Why green industrialization makes sense for Africa

 

ECA/Lusaka, Zambia, 12 July 2016 - Africa will need a major re-design of growth strategies across the continent in order achieve its development goals says the Government of Zambia.

Speaking during the launch seminar of the Economic Report on Africa 2016: Greening Africa’s Industrialization in Lusaka Zambia, Auxillia Ponga, Permanent Secretary, Ministry of National Planning and Development, said that Africa needed a different pathway to industrialization. “It is important to understand that the challenge facing Africa is to transform the patterns of production and to build system-wide infrastructure in order to ensure secure supplies of water, food and energy” and that “Green and inclusive industrialization provide a pathway to attain such goals” she said.

Ponga observed that Africa’s current growth trajectory was incapable of leading to structural transformation. “The heavy reliance on natural resources, low productivity, high energy and material intensities, contribute to the high production costs that undermine the global competitiveness of Africa`s industrial sector. Greening industrialization is therefore an opportunity for Africa to achieve the type of structural transformation that yields sustainable and inclusive growth, creating jobs while safeguarding the productivity of natural assets” she said.

She further argued that Africa, as a late latecomer to industrialization, had a big opportunity to adopt alternative economic development-led pathways to industrialization. “This requires governments to take on board the drivers, challenges, and trade-offs in pushing for greening of industrialization and to build them into the vision and route-map for action. Seizing the momentum of the SDGs provides the ideal timing for such a shift in economic strategy”

For his part, Said Adejumobi, Director - ECA Sub-regional Office for Southern Africa said that green industrialization was imperative for Africa. “Although we are the least contributor to global carbon emission, we have been one of the worst, if not the worst hit, in terms of its consequences. The El-niño phenomenon which has caused drought and virtual food shortages in Southern Africa compels us to think and act smartly. It challenges us to think proactively in being ahead of the game in addressing the challenges of global warming, climate and environmental degradation”

Further, Adejumobi argued that green industrialization will later become good economics because in the long run, it would be cheaper, more efficient and productivity enhancing.“Green industrialization will position Africa on the cutting edge of science and technological innovation that may change the fortune and position of Africa in the global economy.  If Africa seizes the initiative, invests early in green technology and education and provides good incentives for private firms to adopt green technology, then Africa could have succeeded in promoting economic transformation and leap-frogging its development”

The ERA is a flagship publication of ECA. The 2016 edition highlights that Africa is poised for growth through green industrialization, with case studies of projects in several countries, among them Kenya and Malawi, showing how countries can develop through green industrialization.

The report outlines seven key policy options that member-states may consider including a review of national development plans and strategies to identify opportunities and entry points for green industrialization, and thus develop a green growth vision for the country.

The launch seminar was attended by representatives from Government, civil society, private sector, embassies, UN agencies,  media and students among others. 

To access the report, please click here