The African Petroleum Producers Organization (APPO) is advancing plans to establish regional energy hubs across the continent in a bid to remove trade barriers, strengthen infrastructure connectivity, and unlock large-scale investment into Africa’s energy sector.
Speaking at Invest in African Energy (IAE) 2026 in Paris, APPO Secretary General Farid Ghezali said the initiative represents a structural shift away from fragmented national markets toward an integrated regional energy system serving a population of more than 1.4 billion people.
“For investors, this changes everything,” Ghezali said. “You are no longer investing in isolated national markets, but in an integrated regional market with scale, demand growth and long-term potential.”
He noted that the strategy responds to global energy market volatility and rising geopolitical uncertainty, which have placed a premium on energy security and supply resilience. According to him, Africa is well positioned to offer diversification and stability, provided it strengthens internal coordination and cross-border infrastructure.
Ghezali highlighted Africa’s significant untapped gas potential, estimating more than 600 trillion cubic feet of proven reserves, but warned that resource abundance alone is insufficient without infrastructure to bring it to market. He pointed to the need for pipelines, LNG facilities, processing plants and distribution systems to connect production with demand.
“Resources in the ground are not enough,” he said. “We need real assets that connect supply to demand.”
He also called for a shift away from short-term energy transactions with external partners, particularly Europe, in favour of long-term partnerships that support large-scale investment and stability for both producers and buyers.
To address financing challenges, APPO has supported the establishment of the African Energy Bank, aimed at mobilising capital for strategic projects. Ghezali added that investors are increasingly favouring integrated projects that combine upstream development with power generation or LPG production, particularly gas-to-power initiatives that balance returns with development impact.
He further stressed the urgency of boosting intra-African energy trade, noting that while the continent produces oil and gas, it continues to import refined products. “Regional integration is the only path to a competitive and self-sufficient energy market,” he said.
Source:Energy Capital & Power