African utilities must tackle distribution losses to improve power reliability, says Beacon power CEO

Electricity distribution remains one of the most overlooked challenges in Africa's energy sector, despite accounting for some of the continent's biggest inefficiencies, Beacon Power Services Chief Executive Officer and founder Bim Adisa has said.

Speaking during the Africa Forward Summit in Nairobi, Adisa challenged the prevailing narrative that places most emphasis on electricity generation and, to a lesser extent, transmission, arguing that distribution is where one of Africa's most pressing energy problems lies.

He said an estimated 35 to 40 per cent of electricity generated across the continent is unaccounted for due to technical and commercial losses within distribution networks, a situation that continues to undermine efforts to improve energy access and reliability.

"Most of the conversation about electric energy in Africa is about generation. There is occasional mention of transmission and almost no discussion about distribution. That is even more surprising considering that 35 to 40 per cent of the electricity generated on the continent is unaccounted for," Adisa said.

He noted that while governments and development partners must continue working to connect the nearly 600 million Africans who still lack access to electricity, greater attention should also be directed towards improving the quality and reliability of power supply for those already connected to the grid.

The CEO added that unreliable electricity remains a major challenge for households and businesses, particularly in urban centres that serve as commercial and industrial engines of economic growth.

"Yes, we must focus on ensuring access for the 600 million Africans who do not have access to electricity, but the quality and reliability of supply for the millions who already have access is just as critical a challenge," he said.

Adisa said addressing distribution inefficiencies offers one of the quickest pathways to improving energy outcomes across the continent without necessarily investing in large-scale generation projects.

At the centre of his presentation was the work being undertaken by Beacon Power Services, a company that partners with electricity utilities across Africa to deploy data-driven and software-based solutions aimed at reducing grid losses and improving operational efficiency.

He said the company's technology is helping utilities identify problem areas within their networks, enhance revenue collection and improve power delivery to consumers.

The CEO further revealed that Beacon Power Services' interventions are already contributing to a more reliable electricity supply for more than 40 million consumers across the continent.

"By partnering with electricity utilities across Africa and providing data and software solutions tailored to address the unique challenges they face, we are helping to significantly reduce grid losses, leading to a more reliable electricity supply for over 40 million consumers and counting," Adisa said.

He called on policymakers, investors and industry stakeholders to place greater focus on electricity distribution as Africa seeks to build resilient energy systems capable of supporting industrialisation, economic growth and improved living standards.

Adisa maintained that solving distribution challenges could unlock significant gains in efficiency, reduce waste and ensure that more of the electricity already being generated reaches homes and businesses that depend on it.