This paper examines the link between availability of energy and improvement of living condition and poverty reduction in sub-Saharan Africa. It argued that modern sources of energy are required for the improvement of living standards; may be by helping to create jobs and by boosting productivity. For energy exporters, particularly oil producers, they provide revenues that may bring about sustainable poverty reduction. And the supply of energy improve living conditions by providing better lighting of homes, cleaner fuels for cooking and heating. The study found that, essential aspects of human welfare (leading long and productive life, enjoy good health, have access to knowledge and education opportunities, have the potential to earn sufficient income to supply themselves with ample nutrition, shelter and other material and aesthetic needs) may improve only if modern energy becomes available for all; yet there are nearly 2 billion people still without electricity in developing countries. The study also found that, energy can have major favorable effects in remote rural areas and renewable energy technologies offer a key prospect in areas where the grid cannot reach. Reliance of the poor on their natural surroundings indicates that any step towards poverty alleviation should incorporate environmental and economic sustainability as a priority for sustainable livelihoods. This paper is a contribution in a process towards the use of energy to be one of the instruments to reduce poverty in developing countries especially in Africa.

Key words:  Energy, poverty reduction, human development, standard of living.