• Hausa Edition
  • Podcast
  • Conferences
  • LeVogue Magazine
  • Business News
  • Print Advert Rates
  • Online Advert Rates
  • Contact Us
Sunday, July 6, 2025
Leadership Newspapers
Read in Hausa
  • Home
  • News
  • Politics
  • Business
  • Sport
  • Health
  • Entertainment
  • Opinion
    • Editorial
  • Columns
  • Football
  • Others
    • LeVogue Magazine
    • Conferences
    • National Economy
  • Contact Us
No Result
View All Result
  • Home
  • News
  • Politics
  • Business
  • Sport
  • Health
  • Entertainment
  • Opinion
    • Editorial
  • Columns
  • Football
  • Others
    • LeVogue Magazine
    • Conferences
    • National Economy
  • Contact Us
No Result
View All Result
Leadership Newspapers
No Result
View All Result

Climate Change: Africa Risks $415bn Annual Losses Without Sustainable Funding

...Refineries upgrade, charcoal displacement to gulp $23bn – ARDA

by Nse Anthony - Uko
3 years ago
in Business
Climate
Share on WhatsAppShare on FacebookShare on XTelegram

Unless sustainable source of funding is secured to improve infrastructure especially in the energy sector, Africa risks annual economic losses of up to $415 billion by 2030 from the impact of climate change on the environment.

While energy and financial experts on one hand said Africa needs over $23 billion to upgrade existing refineries on the continent to produce cleaner fuels and displace charcoal with modern fuels, they also insist that without significant improvements in infrastructure resilience, annual economic losses from natural disasters’ damage to urban infrastructure alone would increase from $300 billion currently to $415 billion by 2030.

Advertisement

Speaking at the recent ARDA Virtual Sustainable Financing Workshop, executive secretary of African Refiners and Distributors Association (ARDA), Anibor Kragha said strategic options are needed for financing energy transition in the African downstream petroleum sector.

Kragha disclosed that sub-Saharan Africa’s import needs for transport fuels will continue to grow for the forseeable future, making the region the world’s largest importer by 2030. He lamented that complex, inefficient supply chains, intra-African trade challenges impede implementation of cost-effective clean energy solutions on the continent but that the African Continental Free Trade Act (AfCFTA) presents an opportunity for the continent to address this issues and deploy an an inclusive, equitable energy transition roadmap that captures the priorities, challenges and perspectives of Africa’s low-carbon emitting countries.

Kragha and other stakeholders insisted that Africa’s share of global emission remained low, therefore the roadmap for energy transition must not prioritise near-term emissions reductions (with relatively little climate benefits) over support for economic development and energy transformation.

A senior director at Africa Finance Corporation (AFC) and CEO of AFC Capital Partners, Ayaan Adam noted that climate change ,including high temperatures and prolonged heat wave phenomena, changing precipitation patterns, droughts, floods, rising sea levels may significantly damage infrastructure assets, leading to the loss of $415 billion by 2030 in Africa alone. “With Africa being the most vulnerable continent to climate change, mainstreaming climate change is a key requirement for the long-term viability of its infrastructure,” she noted.

RELATED

African Manufacturers Urge Investment In Local Industries

African Manufacturers Urge Investment In Local Industries

12 hours ago
Regularise Property Titles For Sustainable Housing Security, LASG Urges Homeowners

Regularise Property Titles For Sustainable Housing Security, LASG Urges Homeowners

12 hours ago

Adam said the effect of climate change in Africa is disproportionate to its share of global emissions – with implications on future infrastructure requirements.

Future infrastructure developments, Adam said need to be able to reduce, accommodate or recover from the effects of natural disasters and climate extremes, adding that this would require climate resilient infrastructure planning plus additional cost consideration for development. As such, AFC and AFC Capital Partners are promoting their Infrastructure Climate Resilience Fund (ICRF) which will drive investments in climate resilient infrastructure projects across the African continent in the AFC’s core sectors – Transport & Logistics, power, Telecoms and Industrial Parks.

Also, global head, Client Relations at Afreximbank, Rene Awambeng noted the impacts of growing urban population in Africa on energy demand for industrial production, cooling and mobility.

According to him, energy demand in Africa grows twice as fast as the global average, and Africa’s vast renewables resources and falling technology costs can drive double-digit growth in deployment of utility-scale and distributed solar photovoltaics (PV), and other renewables, across the continent.

