Quo vadis, Afrika? – Interview with EWIAs Project Manager Thomas Laumont

Thomas Laumont is a partner and freelance project manager at EWIA. He has been advising project developers and investors in the renewable energy market for 15 years. Worldwide and with conviction. We spoke to him about the trends he sees, “red” and “blue oceans,” African markets, and what investors are looking for.

EWIA: Thomas, what trends are you seeing in the solar business right now?

Thomas: Although all countries talk about reducing bureaucracy, simplifying and speeding up approval processes, the opposite is true. However, many market participants focused on their own advantage are turning the markets into a “red ocean,” i.e., a “bloody” market with fierce competition and many casualties. Nevertheless, the boom cannot be stopped, and large-scale investment continues worldwide, increasingly in niche or selected markets.

EWIA: How do you perceive developments in the African PV market compared to the dynamics in other regions?

Thomas: Due to rapid economic development and growing environmental awareness in African countries, as well as the obvious advantages of solar power, we are seeing enormous demand for solar power. The bottleneck is investor financing, even though African companies would be willing to pay electricity prices that would enable attractive returns for investors. African markets are actually a “blue ocean” with win-win situations for all involved.

EWIA: We are a Munich-based company, but our value creation takes place in several African markets. Do you see this kind of structure often?

Thomas: I often see companies with a healthy base in Germany expanding into selected markets around the world. EWIA's focus on solar energy in (West) Africa is unique.

EWIA: You often talk to investors. What questions do they have about Africa and solar energy?

Thomas: When it comes to Africa, I often hear about instability or high uncertainty,

and that Africa is far away. However, EWIA focuses on stable jurisdictions—for example, Ghana is the “Switzerland” of Africa in terms of investment security. And EWIA has subsidiaries in the three selected countries of Ghana, Cameroon, and Nigeria with well-trained and motivated employees, which means it is close to the projects.

EWIA: How transformative do you think solar is for EWIA's customers? How much does access to it change their lives and jobs?

Thomas: The impact – i.e., the immediate effect – is obvious in every single project. Either the solar power generated by EWIA is cheaper than the electricity from the grid. Or: Finally, the diesel generator can be removed. Or: Finally, my supply is uninterrupted. Or, as we recently heard in Cameroon: Finally, we have electricity at all.

EWIA's investments not only benefit EWIA's customers and the environment, but also EWIA itself, as they enable EWIA to achieve a healthy double-digit return, which in turn benefits investors.