Abu Dhabi-based Masdar, a clean energy company, announced that it has partnered with Africa50, a Casablanca-based pan-African infrastructure investment platform, to accelerate and expand clean energy projects in Africa.
The collaboration aims to secure funding for these projects, bridging the infrastructure financing gap, and involves both public and private investment.
The partnership, formalised through a Memorandum of Understanding, has geopolitical significance and aligns with global efforts to combat climate change by promoting sustainable energy solutions across the African continent.
Renewable energy semiconductor manufacturing
Masdar was established in 2006 and operates in over 40 countries. Owned jointly by ADNOC, Mubadala, and TAQA, Masdar is dedicated to advancing renewable energy and green hydrogen technologies to address global sustainability challenges.
The firm aims to reach a renewable energy capacity of 100 gigawatts (GW) and produce 1 million tonnes of green hydrogen annually by 2030. This reflects its commitment to clean energy and sustainable development on a global scale.
HE Dr Sultan Al Jaber, UAE Minister of Industry & Advanced Technology, Chairman of Masdar and COP28 President-Designate says, “The world must continue to close the gap on climate finance for clean energy investment in the global south which is disproportionately affected by climate change.”
“We need the public and private sectors to work together to deliver clean energy access across Africa – a key mission and objective of Africa50. This can be accelerated in countries with robust regulatory frameworks, clear transition strategies and a real commitment to developing grid structure.”
Aim of this partnership
Masdar and Africa50 have joined forces, with Masdar contributing technical expertise and experience in emerging markets, and Africa50 bringing its project development experience in Africa. Together, they aim to tap into Africa’s substantial clean energy potential.
During the Africa Climate Summit, Mohamed Jameel Al Ramahi, CEO of Masdar, and Alain Ebobissé, CEO of Africa50, signed an agreement to collaborate on advancing the sustainable development of the clean energy sector in Africa.
This partnership aims to catalyse clean energy projects and initiatives in Africa.
During the Africa Climate Summit, Masdar committed $2B in equity as part of the UAE finance initiative, led by HE Dr. Sultan Al Jaber, Chairman of Masdar and COP28 President-Designate.
This initiative combines resources from UAE institutions like Abu Dhabi Fund for Development (ADFD), Etihad Credit Insurance (ECI), Masdar, and AMEA Power, with the potential inclusion of Africa50 as a strategic partner.
The goal is to fund clean energy and sustainable development projects in Africa through a collaborative effort of public and private capital.
Mohamed Jameel Al Ramahi, CEO of Masdar says, “As the largest renewable energy company in Africa, through our joint venture with Infinity Power, it is fitting that Masdar, with Africa50, should take this bold step forward which will unlock much needed climate finance for the energy transition.”
“It is a key strategic market for Masdar and we are proud of our long-term partnerships and projects in Africa. Our portfolio today includes Senegal’s first utility-scale wind farm, under Masdar’s Infinity Power Holding platform (IPH), Mauritania’s first and largest solar photovoltaic project, and the development of Africa’s largest wind farm in Egypt with IPH and other partners.
“With Africa50, Masdar looks forward to unlocking the enormous clean energy potential across the continent.”
$10B for clean energy
Masdar is pledging $10B in clean energy financing, comprising $2B in equity and $8B from project finance. This investment is targeted at achieving 10 gigawatts (GW) of clean energy capacity in Africa by 2030, emphasising its commitment to advancing clean energy development in the continent.
Alain Ebobissé, CEO of Africa50 says, “Partnerships are key to our goal of scaling up and accelerating the delivery of bankable and sustainable infrastructure across Africa. We are pleased to join forces with Masdar through this signing.”
“We believe that this step will become one of many, on a journey to drive transformative projects that support Africa’s path to net-zero and help builder cleaner economies for future generations.”
Africa50 and Masdar are also exploring collaboration to implement the Alliance for Green Infrastructure in Africa (AGIA), initiated during COP27 by the African Union Commission, the African Development Bank, and Africa50.
This partnership reflects their shared commitment to advancing sustainable green infrastructure projects in Africa and contributing to global climate change mitigation efforts on the continent.
UAE’s support to African continent
The UAE investment initiative is part of Etihad 7, a development platform initiated by the UAE’s Ministry of Foreign Affairs (MoFA) during Abu Dhabi Sustainability Week in 2022.
Etihad 7’s objective is to provide clean electricity to 100 million people in Africa by 2035. This initiative reflects the UAE’s commitment to sustainable development and clean energy access for the African continent.
Brief about Africa50
Africa50 is an infrastructure investment platform dedicated to fostering Africa’s development. It achieves this by creating and investing in financially feasible projects, leveraging public sector resources, and attracting private sector investments.
Africa50 has 34 shareholders, including 31 African countries, the African Development Bank, the Central Bank of West African States (BCEAO), and Bank Al-Maghrib, all working together to promote infrastructure development and investment in Africa.
