Towards a Secure Future: The Role of Renewables in South Africa’s Energy Path

di Marianna Petrosillo, Lorenzo Vilona / RES4Africa Foundation

SOUTH AFRICA REPRESENTS THE LARGEST ELECTRICITY MARKET OF THE AFRICAN CONTINENT. NEVERTHELESS, SOUTH AFRICAN PRESIDENT PROCLAIMED A STATE OF DISASTER IN LIGHT OF THE COUNTRY’S SEVERE ELECTRICITY CRISIS, WHICH COSTS AN ESTIMATED 51 MILLION US DOLLARS A DAY DUE TO ROLLING BLACKOUTS

South Africa represents the largest electricity market of the African continent, accounting for half of sub-Saharan Africa’s installed energy capacity. Nevertheless, this February, South African President Cyril Ramaphosa proclaimed a state of disaster in light of the country’s severe electricity crisis.
A crisis which costs an estimated 899 million Rand (51 million US dollars) a day due to rolling blackouts - so called load shedding - now averaging at 4 hours a day, with harsh consequences on local business, as well increasing the chance of a recession by 45 per cent according to some estimates.

The state of disaster served to bring in emergency measures, and the streamlining of bureaucratic processes for the installation of renewable energy generation (both at utility- and small-scale). Soon after the declaration of the state of disaster, a new position within the presidency was created, with the specifi c mandate of solving the power crisis at Eskom. Appointed to the role was Mr Kgosientsho Sputla Ramokgopa, who will serve as the Minister in the Presidency Responsible for Electricity.

He has been tasked with creating and managing a plan to fundamentally transform the electricity sector to achieve longterm energy security, through private investments, new capacity from renewables, battery storage, and other strategies. This renewed political will has put wind in the sails of eff orts to overcome the load-shedding crisis in a sustainable manner, strongly based on the adoption of renewables. However, it is clear that a solid and unifi ed eff ort must be made to continue this trend.

RES4Africa has been active in the country with a local presence since 2019, to deliver high-impact customised actions aimed at contributing to the defi nition of a roadmap for the eff ective and just energy transition of the country.
At the core of the South Africa programme of the Foundation is a constant engagement at all levels with the local energy community, but also with non-conventional stakeholders impacted by the consequent socioeconomic dynamics of the transition.

Within this context, RES4Africa Foundation hosted the Energy Security in South Africa Conference, sponsored by its partner Nedbank CIB, on the 13th
of March 2023. The event, attended by 100 high-profile representatives from institutional entities and renewable industry players, comprised a structured debate about key issues of South Africa’s energy landscape and transition, discussing solutions and next steps.

The event allowed us to focus on the most compelling issues of South Africa’s energy security eff orts: enhancing investors’ confidence, investing on
efficient and welcoming regulations and procurement processes, while maximising the connection potential to the national grid infrastructure.[...]

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