The African Development Bank (AfDB) says Africa could become a gold mine for renewable energy, as both investors and leaders seek a new clean energy frontier.

The continent has substantial new and renewable energy resources, most of which are under-exploited.

According to the bank, only 7% of Africa’s enormous hydro potential has been harnessed, while geothermal energy potential stands at 9000 megawatts (MW), with only about 60MW exploited in Kenya and Tanzania.

Estimates further indicate that a significant proportion of current electricity generation in 16 eastern and southern African countries could be met by bagasse-based cogeneration in the sugar industry.

The development of the industry has however been made difficult by lack of financial resources and poor infrastructure.

Sub-Saharan Africa has potential to provide more than 170 gigawatts (GW) of additional power-generation capacity - more than double the sub-region's current installations through 3,200 "low-carbon" energy projects, such as combined heat-and-power, biofuels production, mass transportation, and energy efficiency.