Africa’s grid-connected electricity deficit coupled with its wealth of renewable resources, like sunshine, make it an attractive destination for energy investors. Africa Private Equity News, an industry information service, reports ongoing investment and strong deal activity in the continent’s power sector in August 2018.

“As both GDP growth and urbanisation in African continue to rise, the demand for power on the continent will increase exponentially. Renewable power will continue to make up the bulk of the new supply, in particular as: costs continue to drop; battery storage technology becomes more efficient allowing renewable sources to provide baseload supply; and renewable projects allow for the flexibility of multiple smaller projects in isolated regions or on mini-grids,” Andre Wepener, head of the power and infrastructure finance team at Investec, told Africa Oil & Power in an interview.