Energy Glossary

Key Terms for Africa's Energy Sector

A

Access to Energy: The ability of households, businesses, and communities to obtain reliable and affordable electricity or fuel.
Affiliate Power Producer (APP): A private or independent company licensed to generate electricity, often selling to a national grid.
Africa Energy Transition: The shift from fossil fuel–based systems (oil, gas, coal) to renewable and sustainable energy sources across the continent.
Adaptation: Actions taken to adjust to current or expected climate change effects to moderate harm or exploit beneficial opportunities.

B

Baseload Power: The minimum amount of electricity needed to meet demand at all times.
Battery Storage: Technology that stores energy (often from renewables) for use when demand is high or supply is low.
Bioenergy: Energy derived from organic matter, such as plants, agricultural waste, or animal waste.

C

Carbon Capture and Storage (CCS): Technology that captures carbon dioxide emissions from industries or power plants and stores it underground.
Carbon Credits: Tradable certificates that allow companies to offset emissions by supporting projects that reduce CO2.
COP (Conference of the Parties): The annual global climate summit under the UNFCCC where governments negotiate actions to tackle climate change.
Capacity Factor: The ratio of a power plant’s actual output over a period of time compared to its maximum possible output.
Clean Energy: Energy that comes from renewable or low-emission sources, reducing environmental impact.
Climate Finance: Funding (often international) provided to support climate change mitigation and adaptation projects.

D

Decarbonisation: The process of reducing carbon dioxide emissions from energy production and consumption.
Distributed Generation: Power generation close to where it is used (e.g., rooftop solar), rather than from central plants.
Downstream: The refining, distribution, and marketing part of the oil and gas industry.

E

Electrification: The process of bringing electricity to areas or communities that do not yet have access.
Energy Efficiency: Using less energy to perform the same task, reducing waste and costs.
Energy Mix: The combination of energy sources a country uses (oil, gas, coal, hydro, solar, wind, etc.).
Energy Poverty: The lack of access to affordable and reliable energy for basic needs.
Energy Transition: The global shift from fossil fuels to renewable and sustainable energy.

F

Feed-in Tariff (FiT): A policy that guarantees renewable energy producers a fixed price for electricity supplied to the grid.
Fossil Fuels: Energy sources formed from ancient organic matter: coal, oil, and natural gas.
Fuel Subsidy: Government financial support to keep the cost of fuel lower for consumers.

G

Green Bonds: Bonds issued to raise money for environmentally friendly energy projects.
Geothermal Energy: Heat from beneath the earth’s surface used to generate electricity or heating.
GST (Global Stocktake): A process under the Paris Agreement where countries assess collective progress toward limiting global warming, usually every 5 years. It measures gaps and raises ambition.
Gigawatt (GW): A unit of power equal to one billion watts; used to measure large-scale electricity capacity.
Grid Parity: When renewable energy becomes as cheap or cheaper than power from conventional sources.

H

Hydropower: Electricity generated by flowing water, often through dams.
Hybrid Energy Systems: Energy systems that combine different sources, e.g., solar + diesel generators.

I

Independent Power Producer (IPP): Private companies that generate electricity for sale to utilities or directly to consumers.
Interconnection: Linking one country’s power grid with another for cross-border electricity trade.
International Energy Agency (IEA): A global organisation that provides data, analysis, and policy advice on energy.

J

Just Energy Transition: A fair shift to renewable energy that ensures workers and communities dependent on fossil fuels are not left behind.

L

Levelised Cost of Energy (LCOE): A measure of the average cost of producing electricity over a plant’s lifetime.
Liquefied Natural Gas (LNG): Natural gas cooled to liquid form for easier storage and transport.
Load Shedding: Planned power cuts by utilities to prevent total grid collapse when demand exceeds supply.
Loss and Damage: The destructive impacts of climate change that cannot be or have not been avoided by what is known as ‘mitigation’ (reducing greenhouse gas emissions) or ‘adaptation’ (adjusting to and building resilience against current and future climate change impacts).

M

MegaWatt (MW): A unit of power equal to one million watts.
Mini-grid: A small, localised electricity network that operates independently or connects to the national grid.
Mitigation: Actions taken to reduce greenhouse gas emissions and climate change impacts.
Midstream: The part of the oil and gas industry involving storage, transportation, and wholesale marketing of crude or refined products.

