Sterling One Foundation’s Post

Transcript

For this conversation on energy transition in Africa, we now turn to our luck with Ubiquiti CEO Sterling One Foundation. Good to have you on our eyes News day. Thank you so much balance. Now this conversation, it's a long standing conversation transitioning from fossil fuel to renewable energy. And we know that for Africa to move forward to progress that we must look at ways to effect this transition. Talk to us about this. Thank you so much, Bulandi. So if we're going to. Backtrack a bit and look at our numbers. Based on current United Nation estimates. Africa currently has 1.5 billion people. Unfortunately, over 70% of this population currently do not have access to energy. And we know Africa is the fastest growing continent, meaning that we have a significant demand for energy, although we already have issues around that. And then there is limited supply. I usually say that where we have problems, then we have opportunities. Several opportunities exist to block this energy access gap and that is why understanding one foundation, we have positioned ourselves. As conveners and catalysts to attract this required impact investment to critical solutions including energy and for us to solve this problem, I think first we need. Public private partnerships, not only low skill but only large scale serious regional cooperation too. I think we also need significant capacity building and knowledge sharing because it is clear when it comes to renewable energy, we don't necessarily have the technical know how and skills in that path in this part of the continent. So we need to be intentional to build our local capacity and share the required knowledge and them. Finally, I also think there should be provisions for the critical stakeholders to meet dialogue and collaboratively find ways forward. That is why we Co convened the African Social Impact Summit in partnership with the United Nations in Nigeria just recently. And what's interesting is that we had the public sector partner that is Lagos State partnered with us to make that convening possible as the host city and we had over 40. Private sector and development partners. And here's why. One organization, 2 organizations, 3 organizations cannot solve this multidimensional problems. We know that energy powers our industries. It powers transportation. It basically powers the economy. Where you do not have energy, you cannot have industrialization. OK, let's bring it home. I know. I like the fact that you brought it home to Nigeria, which is, of course, our own home base. And we must start from home. Charity begins from home and now. We know that President, former President Muhammadu Buhari committed to net zero, you know, green gas by 2060. How have we done in that regard? What are the challenges? What are the steps taken and where do you see Nigeria in all of these? Big picture? Interestingly, earlier today, I had a conversation with someone who was part of that energy transfer transition plan started by the former President Muhammadu Buhari and I had confirmation that yes. You know, the initial commitment was to raise $10 billion to start the the process. And I got confirmation that yes, funds have been raised not up to $10 billion and that process has started just recently. I think just a few months ago we had the commitment of the government seeking to transition 1,000,000 vehicles to be CNG power, to be CNG powered. I imagine that the funds raised are also powering such conversations and. Those are nine and know their part. They've already accredited 123 workshops across the country. They've started with five workshops in Abuja and they're looking to scale. What will I say? We also talked about releasing about 5000 CNG powered tricycles over the space of next three months. All of these proposals look good on paper, but where do they get us and how are we moving in that direction? So what I can speak to is something I know. The private sector organization is already doing with a women owned cooperative in Kano State where they have provided immobility EV powered vehicles for these women. And you know, in a country where electricity is still a challenge, yes, electricity is a big challenge, but we know that this is solar, so it is powered by the sun. OK, So these batteries are can be powered. And they're used for transportation. Actually, these women do not just use it for personal use, they use it for businesses. So it's actually supporting their livelihoods. So what I can confirm to you is the process has started already. Are we where we want to be? Definitely not. We have a long way to go. But like I said earlier, it was not just something that the public sector can deliver on. It's something that needs the partnership of the public sector and the private sector at this scale. We desire to deliver for our country and our continent. We've talked about funding. You mentioned the fact that there's still a long way to go when it comes to getting the needed. Want to do to get this transition achieved what do you think are the potential opportunities to getting this funding to help us achieve or meet that goal or do you see us meeting the goal 2060 net zero. You know energy well, I am a diehard optimist so personally I'm a diehard optimist, but I also don't believe in just wishful thinking We have to do the work to deliver on the goals we need to ensure that the right. Partners in the room, development financing has to be in the room, private sector financing, commercial capital also has to build in the room to deliver on sustainability. And then it's not bad for us to also have grants and concessional funds. And that's the role of catalytic capital. So I think it's a, it's a combination of finance sources that we're talking about, blended financing and impact investment. That's one thing we prioritize at the Africa Social impact. Summit, we know that the kind of Sustainable Development goals indicators we need to deliver on cannot be delivered on by just commercial capital. Also it cannot be delivered on if we are going to be relying on only grants and donor funds. We need to bring these funds together. I'll find a way to make them work the risk the the sectors. And I'm speaking to energy now, although we don't only focus on energy, we also prioritize education, health. Food security and energy is under the climate action body. But yes, we need to ensure that we have funds to do risk these sectors to also be able to unlock other capital sources to ensure that the the the the the results will require are delivered and not just in the short term. Over the long term, we're talking about 2020. Sixty, it was initially 2050. That's the beautiful thing about iteration. It's not about perfection. You also have to look at the current realities, look at the impact of the COVID-19 pandemic and look at this current state of the economy. And we're talking about affordability because if you have the supply now, we also have to consider the affordability by the average African and the average Nigerian. What are the current economic situation? You cannot look at these situations in isolation. There has to be a mix. When you want to review SO 2060, I'm fine with that, but we need to do the work. Let's quickly touch on the the Lagos State pushing for circular economy revolution. Tell us more about that. So one thing I love about the secular economy, it speaks to us intentionally decoupling from UC age of finite resources and ensuring that we design out wastage and ensure the continuous use of the resources we have available. I commend the Lagos State that has been prioritizing proper waste management for decades. Now and the current stand is something we're completely aligned with. Interestingly for the African social impacts on it, there was a pre event investors roundtable and in total based on the numbers that were shared, Lagos State made a request of over about a billion dollars on their average to investors locally and globally, including investment in the circular economy and green financing, sustainable investment. We all know that Lagos State is one of the most viable sub nationals. From the on the continent and we had 31 foundation, our partners with Lagos State and that we know we've already received some expressions of interest and we will follow through for those deals. I know there are those on the other side of the table who don't believe that Africa should be the most committed when it comes to, you know, transitioning from fuel, fossil fuel to green to cleaner energy because they say that the West even you know, releases more greenhouse gases. But we won't go into all of that because. Are really pressed for time but I most appreciate you for coming on Newsday or lacquer you equate CEO Sterling one Foundation. Thank you for your time. Glad to be here too.