He noted that although clean energy and decarbonizing international investment and finance seem to be dominating the development discourse, Africa could leverage on its vast base of existing solid minerals, including rare-earth minerals and metals, that would fuel clean energy. That nothwithstanding, while the Africa Energy Outlook 2014, had noted that 30 per cent of global oil and gas discoveries made between 2010 and 2014 have been in Sub-Saharan Africa, Awambeng said many countries that were previously net energy importers would become energy exporters in the next five years due to increasing oil exports.

While making a joint presentation, experts at Vitol, Michael Curran (Vitol Global Head of Carbon Tradiing) and Maryro Mendez (Vitol Refineries Research Team Lead) noted that technologies already exist to develop refineries that produce net zero carbon emissions but that Environment, Social & Governance (ESG) investment mandates and capital reallocation away from hydrocarbons into renewables/energy transition amongst other issues have resulted in reduction in financing options and increased debt service costs for arbon -intensive sectors. “Most companies already have plans for reducing emissions. These include measurement and reporting, operational improvement, and incorporating carbon-abatement objectives in investment proposals. Implementation, however, is in an initial stage and faces several barriers: resources are scarce, in terms of both capital and technical capabilities, and CO2 reduction is not always a top priority,” the experts said.

They stressed that while the refining sector contributes only 3% to global energy sector emissions, there are significant opportunties for reducing these emissions especially in regions like Africa where demand for refined products will grow and emissions will grow accordingly. In addition, they advised that the key opportunities for carbon emissions reductions in refineries will include increasing energy efficiency via operational changes and small investments, reducing flaring, improved gas pipeline planning and investing in cogeneration. Ultimately, continued energy efficiency improvements and fuel switching represent the most promising near -term strategies for CO2 emissions reduction in the short-term, but objectives that span cost effective initiatives, management capabilities, access to capital and stakeholder engagement will be critical in aligning decarbonisation goal of African refineries to the broader long-term energy efficiency goals of the continent.


We’ve got the edge. Get real-time reports, breaking scoops, and exclusive angles delivered straight to your phone. Don’t settle for stale news. Join LEADERSHIP NEWS on WhatsApp for 24/7 updates →

Join Our WhatsApp Channel

BREAKING NEWS: Nigerians can now earn US Dollars from the comfort of their homes with Ultra-Premium domains, acquire them for as low as $1700 and profit as much as $25,000. Click here to learn how you can earn US Dollars consistently.


SendShareTweetShare
Previous Post

$44bn Acquisition Pullout: Elon Musk Laughs Off Twitter’s Lawsuit Threat

Next Post

Kwara 2023: In Search Of Political Unity In Ilorin

Nse Anthony - Uko

Nse Anthony - Uko

You May Like

African Manufacturers Urge Investment In Local Industries
Business

African Manufacturers Urge Investment In Local Industries

2025/07/06
Regularise Property Titles For Sustainable Housing Security, LASG Urges Homeowners
Business

Regularise Property Titles For Sustainable Housing Security, LASG Urges Homeowners

2025/07/06
Notore Chemical Industries Delists From NGX
Business

Notore Chemical Industries Delists From NGX

2025/07/06
Business

PIA: PWDs Demand Inclusion In Niger Delta Host Community Board

2025/07/06
Share Local Content Success Strategies With Us, African Leaders Urge Nigeria
Business

Share Local Content Success Strategies With Us, African Leaders Urge Nigeria

2025/07/06
Burger King Recommits To Environmental Sustainability, Expands Footprint In Ogun
Business

Burger King Recommits To Environmental Sustainability, Expands Footprint In Ogun

2025/07/06
Leadership Conference advertisement

LATEST

Sustainability Professionals Institute Holds 5th Induction, Targets Chartered Status

4 Years Enough To Deliver Results As Nigeria’s President – Peter Obi

Nigerian Idol S10: Double Elimination As Lawrence, Mikki Exit Show

2027: Tinubu’s ‘Incompetence’ Behind My Renewed Push To Be President — Obi

‘How I’d Lead Nigeria As President’, Peter Obi Speaks On 2027 Plans

Ola Aina Signs New 3-year Deal With Nottingham Forest

I Never Worked For Abacha Or Any Gov’t – Peter Obi

JAMB Releases Results Of Mop-up UTME

WAFCON 2024: Super Falcons Cruise To Winning Start, Thrash Tunisia 3-0

Boko Haram Kills 9, Injures 4 Others In Borno

© 2025 Leadership Media Group - All Rights Reserved.

No Result
View All Result
  • Home
  • News
  • Politics
  • Business
  • Sport
  • Health
  • Entertainment
  • Opinion
    • Editorial
  • Columns
  • Football
  • Others
    • LeVogue Magazine
    • Conferences
    • National Economy
  • Contact Us

© 2025 Leadership Media Group - All Rights Reserved.