N

Net Zero: Balancing greenhouse gas emissions with removals or offsets, often by 2050.
National Grid: A country’s main electricity transmission network.
Net Metering: A system allowing consumers who generate their own electricity (e.g., solar) to feed surplus into the grid and get credited.
NDC (Nationally Determined Contribution): A country’s climate pledge under the Paris Agreement.
Nuclear Energy: Power generated through controlled nuclear reactions, often used for baseload electricity.

O

Off-grid: Communities or households not connected to the main electricity grid.
Oil Reserves: Estimated quantities of crude oil that are economically recoverable.
OPEC: Organisation of Petroleum Exporting Countries; influences global oil production and prices.

P

Paris Agreement: International climate treaty aimed at limiting global warming to below 2°C.
Peak Demand: The highest electricity consumption level in a given period.
Photovoltaic (PV): Technology that converts sunlight directly into electricity.
Power Purchase Agreement (PPA): A contract between an electricity generator and a buyer outlining terms of electricity supply.

R

Refining: The process of converting crude oil into usable products like petrol and diesel.
Renewable Energy: Energy from natural sources that are replenished, such as sun, wind, and water.
Resilience: The ability of energy systems to withstand shocks, like extreme weather or conflict.

S

Smart Grid: An advanced electricity network using digital technology for efficiency and reliability.
Solar PV: Solar technology that generates electricity from sunlight.
Sub-Saharan Africa Electrification Rate: The percentage of the population with access to electricity in Sub-Saharan Africa.
Sustainability: Meeting present energy needs without compromising the future.

T

Transmission: The movement of electricity from power plants to substations before distribution.
Transition Fuel: Energy source (like natural gas) used as a bridge between fossil fuels and renewables.
Turbine: A machine that converts wind, water, or steam into mechanical energy to generate power.

U

Upstream: Exploration and production activities in the oil and gas industry.
Utility-scale Solar: Large solar farms connected to the grid to supply electricity at scale.
UNFCCC (United Nations Framework Convention on Climate Change): The international treaty established in 1992 to address climate change, providing the framework for agreements like the Kyoto Protocol and Paris Agreement.

V

Voltage: The pressure that drives electric current through a circuit.

W

Wind Farm: A group of wind turbines generating electricity.

Energy Glossary

Key Terms for Africa's Energy Sector

A

Access to Energy: The ability of households, businesses, and communities to obtain reliable and affordable electricity or fuel.
Affiliate Power Producer (APP): A private or independent company licensed to generate electricity, often selling to a national grid.
Africa Energy Transition: The shift from fossil fuel–based systems (oil, gas, coal) to renewable and sustainable energy sources across the continent.
Adaptation: Actions taken to adjust to current or expected climate change effects to moderate harm or exploit beneficial opportunities.

B

Baseload Power: The minimum amount of electricity needed to meet demand at all times.
Battery Storage: Technology that stores energy (often from renewables) for use when demand is high or supply is low.
Bioenergy: Energy derived from organic matter, such as plants, agricultural waste, or animal waste.

C

Carbon Capture and Storage (CCS): Technology that captures carbon dioxide emissions from industries or power plants and stores it underground.
Carbon Credits: Tradable certificates that allow companies to offset emissions by supporting projects that reduce CO2.
COP (Conference of the Parties): The annual global climate summit under the UNFCCC where governments negotiate actions to tackle climate change.
Capacity Factor: The ratio of a power plant’s actual output over a period of time compared to its maximum possible output.
Clean Energy: Energy that comes from renewable or low-emission sources, reducing environmental impact.
Climate Finance: Funding (often international) provided to support climate change mitigation and adaptation projects.

D

Decarbonisation: The process of reducing carbon dioxide emissions from energy production and consumption.
Distributed Generation: Power generation close to where it is used (e.g., rooftop solar), rather than from central plants.
Downstream: The refining, distribution, and marketing part of the oil and gas industry.

E

Electrification: The process of bringing electricity to areas or communities that do not yet have access.
Energy Efficiency: Using less energy to perform the same task, reducing waste and costs.
Energy Mix: The combination of energy sources a country uses (oil, gas, coal, hydro, solar, wind, etc.).
Energy Poverty: The lack of access to affordable and reliable energy for basic needs.
Energy Transition: The global shift from fossil fuels to renewable and sustainable energy.

