Africa: Finding smart tech solutions to tackle energy challenges

Technology-driven resilience, decentralised generation and advanced nuclear solutions are reshaping the energy narrative in Africa. These factors underpinned a panel discussion at the recently held Enlit Africa 2025 conference at the Cape Town International Convention Centre.

Energy experts from South Africa, Nigeria and Botswana explored the theme Technology and the future of power. 

Kadri Nassiep, Executive Director for Energy at the City of Cape Town said energy infrastructure theft and vandalism are costing the municipality and national utility Eskom hundreds of millions of rand annually.

Nassiep outlined the City’s response to the growing threat.

“I’ve actually seen some numbers coming through, even from the Eskom side. It doesn’t paint a pretty picture. In fact, the orders of magnitude of over R200 million a year is actually spent on having to replace infrastructure that is damaged through vandalism and theft,” said Nassiep.

“Within the City of Cape Town, we’re not immune. Just a couple of weeks ago, we had a major area-wide outage as a result of stolen cables. The downtime was almost two days. The cost to the economy runs into tens, if not hundreds of millions in a case like that.”

Using technology to combat vandalism

Nassiep said the City has responded with a market-wide request for information, receiving interest from technology startups and innovators.

Three demonstration projects are currently underway, including an anti-climbing device, a reinforced hatch cover for junction boxes, and a Bluetooth-based locking sleeve for streetlights.

Cape Town is also developing its own smart pole specification to enhance ground-level visibility and control.

“Smart poles create an opportunity to have more visual sense of what’s going on,” he said.

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The City is investing in digital transformation through advanced distribution management systems integrated with AI.

“It gives our network controllers and operators a much better view of what’s happening across the network,” said Nassiep.

Cape Town is also establishing its own generation department. “We’re constructing our own solar plant right now in Atlantis. We’re at an advanced stage of feasibility for the next one in Somerset West,” said Nassiep.

Role of nuclear to address energy access issues in Africa

Asked about the impact small modular reactors (SMRs) could have on energy security, Sengiphile Simelane, Group Executive for Power and Industry at the South African Nuclear Energy Corporation (NECSA), said the nuclear technology could help Africa address its electricity access deficit and build cleaner, more reliable energy systems.

Simelane emphasised that over 600 million people on the continent still lack access to electricity, hindering economic growth, education, healthcare and industrialisation.

“These challenges can be seen as an opportunity to build energy systems that are cleaner [and] reliable, especially in the form of small modular reactors,” said Simelane.

The case for deploying SMR technology

Unlike traditional large-scale nuclear plants, SMRs offer scalability and lower upfront costs.

“You can build them in small modules… say, maybe a 50 to 300 megawatt power plant, as opposed to the conventional nuclear power plants that are quite big in nature. They are not a good fit for most of the grids on the continent.”

Simelane highlighted that conventional nuclear plants cost tens of billions of rand, placing a heavy strain on national budgets.

SMRs, by contrast, offer more manageable financing strategies.

“You can plan your financing. You can have a financing strategy where you take it one SMR at a time.”

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Beyond power generation, SMRs support non-electric applications such as clean hydrogen production, desalination, and industrial heat.

“They are far more modern than the old nuclear power plants. They have a passive safety system. If there’s a fault, the plant can shut itself down without human intervention.”

Simelane said this makes the technology easier to license and improves public perception.

Creating an enabling environment

He also stressed the need for institutional readiness.

“South Africa set up various institutions that support the nuclear sector. We have the nuclear regulator, NECSA for research, and other entities dealing with waste.

Investment in skills development is critical.

“Nuclear is high-tech… you need to have very strong skills. We developed a lot of skills during the Pebble Bed Modular Reactor project,” he said.

Simelane called for regional collaboration and long-term planning.

“These are mega projects. Even if it’s an SMR, you need to plan for siting, environmental impact assessments, licensing… the preparatory work is very important.”

Helping industrial users track energy data more effectively

Vusumuzi Dlamini, Chairman of South Africa’s Energy Intensive Users Group (EIUG), said rapid technological advances are empowering large power users to manage costs, enhance energy security and decarbonise operations.

He said, however, that slow regulatory processes risk stalling progress.

Dlamini said security of supply, rising electricity costs and the imperative to decarbonise were top concerns for large industrial users.

