According to him, the move could also create sustainable wealth which will ensure that Africa is not left behind in global green economic development.
Dr. Prempeh made these assertions when he addressed the launch of the Africa Renewable Energy Manufacturing Opportunity and Advancement on the margins of the Abu Dhabi Sustainability week as keynote speaker on Tuesday, January 17 at the Abu Dhabi Exhibition Centre.
Dubbed “Green Manufacturing in Africa through South-South Cooperation” it was an event organized by Sustainable Energy For All to discuss the levers that would enable Green and Renewable Energy Technologies, manufacturing in Africa and strategic partnerships to accelerate efforts for south-south cooperation.
According to Dr. Prempeh, historically the manufacturing sector has helped drive rapid economic growth and change globally, however, Sub-Saharan Africa is yet to realize the transformative impacts of industrialization.
He noted that the contribution of manufacturing to Africa's GDP has not witnessed significant or steady growth over the last four decades.
“The overreliance on raw material exports and imported consumer goods underpin the economic models employed by the Continent which has been the major setback for her sustainable development,” he said.
The Minister who is also the Member of Parliament for Manhyia South said the global energy transition agenda must offer Africa the opportunity to take concrete and decisive actions to redefine our economic model.
“This model should be driven by value-addition and export-led growth strategy, through green manufacturing which will create the much-needed jobs, infrastructure development, increase export revenues and prosperity” he added.
He continued “the African Continent is endowed with rich critical metals such as Lithium, Cobalt, and Tantalite which are essential for the manufacturing of clean energy technologies such as Lithium-ion batteries for both the power and e-mobility sectors”
Dr. Prempeh said as Africa takes steps to change the economic fundamentals of the Continent, it must not be oblivious to the challenges and bottlenecks of limited technological capacity, inadequate human capital, high inputs costs, high energy deficit, low productivity and weak capital market.
The attraction of green industries into Africa, in his view, would enable the leapfrogging of the continent in the energy transition agenda.
The Minister however said Ghana has just launched its US$562.00 billion energy transition framework at the just-ended COP 27 in Egypt.
He explained that the framework seeks to provide the optimal and sustainable pathway for fuel supply security, diversified energy mix and cost-efficient electricity generation with an estimated medium to long-term average electricity generation tariff of US$4.5cents/kwh to accelerate the socio-economic development of Ghana and therefore remains committed in this direction.
“There are better conditions on the continent, including political stability, market and geographical advantage. I, therefore, urge you my fellow Ministers and stakeholders here gathered to come up with bold and implementable economic models and solutions that will enable the realization of Africa’s green manufacturing aspirations,” Dr Opoku Prempeh concluded.
Energy Minister, Dr Matthew Opoku Prempeh