UNCTAD Warns High Clean-Tech Tariffs Could Stall Africa’s Renewable Energy Transition Despite Falling Global Prices

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Africa’s push toward renewable energy faces a growing threat from high clean-technology tariffs and ongoing trade barriers, according to a new global trade and climate briefing released by the United Nations Conference on Trade and Development (UNCTAD).

The report warns that despite a dramatic global decline in the cost of renewable technologies—particularly solar and wind—African countries remain unable to fully capitalize on these gains due to restrictive trade policies that inflate prices and slow adoption.

UNCTAD highlights that worldwide, the energy landscape has shifted rapidly over the last decade. The average global cost of electricity generated from new solar installations has dropped by 41% since 2010, while the cost of onshore wind power has fallen even further, becoming 53% cheaper than fossil-fuel generation. These reductions, the agency notes, should ideally make clean energy more accessible than ever.

However, Africa’s ability to benefit from this progress remains constrained. Many African countries continue to face high import tariffs, complex customs procedures, and other non-tariff barriers that drive up the cost of renewable energy components such as solar panels, inverters, turbines, and battery systems.

As a result, clean-energy technologies that have become affordable globally remain prohibitively expensive in several African markets, slowing the continent’s transition away from fossil fuels.

UNCTAD emphasizes that global trade is a powerful but underused tool for climate action, arguing that lower trade barriers could accelerate renewable energy deployment, reduce emissions, and help developing countries transition more equitably.

The agency urges governments, multilateral institutions, and private-sector partners to reform trade policies, strengthen regional value chains, and invest in infrastructure that supports the large-scale adoption of clean energy across the continent.

 

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