Electricity is essential for productivity, creativity, and economic growth, powering everything from lighting to industrial automation. However, the cost of electricity is a significant challenge, especially in regions with varying resources and infrastructure.
In Africa, electricity prices differ widely based on factors like resource availability, power generation efficiency, government subsidies, and reliance on imported energy.
Globally, the average price of electricity for residential users is USD 0.152 per kWh, with Europe having the highest at USD 0.228 per kWh and Asia the lowest at USD 0.082 per kWh. Africa’s average residential price is USD 0.119 per kWh.
For businesses, Europe again has the highest electricity prices at USD 0.195 per kWh, while Africa and Asia offer the lowest at USD 0.108 and USD 0.082 per kWh, respectively. Other regions like Australia, North America, and South America have prices ranging from USD 0.161 to USD 0.236 per kWh.
As of March 2024, Sierra Leone has the highest electricity costs in Africa, with businesses paying approximately USD 0.342 per kWh, surpassing countries like Ivory Coast and Burkina Faso, where business rates are USD 0.227 and USD 0.210 per kWh, respectively.
These disparities highlight the challenges faced by businesses in Africa, where high electricity costs can hinder economic growth and competitiveness compared to other regions.
Below are the top 10 African countries with the highest electricity prices for businesses
