Advancing the Goals of the Power Africa Initiative to Expand Access to Electricity in Sub- Saharan Africa Through the Establishment of the President's Power Africa Working Group

Overview

The Power Africa Initiative and Its Purpose – Executive Order 13746 seeks to advance the goals of the Power Africa Initiative, originally launched by the Obama administration in June 2013. The initiative aims to expand access to electricity in Sub-Saharan Africa, where two-thirds of the population lack electricity. By 2030, the goal is to add 30,000 megawatts of power capacity and create 60 million new connections for households and businesses. This EO establishes the President's Power Africa Working Group to coordinate U.S. government efforts, expanding the original goals in response to growing regional energy challenges.

Strategic Coordination Mandate – The order designates the United States Agency for International Development (USAID) as the lead agency, establishing the Coordinator for Power Africa within USAID and the Power Africa Working Group. The Working Group serves as a multi-agency body tasked with identifying, evaluating, and prioritizing energy projects across Sub-Saharan Africa. This strategic framework aims to ensure policy coherence, leverage U.S. government resources, and support the development of Africa’s energy sector effectively.

International Collaboration and Sectoral Focus – This EO encourages collaboration with African governments, the private sector, and civil society. Power Africa is built on the continent’s significant power potential, including renewable resources such as geothermal, hydro, wind, and solar energy. It emphasizes sustainable development and clean energy, aiming to foster inclusive economic growth by leapfrogging traditional, carbon-intensive power sources.

Alignment with Legislative Goals – The Executive Order aligns closely with the objectives of the Electrify Africa Act of 2015, which also promotes increased energy access and seeks to develop a strategy for adding electrical capacity in Sub-Saharan Africa. This alignment underscores the administration’s comprehensive approach to addressing energy poverty while supporting U.S. businesses venturing into Africa’s energy sector.

Long-term International Impact – By establishing a cohesive strategy through the Power Africa Working Group, the EO is designed to create sustained impact in the region. By facilitating efficient energy transactions and unlocking financial and technical resources, it aims to help build a stable energy infrastructure that can support broader development goals, such as poverty alleviation and economic growth.

Legal and Policy Implications

Constitutional and Executive Authority – This EO is issued under the President’s constitutional authority to conduct foreign affairs and manage international economic initiatives. It is consistent with statutory directives that seek to mobilize federal resources toward international development, while leveraging the existing legal frameworks to advance U.S. foreign policy objectives in Africa.

Policy Frameworks and Legislative Consistency – Legally, the EO integrates the goals of the Electrify Africa Act of 2015 with broader U.S. strategic policies focused on energy and infrastructure development in foreign nations. It builds upon previous legislative efforts, ensuring that the federal agencies act in a coordinated manner. By doing so, the EO reinforces existing legal frameworks without introducing fundamentally new statutory obligations or rights.

Interagency Collaboration Mandates – The EO mandates interagency collaboration, involving departments such as State, Treasury, Commerce, and Energy, and agencies like USAID and the Millennium Challenge Corporation. This coordination is intended to enhance policy coherence, streamline administrative processes, and optimize the use of U.S. government resources across different development finance tools and initiatives.

Impact on International Development Policy – This EO underscores a significant shift in U.S. international development policy towards a focus on sustainable energy solutions. It not only prioritizes renewable energy projects but also aligns with global commitments to combat climate change. This is in line with international policy trends toward sustainable development goals (SDGs), particularly affordable and clean energy (SDG 7).

Capacity Building and Institutional Strengthening – In effect, the EO supports policy reforms and capacity building within African nations. By emphasizing technical assistance and institutional strengthening, it aims to empower African countries to manage their energy resources effectively. This aligns with USAID’s traditional focus on fostering self-reliance in developing nations.

Who Benefits

African Nations and Communities – The primary beneficiaries of this EO are the people of Sub-Saharan Africa. Enhanced access to electricity will drive economic growth, improve healthcare, and significantly raise living standards by providing reliable power to rural and urban areas alike. By focusing on electricity accessibility, this initiative aims to address one of the most critical barriers to development in the region.

U.S. Businesses and Exporters – U.S. companies, particularly those in the renewable energy sector, stand to benefit significantly from increased investment opportunities in Africa’s emerging energy markets. By facilitating entry into these markets through government support and risk mitigation mechanisms, such as financing and insurance, the EO supports American economic interests abroad.

