From Lagos to Nairobi and Cairo to Jo’burg, the shift is showing up in ordinary places rather than official ceremonies. Solar panels sit on rooftops. Small shops stay open through afternoon outages. Farms keep produce chilled well into the evening. Across Africa, solar power is moving to daily use, and new data shows how quickly that change gathered speed in 2025.
Africa added about 4.5 gigawatts of new solar capacity last year, a 54 percent increase from 2024, according to a report released Tuesday by the Global Solar Council. It was the fastest annual expansion ever recorded on the continent, surpassing a previous peak in 2023 and coming in well above earlier projections. Most of the new capacity came from large, grid-connected projects, even as rooftop and other small-scale systems continued to spread.
Africa solar growth constrained by financing
South Africa accounted for the largest share, installing 1.6 gigawatts in 2025 and reinforcing its position as Africa’s biggest solar market. Nigeria followed with 803 megawatts, driven by a mix of utility projects and privately financed systems adopted by businesses and households coping with unreliable electricity supply. Egypt added 500 megawatts, continuing a steady rollout of large solar plants. Together, the three countries made up a significant portion of Africa’s new capacity, highlighting how a small group of markets is driving overall growth.
Beyond those leaders, the data also points to a more uneven picture. The Global Solar Council said Africa could add more than 33 gigawatts of solar capacity by 2029 if current trends continue. Reaching that level, however, will depend on whether financing, planning and regulation better reflect conditions faced by developers and consumers.
That gap remains wide. About 82 percent of clean-energy funding in Africa still comes from public institutions and development finance, the council said. Most funding structures are designed for large, grid-connected projects, while rooftop and other distributed systems rely on smaller, less predictable pools of capital. The result is a market split between government-backed utility projects and a parallel expansion driven by private investment.
Africa needs $46 billion for solar growth
Executives in the off-grid and mini-grid sector say the funding challenge is becoming more pressing. Leaders of several major solar mini-grid companies said last week that meeting electrification targets in 29 African countries participating in a World Bank-backed program would require as much as $46 billion by 2030.
That total would include about $28 billion in debt, $14 billion in equity and $4.6 billion in grants and subsidies, according to estimates from the companies, including Husk Power Systems. The mix reflects the balance investors must strike: debt supports expansion, equity absorbs risk, and grants help keep prices affordable in lower-income communities.
In practice, Africa is running two energy transitions at once. Governments and utilities are focused on large solar plants financed by development banks and public lenders. At the same time, households and businesses are installing their own systems to secure reliable power. Both tracks operate under the same regulatory frameworks, even though their economics and timelines differ.
Solar funding links power, food security
Public institutions continue to play a central role in moving projects forward. In January, the World Bank approved $50 million to expand solar-powered agricultural solutions in Nigeria and five other African countries. The initiative aims to improve productivity, cut post-harvest losses and expand access to clean energy, according to updates from the bank and partners including the Rockefeller Foundation, as reported by Bloomberg.
The funding will support solar-powered cold rooms, refrigerators, water pumps and grain mills across Kenya, Nigeria, Ethiopia, Sierra Leone, Uganda and the Democratic Republic of Congo. The program will be implemented by Clasp, a Washington-based nonprofit focused on energy efficiency and clean energy access. For farmers and food traders, the equipment can extend storage times, reduce spoilage and stabilize incomes.
Together, the projects show solar investment is increasingly linked to food security, health and small businesses. Utility-scale plants add capacity quickly, while distributed systems meet daily needs that national grids often miss. The Global Solar Council report shows record installations led by South Africa, Nigeria and Egypt, underscoring solar’s move into the mainstream. Financing data highlights the challenge of converting rapid growth into broad, continent-wide access across African markets.
