China and Africa are developing in a time of climate change and scarcity. According to most climate scientists global economies will have to make a green shift to ensure continued future growth. However, there are very large differences in what is understood under the term “greening”. In some countries greening reflects a desire to work towards carbon-neutrality; in other countries external international pressure leads to action for the protection of internationally important carbon sinks. China faces a massive increase in energy demand - and needs to address mounting economic, political and social pressure to adopt and enforce green industrial policies and practices.
Against this background, China has given rise to some of the world’s largest renewable energy companies; these companies form part of an increasingly important economic sector in China. As such these companies, their origin and drivers have become important for China’s international economic partners, including African states.
This policy briefing explores the rise of and motivation behind China’s solar industry as a case study for the rise of the renewable energy industry in China. It makes suggestions to African decision makers in government and business for engaging China in the renewable energy sector.
In order to address Africa’s energy need, it is important to also engage with China’s international renewable energy sector. To achieve access to renewable energy specifically, the following points are recommendations aimed at African decision-makers:
adequate legislation is necessary. African governments should draft renewable energy laws, establishing the incentives for renewable energy generation. This can be done through various methods such as feed-in tariffs or through quota based renewable portfolio standards
energy generation will be more decentralised in the future. African governments should consider the dismantling of large state-owned power producers along with the creation of strong anti-monopoly and anti-collusion laws
incentives are necessary to boost renewable energy supply. African governments need to formulate and implement national regulation that facilitates the provision of renewable energy and energy investment
Africa needs to upgrade technology. Technology transfers should be worked into investment projects to facilitate post installation upkeep and stimulate innovation. Renewable energy can only sustainably flourish as a sector in African states once innovation can be nurtured domestically
funding opportunities needs to be explored. For energy projects and the establishing of a renewable energy industries, funding might be obtainable through instruments such as FOCAC and infrastructure-for-resources loans
co-operation requires joint standards.Early consideration will have be given to avoid fragmentation into small markets. For this goal, African states should standardise renewable energy systems to increase benefits from co-operation with other African states