South Africa Energy Articles & Analysis

Chapter | Energy from The Report: South Africa 2016

With the most energy-intensive economy on the continent, South Africa has undergone a spate of load shedding in recent years as demand for electricity continues to outstrip supply. While faltering output and poorly maintained infrastructure have had an adverse effect on the country’s economic performance, a range of government initiatives – notably the country’s independent power producer (IPP...

The second-largest economy in Africa after Nigeria, South Africa benefits from some of the most sophisticated financial markets in the world, paired with a robust regulatory system, and is also home to the headquarters of a number of major multinational players in the fields of industry, energy and financial services.

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Already the continent’s largest producer of renewable energy, South Africa is moving to further reduce its reliance on hydrocarbons by expanding private sector investments in solar and wind projects, and introducing biofuels.

Seeking to reduce its dependence on coal-fired power, South Africa is shifting its energy mix toward natural gas and renewables.

 

In April 2015 the minister of energy, Tina Joemat-Pettersson, announced 13 winning bids for the fourth round of the Renewable Energy Independent Power Producer Procurement (REIPPP) programme. The programme was established in 2011 to combat load-shedding, diversify the energy mix, curb emissions and encourage greater private participation in...

 

To what extent can power purchase agreements help improve the overall availability of supply?

 

As South Africa continues to face problems with load-shedding, government and industry stakeholders have turned towards liquefied natural gas (LNG) as a solution to meet demand. The country is also working to generate new capacity from coal-fired and renewable power plants.

 

With the most energy-intensive economy on the continent, South Africa has undergone a spate of load-shedding in recent years as demand continues to outstrip supply. However, while faltering output and under-maintained infrastructure have had an adverse effect on the country’s economic performance, a range of government initiatives, notably the...