Practical Options to Accelerate Private Power Development in Sub-Saharan Africa.

Technical Brief | December 30, 2017

In the context of Sub-Saharan African power sector reforms and advancements, how can private developers and lenders better align with the needs of public counterparts? Furthermore, how can public leaders best lower risk for private investors without compromising social objectives? This technical brief addresses these questions.

This technical brief discusses the challenges in finding equitable, practical ways to accelerate and sustain power sector reforms in Sub-Saharan Africa, which also learn from public-private transactions. One way is to provide additional technical and capacity support to the public sector in combination with market development programs that match investors to new business opportunities. This includes competitive procurements and legal and regulatory enabling frameworks for private investment. Another is to focus further on risk reduction specific to transactions and to continue to respond to the results. A third way, explored in this technical brief, is to identify and design specific mechanisms that bridge the gap between the long-term interests of public sector investment and the short-term goals of private capital.