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Figure 1. Access to Energy, the Keystone of Economic, Social and Political Development Access to a high-quality energy supply makes it possible to improve living conditions substantially, in that it facilitates the fight against hunger and malnutrition through the preservation of food by refrigeration, through higher productivity in the food chain and the development of modern agricultural production modes. It constitutes an essential feature of sanitary improvement via improved food hygiene and more advanced medical equipment. Energy contributes to improving people’s lives - Fighting hunger - Promoting education - Improving sanitary conditions - Gender equality Raisingpeople’s Bettertargeting Improving people’s participation in governance Energy contributes to the efficiency of public intervention - Improvement of information exchange - Improvement of the socio- economic environment and regional stability - Reinforcement of democracy - Rationalisation of public expenditure No. 14 Improving the quality and quantity of human capital Energy contributes to the development of economic activity - Improvement of the productive environment (transport, communications) - Improvement of factor productivity - Extension of working hours - Diversification of the economy - Increased employment standards of living of policies Improvement of the business environment Formalisation of the economy Modern energy sources are less dangerous, moreover, and their use limits the need to gather wood and seek water from distant sources – tasks which are often physically trying and time-consuming for the populations concerned. Finally, the availability of modern energy sources opens the way to general schooling by freeing time for children to go to school and by facilitating the development of classes and home study in the evening. Improved living conditions have in their turn a direct impact on the development of economic activity through the quantitative — longer life expectancy and better health — and qualitative — better training — upgrading of the labour force. Better energy supply also opens the way to longer working hours and, where electricity is concerned, to a reduction in periods of forced inactivity resulting from power cuts. The use of reliable energy sources makes possible a better use of the other components of production, notably machines, and is an absolute condition for the adoption of new technologies capable of promoting diversification. Finally, the business environment benefits directly from the improvements registered in such key sectors as transport and communication, which are heavily dependent on energy supply. Better energy supply also enables the state to offer education, health and communication services at lower cost and in greater quantity. It also encourages the circulation of information, an essential factor in political decision making. It makes it possible in this way to target populations in need and make an enlightened choice of the policy best suited to the local and national context. Conversely, the circulation of information and improved living conditions promote the development of greater participation on the part of the population in national choices, opening the way to a greater democratisation of the institutions. In this way, the authorities are pushed towards greater transparency and responsibility in their decision making. Source: African Development Bank and OECD Development Centre African Economic Outlook (2003/2004). Figure 12 in Overview. www.oecd.org/dev/insights Policy Insights, No. 8, May 2005 4 Policy Insights #8, ©OECD 2005PDF Image | Energy and Poverty in Africa
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