President Obama Prompts to Resolve Blackouts in Africa with $7 billion Power Upgrades

With the continuing power outage in the African continent, United States President Barack Obama promised a total of $7 billion of aid to light up the homes of more than two-thirds of sub-Saharan African population that do not have electricity. This good news was announced when Obama made his trip to the biggest economy of the continent, South Africa. The President also visited Senegal and is next due in Tanzania.

President Obama reiterated that the promised funds are solely dedicated to combat Africa’s power crisis and will be given in installment for a span of five years.

Light in the darkness

As in most nations of the world the use of electricity is pertinent to every aspect of a country’s growth and economic stability. Electricity is an essential aspect of day to day tasks and is a fundamental requisite in gaining opportunities. In a statement given by Obama, he said that electricity is the lifeline for families to meet their most basic needs. “It is the connection that’s needed to plug Africa into the grid of the global economy.” Obama stressed the importance of electricity and its necessity in uplifting sub-Saharan Africa’s economic status.

In a study conducted by the White House, 85% of those living in rural areas in the sub-Saharan region of the continent do not have access to electricity. This only shows how extreme the current blackouts in Africa is.

Obama’s vision

The President’s itinerary in Africa included a visit to the famous Cape Town University where he delivered an inspiring speech. Obama explained his vision for the two countries – the United States and South Africa, uniting to achieve one goal. According to Obama, America intends to have a solid partnership with Africa to sustain and achieve economic growth for the region, as well as to boost not only a few privileged individuals but every concerned citizen of the nation.

First steps

The initial budget of $7 billion is only the starting point. It is only a fraction of what Africa needs by the year 2030. An estimated amount of $300 million is needed to power every house in every street in the entire region. The US government procured the initial budget from different sources, with $1.5 billion coming from the U.S. Overseas Private Investment Corporation while the rest is from the Export-Import Bank.

Preliminary set up

However, with this endowment, not all countries in Africa will have the opportunity to experience power stability in the next five years. The primary set up will only include countries such as Liberia, Nigeria, Tanzania, Uganda, Ethiopia, Kenya and Mozambique. The White House confirmed that these countries are embarking on various improvements in their energy sector and is continually making reforms to encourage investments and economic growth.

Honoring a South African hero

During President Obama’s recent visit to Africa, he spoke highly of anti-apartheid icon Nelson Mandela and said that he considers the 94-year old former South African president as an inspiration. The President said that it was his pleasure to honor and pay tribute to a great man who changed Africa for the better. Nelson Mandela is still in hospital and in critical condition.

Photo Credit: President Obama offers financial aid to solve Africa’s power crisis.