Podcast Summary: The CGD Podcast
Episode: Let There Be Peace (and Power Africa) on Capitol Hill – Todd Moss & Tom Hart (ONE)
Date: February 19, 2014
Host: Lawrence MacDonald (Center for Global Development)
Guests: Tom Hart (U.S. Executive Director, ONE Campaign), Todd Moss (COO and Senior Fellow, Center for Global Development)
Episode Overview
This episode delves into the issue of energy poverty in Africa and the U.S. government's response through the Power Africa initiative. It examines the scale of the electricity access problem, the economic and social impacts, recent African energy discoveries, and policy solutions aimed at accelerating electrification on the continent. The discussion also explores bipartisan legislative efforts in the U.S. to amplify Power Africa and the debate over environmental policy constraints.
Key Discussion Points and Insights
The Scope of Africa’s Energy Challenge
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Vast Electricity Access Gap:
- Two-thirds of Africans lack access to modern electricity.
- In Power Africa target countries, per capita annual electricity consumption ranges from as low as 50 kWh (Ethiopia) to 300 kWh (Ghana).
- Illustrative Anecdote: Todd Moss compares his own refrigerator’s energy use (400 kWh/year) to the total energy use of an average African, noting, "My fridge will use more power than a person would." (01:55)
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Economic and Social Impacts:
- Electricity is identified as a top barrier for entrepreneurs and key to economic growth and job creation.
- Beyond business, lack of electricity impacts education (most schools do not have power) and health, particularly due to indoor smoke from cooking on open fires.
- Quote: Tom Hart: “More people die of inhalation of toxic smoke in Africa than AIDS and malaria combined.” (03:34)
Power Africa: Goals, Mechanisms, and Innovations
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Initiative Overview:
- President Obama's “Power Africa” aims to add 10,000 megawatts of generation and improve access for 20 million households in six African countries.
- Focus is on harnessing existing U.S. government agencies—most notably the Export-Import Bank and the Overseas Private Investment Corporation (OPIC)—in a coordinated push, with $7 billion as the headline figure.
- Quote: Todd Moss: “They're taking the tools in the US government policy toolbox... and trying to bring them together in a coordinated manner.” (04:39)
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Policy Mechanism:
- Strategic focus on public–private partnerships and leveraging U.S. development finance institutions for infrastructure investment.
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Presidential Attention & Symbolism:
- Tom Hart notes the importance of presidential visibility: “There’s nothing quite like having the President of the United States on the continent of Africa saying, this is an important issue.” (06:36)
- Obama’s public acknowledgment in both Africa and the U.S. has elevated the issue’s profile.
Africa’s Hydrocarbon Boom and Local Power Needs
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Recent Discoveries:
- Almost every African coastal country has had recent major oil or gas finds, spurred partly by high global prices and new geological data.
- All Power Africa target countries are exploring or producing natural gas.
- Quote: Todd Moss: “Within the six Power Africa countries, every single one is either exploring or already producing natural gas.” (07:23)
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Disconnect:
- Despite discoveries, much of the new energy is exported, while domestic electricity shortages persist.
- Raises political pressure and highlights developmental needs.
Proposals to Amplify Power Africa
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Policy Recommendations:
- Ambitious Targets: Push for scaling up U.S. support beyond current Power Africa goals—proposed legislation aims to double outcomes (20,000 MW, 50 million people reached).
- Modernize OPIC:
- Move from annual to multi-year authorizations for funding stability (11:52).
- Allow OPIC to retain a portion of its profits for staffing expansion and project packaging.
- Address “carbon cap” restrictions to let OPIC support gas-fired power generation in poor countries—important for urban/industrial electrification.
- Quote: Todd Moss: “Ghana has two [fossil fuel] power plants… OPIC… would not be allowed to participate in natural gas power plants… given this emissions rule.” (14:14)
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Legislative Momentum and Bipartisanship:
- Unusually strong bipartisan support for complementary legislation—“peace breaking out on Capitol Hill.”
- Quote: Tom Hart: “We have yet to have a bad meeting on Capitol Hill on this subject... It's quite tremendous when you see Republicans and Democrats say, yes, we want to do something good and powerful.” (16:15)
Civil Society Mobilization
- ONE Campaign’s Role:
- Mobilizing 200+ top volunteers to Washington for meetings with representatives on Power Africa legislation.
- Grassroots advocacy has been essential to bringing attention and support from both the public and policymakers.
- Quote: Tom Hart: “Every time we [meet with representatives], once you get over the initial raised eyebrows and question marks, people say begin to understand what their lives would be like without electricity...” (18:48)
Navigating Climate Policy Tensions
- Carbon Cap Controversy:
- Some U.S. development finance support is constrained by carbon emissions policy, limiting investment in fossil fuel power projects even in the poorest countries.
- Moss argues for flexibility: allowing natural gas plants in Africa when those resources would otherwise be flared or exported.
- Quote: Todd Moss: “No one wants to fight climate change on the back of the poor.” (19:47)
- Real-world practicality: small-scale solar is insufficient for cities and industry; utility-scale solutions using local gas are needed for meaningful development.
Notable Quotes & Memorable Moments
| Timestamp | Speaker | Quote | |-----------|---------|-------| | 01:55 | Todd Moss | “My fridge will use more power than a person would.” | | 03:34 | Tom Hart | “More people die of inhalation of toxic smoke in Africa than AIDS and malaria combined.” | | 04:39 | Todd Moss | “They're taking the tools in the US government policy toolbox... and trying to bring them together in a coordinated manner.” | | 06:36 | Tom Hart | “There’s nothing quite like having the President of the United States on the continent of Africa saying, this is an important issue.” | | 07:23 | Todd Moss | “Within the six Power Africa countries, every single one is either exploring or already producing natural gas.” | | 14:14 | Todd Moss | “Ghana has two [fossil fuel] power plants… OPIC… would not be allowed to participate in natural gas power plants… given this emissions rule.” | | 16:15 | Tom Hart | “We have yet to have a bad meeting on Capitol Hill on this subject... It's quite tremendous when you see Republicans and Democrats say, yes, we want to do something good and powerful.” | | 18:48 | Tom Hart | “Every time we [meet with representatives], once you get over the initial raised eyebrows and question marks, people say begin to understand what their lives would be like without electricity...” | | 19:47 | Todd Moss | “No one wants to fight climate change on the back of the poor.” |
Timestamps for Key Segments
- [01:11] What energy poverty looks like in practice—Moss’ refrigerator anecdote
- [03:12] Health and educational impacts of lacking electricity—Hart
- [04:39] Mechanics of Power Africa—Moss
- [06:36] The significance of presidential attention—Hart
- [07:23] Africa’s hydrocarbon boom—Moss
- [09:25] Political and developmental imperatives for energy—Moss
- [11:52] Policy reforms and scaling OPIC—Moss
- [14:14] The “carbon cap” barrier—Moss
- [16:15] Bipartisan support on Capitol Hill—Hart
- [18:48] ONE Campaign’s grassroots mobilization—Hart
- [19:47] Addressing climate advocates’ concerns—Moss
- [22:45] Final thoughts on opportunity for transformation—Hart/Moss
Final Takeaways
- Energy access is fundamental to Africa’s development, affecting health, education, and economic prospects.
- Power Africa represents a significant step forward, but bold policy reforms and expanded ambition are needed for transformative impact.
- Modernizing U.S. development finance tools, especially OPIC, could multiply results at little or no net cost.
- Balancing environmental policies is crucial; local realities and poverty reduction must shape U.S. financing guidelines.
- Rare bipartisan momentum and effective grassroots advocacy offer a genuine window for progress on this issue.
