South Africa is in the early stage of this transition and the next five years are critical to demonstrate intention, ensure stability and gather international and local support in a rapidly transitioning energy environment.
To alleviate the burden that a struggling Eskom places on the country’s economic growth, South Africa needs consistent regulatory frameworks that support and enable a fair, open and efficient energy market. Eskom’s inefficiencies are increased by the current lack of alternative cheaper energy sources that can supply power to the national grid in a relatively shorter time. Renewable energy technologies can offer rapid energy solutions due to shorter lead times.
“Therefore, I fully support the City’s court application to buy renewable energy from Independent Power Producers. This is vital for improving the energy security of our city and I hope that the result will be positive for the residents and businesses of Cape Town. The green economy which employs thousands, has the potential for further growth and can provide a sustainable solution to the electricity generation problems,” says Mayoral Committee Member For Economic Opportunities and Asset Management, Alderman James Vos.
“My department continues to work with other spheres of government and partners such as GreenCape to find sustainable green economy solutions. Since being established in 2010, GreenCape has helped to facilitate and support R17 billion of investment in renewable energy projects and manufacturing. From these investments, 10,000 local jobs were created.”
“I visited several businesses to gain some insights on the real impact of the recent rolling blackouts on their operations. It is estimated that load-shedding could cost the country’s economy up to R4 billion in just one day. The impact on our local tourism economy cannot be understated, especially when the tourism sector is responsible for thousands of jobs in Cape Town,” concludes Alderman James Vos.
Energy efficiency presents a significant opportunity for investors and businesses. The estimated annual total available market currently stands at R3 billion, and is expected to reach R21 billion by 2035.