Industry organisation, the African Refiners and Distributors Association (ARDA) will host its 17th annual ARDA Week in Person conference from 13 to 17 March at the Century City Conference Center in Cape Town.
Previewing the event, ARDA president Marieme Ndoye Decreane highlights the need for action to balance the competing challenges of Africa’s energy transition, security and scarce financing.
The crisis between Russia and Ukraine has Europe competing for products that are currently imported into Africa, says Decreane, who is also managing director of the SAR refinery in Dakar, Senegal.
“We cannot prevaricate whether to achieve our short-term energy security goals, banish energy poverty and achieve the goals of the Conference of the Parties. We must act now,” he emphasizes.
Executive Secretary of the ARDA Anibor Karagha he is also very clear about the main competitive challenges for the African downstream sector as it struggles to balance its short-term cleaner fuel needs with long-term energy transition initiatives.
“Africa thought we had a big challenge ahead of us to seek a just energy transition for our continent within the COP process. But as our plans were being developed, the war in Ukraine prioritized short-term security deadline for the supply of petroleum products for African countries.
“These competing challenges are not only difficult to reconcile in terms of their goals, but also, critically, when competing for the same funding pool,” he notes.
“With banks under increasing pressure from environmental, social and government activists to limit investments in fossil fuel projects, even as steps are being taken to achieve a cleaner world while eliminating energy poverty, there “There is a high risk that Africa will experience a significant shortage of fossil fuels. The cleaner energy needed to enable the continent’s transition to a low-carbon economy,” he adds.
Ahead of the conference, Decreane has also highlighted the struggling fortunes of the African downstream sector.
“In Senegal, we are investing in our refinery, with the support of our country’s president, and in Nigeria, the gigantic Dangote refinery is nearing completion with the support of private financing. Nigeria is also rehabilitating its NNPC refineries, and other countries such as Algeria, Egypt, Angola, Ivory Coast, Congo-Brazzaville, Uganda and Cameroon have ongoing projects.
“However, in Zambia and South Africa, refineries have announced closures.
“At the same time, investment in improving infrastructure and logistical efficiency, fundamental to our continent’s economic progress, has stagnated, as have initiatives for cleaner fuels and vehicles,” he points out.
At the conference, sessions will discuss pan-African challenges and opportunities.
Sessions include discussions on energy security – the current state – global market trends and potential impacts; after COP-27: ensuring a coordinated and robust intra-African oil and gas industry alongside the implementation of energy transition aspirations; decarbonizing the African continent: economic opportunities and key drivers; financing infrastructure projects to accelerate Africa’s energy transition; carbon reduction projects as a way to generate carbon credits; highlight downstream African projects, highlighting refinery investments for energy security; and the future of cleaner fuels: integrating liquefied petroleum gas, biofuels and other sustainable fuels for energy security.
Meanwhile, individual speakers will cover topics including the role of downstream in the implementation of the African Carbon Markets Initiative; national oil companies and energy transition: the road to net zero; African independents’ path to cleaner fuels and net zero; and cleaner vehicle emissions: an essential path to reducing air pollution.
ARDA was formed in 2006 to provide a pan-African voice to the African oil supply, refining and distribution industry. The association represents refineries, various product importers, storage companies, marketers and government regulators.
