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A little more sun, please

Solar power in SA will be a delicate balance between attracting investment and lessening reliance on traditional electricity sources.

Tyson Ngubeni
By Tyson Ngubeni
Johannesburg, 06 Feb 2014

We have the sunlight; we need the energy, so solar power projects are a no-brainer, right?

Not really. It's going to take a lot more than that. But given electricity price hikes creeping deeper into our pockets, we should be looking towards alternative energy sources.

While solar energy is a viable alternative to traditional coal-powered electricity sources, getting the projects going will need more than environmentally conscious intentions, coupled with abundant African sunlight.

The good news is that SA could attract even more investment in solar power projects, if global analysis firm IHS Technology is spot on in its assessment. According to its study, SA placed first in the Emerging Photovoltaic Markets Attractiveness Index - which lists countries with ideal conditions for potential investors.

So, SA's economic and political conditions were effectively given two thumbs up for anyone looking to pour money into long-term solar power projects. Any takers out there?

Something else to consider is that apart from the money spent to install or build solar panels - maintenance costs for such projects are usually low in the years that follow.

Admittedly, it's not as simple as racking up solar panels and expecting the country's energy demands to be met at the flick of a switch. A look at the local context gives insight into the growing impact of renewable energy as more players enter the scene.

Long-term outlook

The SA Photovoltaic Industry Association (SAPVIA) organises most of the country's solar energy producers, and a quick look at its membership base hints at the country's immense potential.

When the association launched in 2011, it had eight members. Contrast that with 130 members now and you get a clear picture of just how much opportunity there might be in this sector.

Dr Chris Haw, SAPVIA spokesperson, spoke to ITWeb recently and says the local solar energy industry is worth between R30 billion to R40 billion in contracts awarded or projects under construction.

That sounds positive, but what does this mean in the long run?

For one, companies or individuals giving solar power a bash will not have an over-reliance on Eskom, as they look to offset the amount of electricity they buy from the parastatal.

A switch to renewable energy is a win-win for all involved. The rolling blackouts of 2008 linger long in the memory - when the power grid buckled under intense demand.

A different power source wouldn't necessarily signal the death knell for Eskom's revenues - it remains one of the biggest investors in solar energy and this boosts its coffers and surely draws approving nods from environmentalists.

The rolling blackouts of 2008 linger long in the memory - when the power grid buckled under intense demand.

Meanwhile, the Department of Human Settlements also spared long-term costs by investing in solar-powered geysers for low-cost housing projects in recent years.

The Department of Energy wants SA to produce 8.4 gigawatts of solar power by 2030 - a significant target which will further boost the country's attractiveness for potential investors.

So just like that, we see a number of government entities shifting their focus to renewable energy - not necessarily through policy, but rather key projects that have collectively driven the country's energy agenda in a clear direction.

Growing the scale

Access to energy is essential to take part in the global economic landscape, and the Alliance for Rural Electrification plays a big role in the many small-scale solar power initiatives across Africa.

It does this by bringing governments, investors and international organisations together to identify needs and implement projects - but it is in its operational model that we see a possible way forward. Crucially, its projects are initiated not as stop-gaps, but with a view to sustained power in the electrical and economic sense.

It's not just about the available land, the local climate and access to infrastructure. It's more about how these are used in combination in pursuit of renewable energy targets.

Infrastructure might usually be touted as the most essential, but we'll need political will, investment and strategic planning to realise the country and continent's immense solar power potential.

SA has an opportunity to embrace the investment opportunities and technological advancement to cement its position at the forefront of emerging countries using solar energy initiatives. Let's grab it.

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