Fast-tracking oil and gas projects critical for African development, AEC says

Africa’s oil and gas industry is facing increasing opposition from environmental groups and financial institutions seeking to undermine its potential, says the African Energy Chamber (AEC). With over 600 million people living without access to reliable energy, the continent must prioritize the development of its hydrocarbon resources while advancing local content initiatives that deliver tangible benefits to African communities.

Several game-changing projects aimed at bolstering the African industry continue to be attacked. Shell’s seismic survey campaign off South Africa’s Wild Coast – aimed at unlocking and harnessing the country’s undeveloped oil and gas resources – has been met with resistance. Similarly, the East African Crude Oil Pipeline, which promises to enhance energy security and economic development, has faced significant opposition. Measures by the AEC striving to connect African opportunities with global investors are increasingly being challenged.

Fossil fuels are projected to account for over 60% of Africa’s energy mix by 2040, underscoring their importance in meeting growing energy demands.

“Oil and gas development is the cornerstone of Africa’s socioeconomic progress,” said NJ Ayuk, the Executive Chairman of the AEC. “We must be firm in our commitment to 'Drill Baby Drill' policies that will encourage more investment in our continent. Africa needs more drilling, licensing rounds, fast track permitting and approval, reduced taxes for oil and gas projects and a united front against external efforts undermining the continent’s growth.”