By The North Journals Newsroom
As global eyes remain fixed on the clean energy transition, Africa is no longer asking for a seat at the table—it is redrawing the blueprint.
From Zambia’s bold policy reforms to the continent-wide push for regulatory clarity, African governments are increasingly engineering their clean energy futures through real-time regulation and market-responsive frameworks. And according to Brian Kalero, Corporate Banking Director at Absa Bank Zambia Plc, that shift is both deliberate and transformative.
“Africa holds a critical position in the global energy transition—not just as a renewable frontier, but as a test case for how regulation can drive investment at scale,” Kalero writes. “What we’re seeing now is a move away from planning to active regulatory redesign.”
Nowhere is this more evident than in Zambia, which recently introduced its Electricity Open Access Framework, breaking decades of tradition under its single-buyer electricity model. The reform allows independent power producers (IPPs) to sell electricity directly to consumers via the networks of ZESCO, CEC, and NWEC—a move aimed at unlocking competition and encouraging private capital flows.
This policy evolution is anchored within Zambia’s National Energy Compact, part of the broader Mission 300 initiative that unites 12 African countries under a common goal: accelerating clean energy access through aligned regulation and investment commitments.
Policy Reforms Gaining Pace
Across the continent, countries are taking similar steps. According to the World Economic Forum, Sub-Saharan Africa posted the world’s fastest growth—10% over the past decade—in advancing equity within the energy transition. This progress is being matched by broader policy interventions, including tariff reform, grid decentralisation, and recognition of green finance as a distinct category.
While some African markets have historically suffered from regulatory volatility that discouraged long-term investment, the narrative is shifting. Governments are now treating regulatory predictability as a non-negotiable. Independent energy regulators, consistent tariff paths, and clear licensing processes are becoming the norm, not the exception.
“Energy systems are becoming more decentralised,” Kalero notes. “Distributed solar is growing not just through market demand, but deliberate policy choices that reflect new energy realities.”
Finance and Infrastructure Still Playing Catch-Up
Despite the momentum, challenges remain. Chief among them is the misalignment between new generation capacity and the outdated transmission and distribution infrastructure that must deliver that power to homes and industries.
In many markets, renewable energy projects are going online faster than the grid can absorb them—leading to stranded capacity and wasted megawatts. Without sufficient investment in transmission and regional interconnectivity, national grids risk operating in isolation, losing both efficiency and scale.
Kalero argues that Africa’s clean energy future must be built on a holistic investment model—one that treats generation, transmission, and distribution as interdependent. Cross-border infrastructure and regional power pools are essential to unlocking the continent’s full potential.
Investors Watching Regulatory Signals
Africa’s attractiveness to investors will hinge not only on resource potential but also on the credibility of its regulatory systems. Predictable governance, transparent tariff policies, independent institutions, and access to foreign exchange all remain decisive in making projects bankable.
“Where governance is predictable and reform is institutionalised, investment risk becomes measurable,” Kalero states. “And with the right tools, manageable.”
As Africa’s clean energy sector evolves from aspiration to execution, what emerges is not just a renewable transformation—but a regulatory awakening. One that is determined to structure the future, rather than be shaped by it.
