The ability to supply energy at competitive and affordable prices is one of the conditions necessary to drive the reindustrialisation of African economies, Alfred Seema, Group Executive at Eskom, argued during the Africa Gas & LNG Summit in Maputo. Seema contended that the continent’s energy transition must ensure not only the incorporation of renewable sources, but also electricity costs compatible with the needs of consumers and industrial activity.

Speaking on the challenges of the energy transition in South Africa and across the African continent, Seema stressed that energy affordability must remain among the sector’s priorities, given that consumers require solutions that reconcile supply security with manageable costs. “The customer, in fact, is concerned about the ability to pay for energy,” he said.

In his view, the competitiveness of electricity prices is particularly important for creating conditions conducive to economic activity. He therefore advocated an approach combining energy security, a transition to renewable sources, and the supply of energy at competitive prices, arguing that these elements can contribute to the growth of African industry.

“We have stabilised energy security, we have a transition pathway to embrace renewables, and we have an energy solution at a competitive and palatable price,” Seema declared, presenting what he considers the necessary elements for addressing the continent’s energy challenges.

Seema identified the transition to renewable energy as an important process, but argued that its implementation must be accompanied by solutions that ensure the functioning of energy systems and the availability of electricity under economically sustainable conditions. The issue, he explained, is not limited to changing energy sources, but also involves the capacity to offer energy at prices that meet consumer needs.

Seema linked these conditions to the possibility of strengthening the productive capacity of African economies, arguing that the availability of competitive energy can support the expansion of industrial activity. “We can start thinking about how we can take this and support the economic reindustrialisation of Africa,” he said.