The solar industry has become a significant economic driver by creating jobs and spearheading skills development initiatives. (Photo by GREG BAKER / AFP)
As 2024 draws to a close, the South African Photovoltaic Industry Association (SAPVIA) reflects on a year of growth in the solar industry. Marked by gradual growth, notable achievements, and key lessons, the year has set the stage for a brighter, greener future.
Growth milestones
By October this year, South Africa added 961 MW of private-sector solar PV capacity, a testament to the sector's resilience despite challenges.
The country’s total solar PV capacity surged to 8.97 GW, an 11.9% increase compared to 2023.
This includes 2.8 GW from public procurement programs like the Renewable Energy Independent Power Producer Procurement Programme (REIPPPP) and 6.1 GW from private-sector contributions.
“With almost 500 MW of utility-scale projects under construction and 375 MW scheduled to come online in 2025, the future of solar in South Africa looks incredibly promising,” said Dr Rethabile Melamu, the CEO of SAPVIA.
SAPVIA’s efforts in policy advocacy, such as its contributions to the Integrated Resource Plan (IRP) draft 2023 and ongoing engagements, have played a pivotal role in this growth. Initiatives like the South African Wholesale Electricity Market (SAWEM) advocacy have further paved the way for increased solar PV deployment.
Economic impact and community contributions
The solar industry has become a significant economic driver by creating jobs and spearheading skills development initiatives.
A standout example is SAPVIA’s partnership with the National Business Initiative (NBI) and Absa, which trained 100 installation companies to meet growing demand.
“Members like SOLA have made significant strides in advancing private-sector renewable energy projects,” Melamu said.
Overcoming challenges
While the industry celebrated successes, 2024 was not without obstacles.
“Regulatory delays, grid connection backlogs, and limited financing options for SMEs posed significant hurdles,” says Melamu.
SAPVIA responded by advocating for streamlined processes with the Department of Mineral Resources and Energy (DMRE) and the National Energy Regulator of South Africa (NERSA).
“We also launched a financing access initiative to connect SMEs with funding opportunities and foster partnerships with larger companies to share resources and expertise.”
How do we shape the future
“Looking ahead, SAPVIA predicts significant developments in the energy storage sector, with growing interest in solar-plus-storage systems to address intermittency issues,” Melamu says.
“Additionally, microgrids will become increasingly popular, particularly in rural and remote areas where grid access remains limited. The adoption of rooftop solar for residential and commercial buildings will continue to grow as electricity prices rise and consumers seek ways to reduce dependence on the grid.
SAPVIA is collaborating with stakeholders to develop a comprehensive grid upgrade plan that includes smart grids and energy storage integration to support renewable energy expansion.”
The role of solar in energy independence
This year, solar energy contributed significantly to South Africa’s 300 days of uninterrupted electricity, reducing reliance on fossil fuels and cutting carbon emissions.
“Solar PV systems supplied 5.2 TWh of energy, displacing approximately 4,260 tons of CO2. As we look ahead, solar energy will not only shape South Africa’s energy future but also position the country as a global leader in renewable energy innovation,” Melamu concluded.
Solar energy is not just about powering homes and businesses, it's about shaping a sustainable future for all South Africans.
SAPVIA remains committed to driving this vision every South African has access to affordable, reliable, and clean energy.
BUSINESS REPORT