As Africa’s manufacturing sector expands under the African Continental Free Trade Area, affordable, reliable energy remains critical for competitiveness, resilience, and growth. Manufacturers across the continent are increasingly looking to solar power purchase agreements (PPAs) to stabilise energy costs, reduce carbon footprints, and mitigate the impacts of grid instability.

Traditionally, solar PPAs have been structured over 20-year terms, limiting flexibility for manufacturers needing adaptable solutions. However, the market is evolving rapidly to meet the needs of Africa’s industrial sector.

Flexible, short-term solar PPAs are emerging as a practical alternative for manufacturers, offering daytime solar energy at lower, predictable tariffs with zero upfront costs or operational hassle. These agreements allow businesses to benefit from clean energy while maintaining flexibility in a changing market.

Flexible PPAs allow manufacturers to:
- Reduce operational costs in energy-intensive processes.
- Hedge against rising electricity prices and grid unreliability.
- Meet ESG and decarbonisation targets to remain globally competitive.
- Focus capital on core production while accessing clean energy without upfront investment.

These opportunities will be highlighted at the upcoming Manufacturing Indaba, where energy solutions for manufacturers will feature as a critical driver for industrial growth in Africa. The event will showcase innovative solar PPA structures, products and energy partnerships that empower African manufacturers to scale sustainably while reducing operational risk.

“Access to affordable and reliable energy is a game-changer for manufacturers in Africa. Flexible solar PPAs now give industry leaders the power to control energy costs while advancing sustainability commitments,” says Liz Hart, Managing Director of the Manufacturing Indaba.

Manufacturers seeking to enhance their competitiveness in Africa’s fast-evolving industrial landscape can now explore flexible solar PPA options to drive cost savings, resilience, and decarbonisation—positioning themselves for growth under Africa’s industrial revolution.