Michael Eboh
Dublin, Ireland — African refiners, under the aegis of African Refiners and Distribution Association (ARDA), have emphasised the need for the mobilisation of domestic capital across Africa to drive the continents’ quest for energy security.
In a policy brief released in July 2025, ARDA’s Executive Secretary, Mr. Anibor Kragha, noted that currently, over $4 trillion is locked in pension funds, insurance pools and sovereign wealth funds across Africa, noting that proper utilisation of this fund would help de-risk energy investments and drive the continent towards attaining energy security.
He said: “Equally critical is the mobilisation of domestic capital. With over $4 trillion locked in pension funds, insurance pools, and sovereign wealth funds, smart policies are needed to de-risk energy investments and unlock this vital source of financing. Empowering regulators – with both the autonomy and technical capacity to enforce standards – is essential to ensure consistency, transparency, and investor confidence.”
Kragha further called for the elimination of internal trade barriers within Africa, enabling the free flow of fuel, capital, and technical expertise across borders, thereby driving regional integration.
According to him, financial innovations such as carbon credits, blended finance, and guarantee mechanisms offer valuable tools to scale investment and reduce project risk.
He advised African countries to reduce unnecessary delays and streamline project approvals, so as to accelerate the timelines for project implementation, adding that infrastructure bottlenecks that make local refining and distribution uncompetitive must be addressed to enable a more efficient and scalable downstream sector.
“Strategic fuel stocks must be part of the equation. Many African countries hold only a few days’ worth of fuel reserves – a vulnerability in the face of global supply disruptions. Yet creating national or regional stockholding frameworks is both practical and affordable.
“Minimum stock obligations, backed by reporting systems and modest levies, could significantly improve resilience without burdening consumers. Many countries already have sufficient depot capacity to increase stock levels – what’s needed is policy coordination and political commitment,” the ARDA boss noted.
Kragha disclosed that none of these initiatives will succeed without strong political will and a unified voice from African leadership, adding that energy sovereignty must become a continental priority, not just for growth, but for long-term resilience and prosperity.
He said: “With the right leadership, Africa can transform today’s dependency into tomorrow’s strength. Building modern, resilient refining systems won’t happen overnight, but coordinated action and bold investment can, over the next decade, deliver the energy security needed to power inclusive, sustainable growth across the continent.
“Fuel by fuel. Refinery by refinery. Africa must power its own future – not in reaction to crisis, but in pursuit of opportunity.”
