Tag: renewable energy

South Africa's renewable energy tax incentives have unlocked significant private investment in the commercial solar sector. One fund manager deployed over R1 billion in less than two years. This milestone demonstrates the tangible impact of targeted fiscal policy.

South Africa is transitioning from fossil fuels toward renewable energy. The government aims to add at least 19 GW of renewable capacity by 2030. By 2050, the country targets as much as 190 GW. These targets are critical for climate resilience and energy security. Yet, the social design of this transition is dangerously overlooked.

South Africa’s revamped carbon tax policy, coming into effect in 2026, signals a decisive shift in the country’s climate and energy landscape. With stricter emissions thresholds and an expanded scope for carbon offsets, the carbon tax overhaul is set to drive major investment in renewable energy. It will also reshape how businesses source electricity. This policy evolution opens new doors, even though some hurdles remain.

In an era of unprecedented environmental and operational challenges, South Africa's office parks stand at a critical juncture. Energy insecurity, water scarcity and ageing municipal infrastructure are no longer distant concerns but immediate challenges that demand innovative solutions.

Figures released in the latest C-suite Barometer study, paint a positive picture for private equity and alternative investments, with 26% of global executives planning to use these channels to raise funds in the year ahead.

Modernising Africa’s power grid to manage bi-directional flows is essential for enabling renewable-powered economic growth, following the crippling effects of prolonged periods of load shedding. Even though South Africa has experienced a protracted spell without load shedding, electricity outages persist due to network overloading.

As businesses across South Africa explore alternative energy solutions, electricity wheeling has emerged as a promising option. It offers new opportunities but also presents challenges in selecting the right independent power producer (IPP). One of the main reasons for the growing interest in wheeling – which allows IPPs to generate power and sell it directly to businesses – is that it eliminates the need for on-site solar installations.

The 2025 Budget Speech outlines significant opportunities for South Africa’s private renewable energy sector. These opportunities include streamlined public-private partnership (PPP) regulations, expanded infrastructure investment and greater clarity around grid upgrades. However, it also raises important concerns for private developers and investors.

As South Africa moves into 2025, key sectors, including energy, finance, technology, and manufacturing are experiencing significant shifts. These sectors will continue to evolve in response to economic, social, and global trends. International events, innovation and the drive for sustainability will drive developments across industries.

Although many manufacturing and industrial companies set objectives to reduce fossil fuel use, no silver bullets exist in the green fuel space. Supply and logistics constraints, high costs and technological limitations present challenges. Manufacturing companies can implement the green energy transition by investigating more sustainable and lower-carbon fuel alternatives.