{"id":464744,"date":"2019-02-12T00:44:34","date_gmt":"2019-02-11T23:44:34","guid":{"rendered":"https:\/\/en.financialafrik.com\/?p=464744"},"modified":"2019-02-12T00:44:34","modified_gmt":"2019-02-11T23:44:34","slug":"op-ed-how-african-countries-can-leapfrog-the-fossil-fuel-based-growth-strategies-of-developed-countries","status":"publish","type":"post","link":"https:\/\/www.financialafrik.com\/en\/2019\/02\/12\/op-ed-how-african-countries-can-leapfrog-the-fossil-fuel-based-growth-strategies-of-developed-countries\/","title":{"rendered":"Op-Ed: How African countries can \u2018leapfrog\u2019 the fossil-fuel based growth strategies of developed countries"},"content":{"rendered":"
<\/div>

Carlos Lopes is a\u00a0professor at the Mandela School of Public Governance at the University of Cape Town, High Representative of the African Union for partnerships with Europe post-2020,\u00a0and a member of the Global Commission on the Economy & Climate<\/em><\/p>\n

This week, heads of African\u00a0states\u00a0are\u00a0convening\u00a0at the\u00a0African Union Summit in Addis Ababa,\u00a0Ethiopia,\u00a0where\u00a0they will discuss the African Union\u2019s strategy for socio-economic development,\u00a0known as\u00a0Agenda 2063. This agenda\u00a0casts\u00a0a vision of inclusive growth and sustainability,\u00a0in the face of\u00a0the growing\u00a0risk\u00a0of climate change.\u00a0It is true:\u00a0rising\u00a0global temperatures\u00a0pose\u00a0a serious challenge\u00a0to\u00a0the lives and livelihoods of Africans. But climate change\u00a0also\u00a0offers\u00a0an\u00a0unprecedented opportunity to\u00a0steer\u00a0our continent\u00a0towards\u00a0a\u00a0more sustainable, inclusive and\u00a0prosperous future.<\/p>\n

The\u00a0most recent report of\u00a0The New Climate Economy<\/a>\u00a0found that\u00a0bold\u00a0climate\u00a0action could deliver\u00a0US$26 trillion in\u00a0global\u00a0economic benefits<\/a>\u00a0through to 2030. It could also: generate\u00a065 million new low-carbon jobs\u00a0in 2030;\u00a0prevent 700,000 premature deaths from air pollution\u00a0in 2030, and lead to more women in the paid workforce.\u00a0But this opportunity is finite.<\/p>\n

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Over the\u00a0next 10-15\u00a0years\u00a0we expect to invest about\u00a0US$90 trillion<\/a>\u00a0in infrastructure\u00a0(more than the total current stock)\u00a0and the global South will account for roughly two-thirds of\u00a0this.\u00a0To add to the urgency, these investment decisions will be taken in the\u00a0next 2-3 years.\u00a0Whether or not this\u00a0infrastructure is sustainable\u00a0will be\u00a0a critical determinant of future growth and prosperity.\u00a0We must act quickly\u00a0and the following\u00a0three pillars for action can guide next steps in Africa: green\u00a0industrialisation, smart\u00a0urban development and sustainable agriculture.<\/p>\n

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Green\u00a0industrialisation\u00a0is\u00a0a major opportunity<\/a>\u00a0for African countries\u00a0to\u00a0\u2018leapfrog\u2019 the fossil-fuel based growth strategies of developed countries, instead charting sustainable growth paths\u00a0to a healthier, more prosperous future.\u00a0One\u00a0winning\u00a0strategy\u00a0is to\u00a0create\u00a0Special\u00a0Economic\u00a0Zones\u00a0in countries\u00a0that\u00a0concentrate investments in areas with reliable\u00a0and low-carbon\u00a0infrastructure, high-quality institutions and social services.\u00a0In\u00a0Ethiopia\u2019s\u00a0Hawassa industrial park, one of 16 federally-operated\u00a0sites,\u00a0industry is\u00a0powered\u00a0mostly by hydro-electricity. The park\u00a0also\u00a0features energy-saving innovations in factory lighting and shared infrastructure.\u00a0Hawassa\u00a0has attracted\u00a0a number of domestic\u00a0companies, as well as\u00a0companies\u00a0from China, India, and the U.S.<\/p>\n

In\u00a0Africa\u2019s\u00a0rapidly growing cities, economic development\u00a0depends\u00a0on\u00a0transport\u00a0to\u00a0connect\u00a0residents with good jobs.\u00a0In 2008,\u00a0Lagos became the\u00a0first African city with a bus rapid transit system<\/a>\u00a0(BRT).\u00a0The Lagos BRT\u00a0today\u00a0carries\u00a0over\u00a0200,000 passengers daily<\/a>,\u00a0reducing\u00a0travel times by an average of 30\u00a0percent,\u00a0cutting\u00a0transport costs for low-income\u00a0passengers\u00a0by\u00a0as much as\u00a031\u00a0percent, and reducing carbon emissions\u00a0by\u00a013 percent.\u00a0Strong\u00a0national urban policies<\/a>\u00a0can\u00a0support\u00a0city leaders\u00a0in developing\u00a0sustainable transport by\u00a0providing\u00a0coordinated planning and enabling larger-scale\u00a0investment.<\/p>\n

