Africa's energy demand set to nearly double by 2060, AEC’s report says

Africa will need substantial investment in electricity networks, fuel supplies and new generating capacity as energy consumption rises over the coming decades, with governments facing pressure to improve access to electricity while limiting emissions.

The African Energy Chamber (AEC), in a statement on October 29 outlining findings from its State of African Energy 2027 Outlook, reported that the continent's energy demand would increase by 92% between 2026 and 2060.

According to the report, Africa accounts for 19% of the world's population but consumes only 10% of primary energy and produces around 5% of energy-related emissions.

The AEC argues that Africa's immediate challenge differs from that of developed economies, where energy policies increasingly focus on replacing established fossil fuel systems. In Africa, many countries must first increase supplies to households and businesses that have limited or unreliable access to electricity.

The report identifies natural gas, petroleum products, renewable electricity and nuclear power as potential contributors to meeting demand. Investment in transmission, energy storage and cross-border electricity connections will also be necessary to deliver additional generation to consumers.

Reliable power is particularly important for mining, manufacturing and mineral processing, where interruptions raise operating costs and discourage industrial investment.

The AEC says energy development strategies will need to reflect national resources and infrastructure. Gas producers could expand domestic fuel use, while countries with favourable solar, wind or hydropower resources could prioritise electricity generation.

Malawi illustrates the financing challenge. Energy and Mining Minister Jean Mathanga told African Energy Week 2026 that the country wants electricity access to reach 70% and installed generating capacity to rise to 1,400 MW by 2030.

“Our challenge is to convert potential into projects,” Mathanga said.

Malawi is seeking investment in generation, renewables and electricity imports. It is also examining oil and gas prospects, although commercial reserves have not been established, and wants better petroleum storage and transport facilities to improve fuel security. According to Mathanga, government funding will be insufficient without private investors, development lenders and technology partners.

“The transition must balance access, affordability, reliability and emissions reduction. Investment priorities will differ, but the underlying requirement remains consistent: expand useful energy supply, support economic development and reduce avoidable emissions, including methane and gas flaring,” the AEC said. “For Africa, a successful transition begins by ensuring that more people and businesses can access the energy needed to grow.”

Africa's main challenge will be securing enough investment to expand energy supplies without increasing costs beyond what households and businesses can afford. Governments will need to prioritise commercially viable projects, strengthen electricity networks and establish regulatory conditions that attract private capital. Without these measures, rising demand could deepen existing supply shortages rather than support industrial growth, according to NewsBase Horizon, a dedicated intelligence and advisory division of NewsBase.