor smoke and health risks, especially for women and children. Gas-based ammonia plants make fertilisers more affordable, boosting farm yields and food security.

Building and running gas facilities creates skilled jobs in engineering, logistics and maintenance, offering vital opportunities for youth. And with reliable gas-powered electricity, industries from cement to food processing can run at full speed without blackouts disrupting production.

Nigeria’s Lekki Gas Plant converted an old oil facility into a 300 MW gas-fired power station, significantly bolstering the national grid. In Mozambique, offshore reserves in the Rovuma Basin now feed export markets and are paving the way for domestic LNG projects as new liquefaction trains come online.

Meanwhile, Morocco’s floating gas terminal at Tangier Port delivers fuel to local power stations today and could later accept green hydrogen to further decarbonise the energy supply.

Mobilising $100 billion annually will require a mix of clear policies, regional cooperation, private capital and strong local partnerships.

Governments must set stable tariffs and guarantee gas supplies to reassure investors. Neighbouring countries should share pipelines and interconnect their power grids to lower costs and balance supply.

International banks and pension funds can provide long-term financing if regulatory frameworks are transparent and reliable. And involving community firms in project delivery will ensure jobs stay local and operations run smoothly.