African Private Sector – Local and regional companies in Africa are likely to see new business opportunities and partnerships. This EO highlights the participation of African enterprises in energy projects, which can lead to job creation, skills development, and a strengthening of the local economic base, reducing dependency on foreign entities.

Development Partners and NGOs – Non-governmental organizations and international development partners collaborating on energy access projects in Africa can leverage the backing of U.S. government resources and expertise. This collaboration can help enhance their impact and effectiveness in implementing sustainable energy projects.

The Global Renewable Energy Sector – By prioritizing clean and renewable energy, the EO aligns with global industry trends and commitments to reducing carbon emissions. It fosters innovation and development in renewable technologies, contributing to broader global efforts to combat climate change.

Who Suffers

Traditional Energy Industries – As the EO emphasizes renewable energy, traditional fossil fuel industries might perceive a marginalization of their role in Africa’s energy future. Companies heavily invested in oil, coal, or gas might see a reduction in demand for traditional energy sources as African nations pivot toward cleaner alternatives.

Regions Not Prioritized – While the initiative focuses on Sub-Saharan Africa, regions outside this scope might see reduced U.S. attention and resources allocated to their energy needs. This geographic focus could potentially divert development aid from other needy regions or sectors.

Government Accountability Concerns – The increase in foreign aid can sometimes lead to issues of mismanagement and corruption, particularly in countries with weak governance frameworks. As more resources flow into energy development, there is an inherent risk of insufficient oversight and accountability, which may not benefit the intended recipients.

Environmental and Social Risks – Large-scale infrastructure projects can lead to environmental degradation and social displacement if not managed properly. Although the EO emphasizes clean energy, the implementation of large projects can still pose challenges, such as land acquisition issues and ecosystem disruptions.

U.S. Domestic Concerns – There might be criticisms regarding the allocation of U.S. resources abroad at a time when domestic infrastructure might also require investment. American taxpayers could question the financial priorities that see significant spending on international aid over domestic needs.

Historical Context

Obama Administration's Foreign Policy – The EO is in line with the Obama administration's broader foreign policy strategy, emphasizing multilateralism and international cooperation with a focus on sustainable development goals. The administration repeatedly framed energy access as a cornerstone of economic growth and stability in developing regions.

U.S.-Africa Relations – Historically, U.S.-Africa relations have focused on trade, security, and humanitarian aid. Power Africa represents a shift toward development-driven foreign policy, acknowledging Africa not just as a recipient of aid but as a partner with significant economic potential, especially in the energy sector.

Preceding Initiatives – Prior to Power Africa, initiatives like the African Growth and Opportunity Act (AGOA) laid the groundwork for deeper economic ties between the U.S. and African nations. Power Africa builds upon these efforts by adding a substantial dimension of infrastructural and technical cooperation.

International Development Trends – At the time of the EO, international focus was increasingly attuned to sustainable development and addressing climate change. The Paris Agreement and the UN’s 2030 Agenda for Sustainable Development were pivotal frameworks that influenced many national and international policies.

Post-Global Financial Crisis Mindset – The Executive Order also reflects a post-2008 financial crisis mindset looking for stable markets. By supporting regions with high growth potential, the U.S. sought to diversify its economic engagements globally and reduce vulnerabilities to economic downturns in traditional markets.

Potential Controversies or Challenges

Implementation Effectiveness – One of the main challenges is ensuring the effective implementation of power projects across a diverse and complex continent. The success of the EO depends on robust monitoring and evaluation mechanisms that can measure impact and real progress toward targets, a potential area for criticism if results fall short.

Political and Regulatory Barriers in Africa – Regulatory and political challenges in African countries can impede progress. Bureaucratic inefficiencies, lack of regulatory frameworks, and political instability in some nations could hinder the execution of planned energy projects, making U.S. investments riskier.

Congressional Critique and Support – Within the U.S., there may be congressional scrutiny regarding the allocation of taxpayer dollars to foreign initiatives without demonstrable returns or strategic benefits to national interests. Bipartisan support is essential for continuity and effectiveness, yet political dynamics could lead to fluctuations in support.

Legal Disputes and Accountability – Any legal disputes arising from incidents within funded projects in Africa, such as contractual disagreements or environmental impacts, may reflect poorly on the U.S. government. Lawsuits or challenges could arise, questioning the due diligence exercised by participating agencies.

Ethical Considerations – Ethical concerns may be raised regarding the prioritization of U.S. economic interests over effective altruism. The potential for conflict of interest can be scrutinized if the benefits to American corporations are perceived to overshadow the developmental aims of the EO.