President Cyril Ramaphosa has touted South Africa’s “renewable energy revolution” as one that will foster “significant growth and job creation in the next decade and beyond”.
The president yesterday delivered the Opening of Parliament Address at Cape Town City Hall.
“As we undertake a just transition towards renewable energy, SA must create a green manufacturing sector centred on the export of green hydrogen and associated products, electric vehicles and renewable energy components,” said Ramaphosa.
“We have seen, for example, how the Northern Cape has already attracted billions of rands of investment in renewable energy projects. SA is undergoing a renewable energy revolution that is expected to be the most significant driver of growth and job creation in the next decade and beyond.”
Government has also worked hard to open the door to renewable energy independent power producers to take up projects to strengthen the grid and create employment opportunities, he noted.
“We already have a huge pipeline of renewable energy projects, representing over 22 500MW of new generating capacity, estimated to be worth around R400 billion in new private investment. Investments such as these will create many jobs.
“Just this week, we saw the largest-ever private energy project connect to the grid near Lichtenburg in the North West, with over 390 000 solar panels that will add 256MW to the grid. We will see more of these projects taking shape across our country in the months and years to come. As these investments reach fruition, more jobs will be created,” he said.
Cleaner power
On Tuesday, SA’s largest wheeling project was officially commissioned in Lichtenburg in the North West province.
The project – in which the Sola Group will provide Tronox Mineral Sands with more than 200MW of clean renewable energy – will see more than R200 million spent in the local economy, with hundreds of permanent and part-time job opportunities.
Speaking at the official ceremony, Sola spokesperson Jonathan Skeen told guests the project symbolised a significant milestone for the delivery of energy in SA.
“Today is about celebrating the milestone reached when a project of this size is officially commissioned. These are the first projects of this size that have been commissioned since the licensing cap was lifted. It also symbolises an example of public-private partnerships working in unison to deliver results that benefit all of SA.”
The two plants were recently completed by Sola outside the town of Lichtenburg, generating 126MWp and 130MWp, respectively. The projects will provide clean energy to Tronox Mineral Sands (in KwaZulu-Natal and the Western Cape) via the Eskom Transmission Network through a wheeling agreement.
Wheeling is the transfer of electrical power via a utility’s transmission or distribution system between different grid or network service areas. When it comes to renewable energy, Sola says wheeling provides an elegant solution to buying cleaner power at a more efficient rate than coal-based power.
It notes wheeling allows a business to buy clean, private power – while still supporting state utility Eskom.
This was one of the first major solar projects to have been built outside of the Northern Cape, an area that has traditionally been considered as the best location for solar projects. The lack of grid capacity has made it necessary to look for other locations.
The projects’ purpose is to fulfil the obligations of a bilateral electricity sales agreement between Sola Group and Tronox Mineral Sands.
“Tronox’s operations are highly energy-intensive and will ensure Tronox’s economic viability and long-term electricity supply affordability, as well as reduce Tronox’s carbon footprint,” says Mpho Motho, SA MD of Tronox.
“Not only is the Sola project a breakthrough for the private energy market, but it has also played a crucial role in improving the livelihoods of the local community. During the construction of the solar plants, over 700 local community members were employed. At Tronox, we pride ourselves on playing a leadership role by improving the quality of life for the communities that host us,” adds Motho.
![President Cyril Ramaphosa. [Photograph by Presidency]](https://lh3.googleusercontent.com/WI6jEeWEGdEHnBwD82Suj9N2XyR8U1LGovcqtLwa6tDj0fd1F8VyEXrFYPO6MFf_ZPnluDDrzWqPTYQCRtHBcoN5mFgJtAJXCGXV)
Job creation potential
Meanwhile, the South African Photovoltaic Industry Association (SAPVIA) says president Ramaphosa’s speech at the opening of Parliament last night rightly acknowledged the great strides that have been made by SA’s renewable energy sector.
“Our own research has shown the enormous potential for job creation that is located in the solar PV space in SA, and we therefore agree wholeheartedly with the president when he refers to the renewable energy revolution that is expected to be the most significant driver of growth and job creation in the next decade and beyond,” says SAPVIA CEO Dr Rethabile Melamu.
However, for this potential to be realised, the industry body says there is an urgent need to invest in the national transmission network to increase connection capacity in high renewable potential areas.
“Just this week, we attended the launch of the largest wheeling project in SA, located just outside Lichtenburg. Sola and Tronox developed the project here in part because the Northern Cape province no longer has any grid capacity available.
“By investing in the grid network, we will better realise the true potential benefit that solar PV and other renewable energy sources can bring to the people of SA,” says Melamu.
There is also a need to properly tap into the potential economic benefit in the manufacturing of all components in the solar value chain, such as DC cables, transformers and combiner boxes, comments Melamu.
“We echo the president’s sentiments on creating a green manufacturing sector and we stand ready to work with his administration in this regard.”
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