Despite consensus among South African businesses, including integrated energy and chemical company Sasol, on the necessity of achieving net-zero emissions by 2050, the debate regarding the pace of this transition continues. Speaking at the 2024 Coal and Energy Transition Day, held in July at The Country Club Johannesburg, Sasol sustainability VP Shamini Harrington noted that, given Sasol’s sizable economic impact and similarly significant emissions footprint in South Africa, there was an urgency for Sasol to move towards lowering its carbon emissions.
Electricity and Energy Minister Dr Kgosientsho Ramokgopa is confident that government will be able to positively intervene on Eskom’s tariff-hike application for the 2025/26 financial year at the National Energy Regulator of South Africa (Nersa). If granted as it currently stands, electricity costs for direct Eskom customers would increase by 36.15% on April 1 next year, and by 43.55% at municipal level from July 1.
South Africa has some of the best resources for wind and solar energy in the world. However, the country battles with grid constraints in areas with higher wind speeds, and little renewable-energy deployment in areas with available grid. The Danish-South African energy cooperation addresses these challenges, write Elsebeth Søndergaard Krone, Ambassador of Denmark to South Africa, and Stine Leth Rasmussen, Deputy Director-General of the Danish Energy Agency
That South Africa, in general, and the renewable-energy sector in particular, need skills development, is a truism. But the requirements of the renewable-energy industry and the output of skills development institutions and programmes are significantly out of alignment. But not in the way you might think. The country is currently producing too many skilled renewable-energy workers, compared with the industry’s actual needs. This was made clear during a panel discussion at the Windaba 2024 conference, at the Cape Town International Convention Centre.
Wind and solar energy company Mainstream Renewable Power has reached financial close on its 50 MW Ilikwa solar PV plant. Construction of the plant, located in the Free State, has already started and it is expected to reach commercial operation in early 2026.
A new International Energy Agency (IEA) report shows that the number of low-emission hydrogen projects to have advanced to a final investment decision (FID) stage doubled over the last 12 months, representing yearly production of 3.4-million tonnes. These FIDs are split between green-hydrogen electrolysis projects, with a combined yearly capacity of 1.9-million tonnes, and fossil-fuel hydrogen with carbon capture, utilisation and storage, with a combined capacity of 1.5-million tonnes.
Consulting and involving the communities living at and around renewable energy projects was essential, agreed the participants in a panel discussion on the first day of the Windaba 2024 conference, at the Cape Town International Convention Centre. But it was not necessarily easy. Community participation in these projects was a key component of social justice, emphasised Presidential Climate Commission project manager Lindiwe Johnson. Procedural justice and inclusion were key principles in South Africa. Such democratic approaches empowered individuals. Engaging communities increased the transparency of projects, because community members received explanations of budgeting processes and priorities. This, in turn, helped create accountability for decision-makers. It also started the process of communities buying-in to the projects.
A second phase of the partnership launched between government and business to tackle South Africa’s electricity, logistics and crime crises has been launched under the Government of National Unity (GNU), with an immediate goal of raising growth to over 3% from 2025. Speaking at the launch in Johannesburg, President Cyril Ramaphosa described growth as the “glue” that held the GNU parties together, while urging business to work with government to take advantage of the “window of opportunity” opened by the May 29 election results to aim for even higher levels of growth in future.
The electricity subcommittee of the National Energy Regulator of South Africa (Nersa) has recommended the approval of four more electricity trading licences, dismissing the objections raised by Eskom’s distribution division during hearings in July. The recommendation that GreenCo Power Services, Discovery Green, Green Electron Market and CBI Electric Apollo receive national trading licences will now be taken to the Energy Regulator, Nersa’s highest decision-making body, for approval.
Gold miner Caledonia Mining Corporation has entered into a conditional agreement to sell the entire issued share capital of its Zimbabwe subsidiary Caledonia Mining Services (CMS), which owns and operates the 12.2 MW solar plant that supplies power to its Blanket mine, to CrossBoundary Energy (CBE) for $22.35-million in cash. The electricity generated by the solar plant will continue to be sold to the Blanket mine under an exclusive power purchase agreement.
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