F

Feed-in Tariff (FiT): A policy that guarantees renewable energy producers a fixed price for electricity supplied to the grid.
Fossil Fuels: Energy sources formed from ancient organic matter: coal, oil, and natural gas.
Fuel Subsidy: Government financial support to keep the cost of fuel lower for consumers.

G

Green Bonds: Bonds issued to raise money for environmentally friendly energy projects.
Geothermal Energy: Heat from beneath the earth’s surface used to generate electricity or heating.
GST (Global Stocktake): A process under the Paris Agreement where countries assess collective progress toward limiting global warming, usually every 5 years. It measures gaps and raises ambition.
Gigawatt (GW): A unit of power equal to one billion watts; used to measure large-scale electricity capacity.
Grid Parity: When renewable energy becomes as cheap or cheaper than power from conventional sources.

H

Hydropower: Electricity generated by flowing water, often through dams.
Hybrid Energy Systems: Energy systems that combine different sources, e.g., solar + diesel generators.

I

Independent Power Producer (IPP): Private companies that generate electricity for sale to utilities or directly to consumers.
Interconnection: Linking one country’s power grid with another for cross-border electricity trade.
International Energy Agency (IEA): A global organisation that provides data, analysis, and policy advice on energy.

J

Just Energy Transition: A fair shift to renewable energy that ensures workers and communities dependent on fossil fuels are not left behind.

L

Levelised Cost of Energy (LCOE): A measure of the average cost of producing electricity over a plant’s lifetime.
Liquefied Natural Gas (LNG): Natural gas cooled to liquid form for easier storage and transport.
Load Shedding: Planned power cuts by utilities to prevent total grid collapse when demand exceeds supply.
Loss and Damage: The destructive impacts of climate change that cannot be or have not been avoided by what is known as ‘mitigation’ (reducing greenhouse gas emissions) or ‘adaptation’ (adjusting to and building resilience against current and future climate change impacts).

M

MegaWatt (MW): A unit of power equal to one million watts.
Mini-grid: A small, localised electricity network that operates independently or connects to the national grid.
Mitigation: Actions taken to reduce greenhouse gas emissions and climate change impacts.
Midstream: The part of the oil and gas industry involving storage, transportation, and wholesale marketing of crude or refined products.

N

Net Zero: Balancing greenhouse gas emissions with removals or offsets, often by 2050.
National Grid: A country’s main electricity transmission network.
Net Metering: A system allowing consumers who generate their own electricity (e.g., solar) to feed surplus into the grid and get credited.
NDC (Nationally Determined Contribution): A country’s climate pledge under the Paris Agreement.
Nuclear Energy: Power generated through controlled nuclear reactions, often used for baseload electricity.

O

Off-grid: Communities or households not connected to the main electricity grid.
Oil Reserves: Estimated quantities of crude oil that are economically recoverable.
OPEC: Organisation of Petroleum Exporting Countries; influences global oil production and prices.

P

Paris Agreement: International climate treaty aimed at limiting global warming to below 2°C.
Peak Demand: The highest electricity consumption level in a given period.
Photovoltaic (PV): Technology that converts sunlight directly into electricity.
Power Purchase Agreement (PPA): A contract between an electricity generator and a buyer outlining terms of electricity supply.

R

Refining: The process of converting crude oil into usable products like petrol and diesel.
Renewable Energy: Energy from natural sources that are replenished, such as sun, wind, and water.
Resilience: The ability of energy systems to withstand shocks, like extreme weather or conflict.

S

Smart Grid: An advanced electricity network using digital technology for efficiency and reliability.
Solar PV: Solar technology that generates electricity from sunlight.
Sub-Saharan Africa Electrification Rate: The percentage of the population with access to electricity in Sub-Saharan Africa.
Sustainability: Meeting present energy needs without compromising the future.

T

Transmission: The movement of electricity from power plants to substations before distribution.
Transition Fuel: Energy source (like natural gas) used as a bridge between fossil fuels and renewables.
Turbine: A machine that converts wind, water, or steam into mechanical energy to generate power.

U

Upstream: Exploration and production activities in the oil and gas industry.
Utility-scale Solar: Large solar farms connected to the grid to supply electricity at scale.
UNFCCC (United Nations Framework Convention on Climate Change): The international treaty established in 1992 to address climate change, providing the framework for agreements like the Kyoto Protocol and Paris Agreement.

V

Voltage: The pressure that drives electric current through a circuit.

W

Wind Farm: A group of wind turbines generating electricity.