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Finally, agriculture\u00a0still plays a crucial role in\u00a0Africa\u2019s economy,\u00a0providing\u00a0up to\u00a060 percent of the region\u2019s jobs<\/a>. Yet farm yields and revenues are increasingly\u00a0vulnerable to climate impacts.\u00a0In fact, by 2020 Africa will spend\u00a0US$7-15 billion annually to\u00a0adapt to climate change<\/a>. Even if\u00a0global temperature increase is\u00a0held below 2\u00a0degrees\u00a0C\u00a0(3.6 degrees F), the\u00a0adaptation\u00a0price tag could\u00a0balloon to US$50 billion by 2050.\u00a0Now is the time to\u00a0make\u00a0Africa\u2019s\u00a0agriculture\u00a0resilient, and as a result\u00a0more productive.\u00a0Young entrepreneurs across the continent\u00a0are\u00a0already\u00a0implementing\u00a0solutions, evidenced at a recent\u00a0start-up accelerator in Nairobi<\/a>.\u00a0If these efforts scale up \u2013 with\u00a0support from\u00a0investors and governments \u2013\u00a0the\u00a0sustainable food and\u00a0agriculture\u00a0industry\u00a0could\u00a0be worth\u00a0US$2.3 trillion by 2030<\/a>, and provide 70 million jobs globally.<\/p>\n

Climate-resilient growth across all sectors requires finance and policy attention from both domestic and international leaders.\u00a0With limited public resources\u00a0and competing demands, much of the investment needed to finance green growth will come from private sources.\u00a0Greater use of blended finance approaches \u2013\u00a0where\u00a0public\u00a0finance is used to help attract and\u00a0combine\u00a0with\u00a0private investment \u2013 could be key.\u00a0There is promising momentum. In\u00a02017, the\u00a0African Development Bank approved US$135<\/a>\u00a0million in blended finance for renewable energy,\u00a0and more recently a\u00a0US$25 million\u00a0investment into a\u00a0renewable energy equity fund<\/a>. The fund\u00a0would add 533 MW\u00a0of electricity\u00a0across sub-Saharan Africa\u00a0with 10 or more projects, andthe Bank\u2019s investment is expected to\u00a0attract\u00a0others to commit a further US$60-75 million.<\/p>\n

The theme of this African Union Summit is \u201cRefugees, Returnees and Internally Displaced Persons: Towards Durable Solutions to Forced Displacement in Africa.\u201d\u00a0The World Bank estimates that\u00a0climate change could internally displace\u00a086 million people in sub-Saharan Africa by 2050,\u00a0largely\u00a0due to\u00a0crop failure.\u00a0But taking climate action\u00a0early\u00a0can\u00a0help avoid such displacement, allowing\u00a0people to prosper in their\u00a0home communities\u00a0and countries. Timely climate action\u00a0helps\u00a0farmers\u00a0adapt, creates\u00a0new jobs in low-carbon industries,\u00a0and builds\u00a0cities that\u00a0enable mobility\u00a0while\u00a0promoting\u00a0human health and\u00a0development.<\/p>\n

Will the African Union let climate change derail its development plans? Or will\u00a0member states seize the opportunities\u00a0that\u00a0the low-carbon, climate resilient revolution offers\u00a0for\u00a0more inclusive\u00a0and\u00a0sustainable\u00a0economies?\u00a0African countries are already\u00a0helping to\u00a0lead this revolution. In 2016, Uganda published a comprehensive\u00a0agenda for green growth<\/a>,\u00a0incorporating climate action\u00a0into the country\u2019s five-year national development plan.\u00a0To those heads of state seeking strategies\u00a0to ensure\u00a0their countries\u2019\u00a0growth and\u00a0sustainable\u00a0development well into the future,\u00a0I\u00a0encourage\u00a0you\u00a0to\u00a0act on climate change today.<\/p>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n

<\/div>","protected":false},"excerpt":{"rendered":"

Carlos Lopes is a\u00a0professor at the Mandela School of Public Governance at the University of Cape Town, High Representative of the African Union for partnerships with Europe post-2020,\u00a0and a member of the Global Commission on the Economy & Climate This week, heads of African\u00a0states\u00a0are\u00a0convening\u00a0at the\u00a0African Union Summit in Addis Ababa,\u00a0Ethiopia,\u00a0where\u00a0they will discuss the African Union\u2019s<\/p>\n","protected":false},"author":527180,"featured_media":464745,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"aside","meta":{"pmpro_default_level":"","_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"translated_post_url_fr":"","_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2},"jetpack_post_was_ever_published":false},"categories":[12591],"tags":[860,1425,15821,1540],"class_list":["post-464744","post","type-post","status-publish","format-aside","has-post-thumbnail","category-feature","tag-addis-ababa","tag-carlos-lopes","tag-economy","tag-ethiopia","post_format-post-format-aside","pmpro-has-access"],"yoast_head":"\nOp-Ed: How African countries can \u2018leapfrog\u2019 the fossil-fuel based growth strategies of developed countries - Financial Afrik<\/title>\n<meta name=\"description\" content=\"Headed by Adama Wade and his team of 20 journalists, Kapital Afrik offers strategic and financial information to executives and managers. 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