Energy and minerals disputes overshadow new EU-ACP pact

Despite EU Commission president Ursula von der Leyen referring to Africa as Europe’s “sister continent,” EU officials are increasingly worried about the bloc’s diminishing economic influence in much of Africa due to the growing presence of China and other actors.

At the same time, Russia and its mercenary group, formerly known as Wagner, have gained influence at the expense of France and the EU in the Sahel and parts of West Africa.

Recognizing this shift, Urpilainen acknowledged that “we understand that we are not the only ones making offers.”

These concerns were highlighted during discussions at the joint parliamentary assembly of the EU and African, Caribbean and Pacific community (EU-ACP JPA) in Luanda, Angola.

The EU-ACP JPA meetings marked the first gathering since the signing of the Samoa Agreement last November, which outlines political and economic relations between the EU’s 27 nations and 79 African, Caribbean and Pacific countries for the next two decades.

However, more than 30 ACP countries, including 20 African states, have declined to sign the agreement, arguing that it maintains trade relations between the EU and the three blocs unchanged.

Instead, trade is governed by Economic Partnership Agreements (EPAs) between the EU and regional blocs.

Uganda’s Thomas Tayebwa questioned the consistency of these agreements with regional agreements, stating, “We are drowning in agreements and treaties.”

AU mega-mandate failure

Prior to the start of negotiations on the new treaty in 2020, African states were divided over abandoning the ACP process in favor of giving the African Union a mandate to negotiate a continent-to-continent trade pact with Brussels.

However, this plan was abandoned in favor of maintaining the status quo after opposition from Nigeria, South Africa, and Kenya, among others.

Insiders suggest that the decision to reverse course was driven by concerns that the AU could become too powerful.

The treaty faced delays due to opposition from Poland and Hungary, who criticized its lack of new provisions on migration control and migrant returns.

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The von der Leyen commission has highlighted its Global Gateway investment program, inspired by China’s Belt and Road initiative, as a key aspect of its offering to Africa.

Urpilainen pledged that the program would support projects to provide electricity access to 100 million people in Africa by 2030 and noted that countries not part of the Samoa Agreement cannot engage in new financial contracts with the European Investment Bank under the Global Gateway program.

She also cited a cooperation deal between Brussels and Namibia on green hydrogen and critical raw materials as a successful model for collaboration.

“Our goal is not to exploit and export critical raw materials but to create value at the national and local levels,” Urpilainen affirmed.

Zambian lawmaker Sibeso Sefulo expressed interest in a balanced partnership with the EU on critical raw materials.

Some attendees raised concerns that the EU’s focus on achieving net-zero carbon emissions and phasing out fossil fuels could negatively impact African economies, despite their minimal contribution to global emissions.

“Even if we exploit our fossil fuels, Africa’s emissions will not exceed four percent of global greenhouse gas emissions. This does not mean we should not make more efforts to reduce emissions. We must do more, but the developed world needs to do much more,” remarked Thomas Tayebwa, deputy speaker of Uganda’s parliament, during the debate.

Next week, at a World Trade Organization ministerial meeting in Abu Dhabi, India and South Africa are expected to formally object to the EU’s Carbon Border Adjustment Mechanism, arguing that it will harm their economies and violate WTO rules.