Antinuclear

Successes, Challenges, and Opportunities in the Renewable Energy Sector in South Africa by: Kimberly van Niekerk, Energy Liaison, Afribiz Group, Inc. on June 29, 2014. The US Trade and Development Agency (USTDA) hosted a major clean energy discussion focused on the sector in South Africa at the US Consulate in Johannesburg on Friday, June 6, 2014.

“……….Yousuf Haffejee, Head of Single-Buyer Office at ESKOM, set the context for the state of clean energy in South Africa. He explained that much has happened in the last two years of which South Africa can be very proud. A total of forty-seven power purchase agreements (PPPs) have been signed with independent power producers (IPPs) as part of the Renewable Energy Independent Power Producer Programme (REIPPP), totaling 3,900MW. Interestingly, this accounts for roughly 10% of the South African grid, which up to now has been dominated, to the tune of a whopping 96%, by coal. Of this, 605MW has been connected to the grid, with solar power accounting for two-thirds in just this short time period.

Ironically, Haffejee said that South Africa is now a victim of its own success, in that the biggest worry is increasingly whether it can keep up with the growth of renewable energy. He explained that the grid is accustomed to power projects taking 8-10 years to come on to the grid. By contrast, renewable energy projects can be ready in just two years. The market is also a contributing factor as renewable energy players have taken advantage of steadily declining solar prices amid increasing prices for coal. If one factors in the carbon tax – soon to be implemented in South Africa, one can argue that certain renewables are more competitive than coal…….http://www.afribiz.info/content/2014/successes-challenges-and-oppor1