“To stay in business and protect livelihoods, large power users need reliable and affordable power. Technology has helped bridge the gap by providing more generation options and control over energy demand.”

Renewable energy costs decreasing

Dlamini highlighted the rapid rise of solar PV and wind power.

“In the last decade alone, solar costs have dropped over 80% and efficiencies improved by more than 50%. Wind has seen similar gains… capacity factors are up 60% and costs are down 50%,” he said.

New financing models have made these technologies more accessible.

“Through direct investment or power purchase agreements, large users are now able to participate in renewable energy, a key lever for decarbonisation.”

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However, Dlamini warned that regulatory inertia could limit the pace of adoption.

“There’s a lag between technological progress and regulatory response… from licensing to permitting and that creates bottlenecks. We need more agility and enabling incentives, particularly in areas like battery storage and hydrogen.”

He also stressed the role of private sector partnerships in easing grid pressure.

“A significant portion of registered new generation projects comes from the private sector, with large power users as off-takers.”

Nigeria ramping up technology adoption to help secure the grid

Further afield, Nigeria is accelerating its adoption of digital technologies to combat power sector losses, vandalism and reliability issues.

Godwin Afamefuna Aguiyi, Assistant General Manager at the Transmission Company of Nigeria (TCN), highlighted persistent challenges within Nigeria’s power transmission system.

These include:

• widespread vandalism
• high technical losses
• energy theft
• limited grid redundancy

“Vandalism alone is costing us billions of naira monthly,” he said.

“Our grid lacks the flexibility to reroute power in some regions, so any breach causes serious economic and security disruptions.”

Systems set in place to help overhaul the grid

In response, TCN is deploying a suite of technologies aimed at transforming grid operations.

“Our in-house engineers have developed IoT [Internet of Things] and VPN tools for real-time data from generation points and major interfaces. These are paving the way for full grid digitalisation, aided by a World Bank-backed initiative set for completion within eight months.

“AI-driven tools are also being introduced across dispatch, asset management, and enterprise risk systems. AI is making our relays smarter, reducing fault detection and clearance time, and helping us make faster, more precise decisions,” said Aguiyi.

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Battery energy storage is another focus of TCN’s. A pilot in Niger State combines a 675kWh battery with a 100MW solar plant to enhance reliability.

“We’re preparing the grid to integrate more renewables, but also training our workforce for future challenges,” he said.

High losses remain a concern

“Transmission losses often exceed the 7.25% benchmark, costing billions monthly. At distribution level, high ATC&C losses and poor revenue collection cripple reinvestment,” said Aguiyi.

He called for Africa to nurture homegrown AI talent.

“We must integrate young engineers now… so we don’t rely on them later as foreign experts to solve African problems.”

Botswana places trust in data-driven solutions and partnerships

In Botswana, a focus on smart metering, customer engagement and cross-sector collaboration is underpinning the country’s efforts to digitalise its energy operations.

Botswana Power Corporation’s (BPC) ICT General Manager, Galebolae Otimile, said that like many Southern African utilities, BPC has not fully leveraged its infrastructure to extract value from data.

“We’ve rolled out smart meters, though some areas faced connectivity issues. But we are pushing forward, integrating data more deeply into our operations,” he said.

The utility is building platforms to enhance customer experience and develop real-time feedback loops.

“Utilities generate huge amounts of data… we’re connected to households 24/7. It’s time we use that data to drive efficiency and deliver more personalised services,” said Otimile.

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A key part of the strategy involves partnerships.

“We’re collaborating with telecoms to leverage our extensive fibre network and are open to working with startups and data innovators.”

BPC is also partnering with local universities, including drone-based data-gathering initiatives to cut costs and improve asset monitoring.

Adopting a customer-centric approach rooted in technology

Otimile emphasised the role of data in fostering sustainability awareness among consumers.

“Our digital platforms will allow customers to understand and manage their power usage better. If we don’t bridge the gap between us and users, the sustainability message won’t land.”

He called on utilities to learn from other sectors like banking, which have advanced rapidly in customer-centric digital services.

“For consumers, the quality of experience must be consistent… whether with a bank or a power utility. We must meet that standard,” he said.

“We must also partner with youth and universities. Disruptive technologies are already here and our role is no longer just delivering power, but delivering it smartly.”