{"id":202198,"date":"2025-09-09T10:37:07","date_gmt":"2025-09-09T10:37:07","guid":{"rendered":"https:\/\/www.premium-partners.net\/?p=202198"},"modified":"2025-09-10T09:40:34","modified_gmt":"2025-09-10T09:40:34","slug":"how-solar-energy-is-transforming-south-africas-energy-landscape","status":"publish","type":"post","link":"https:\/\/www.premium-partners.net\/fr\/builder\/how-solar-energy-is-transforming-south-africas-energy-landscape\/","title":{"rendered":"How solar energy is transforming South Africa&#8217;s energy landscape"},"content":{"rendered":"<p>This <a target='_blank' rel=\"nofollow\" href=\"https:\/\/www.iol.co.za\/business-report\/opinion\/how-solar-energy-is-transforming-south-africas-energy-landscape-5c4642e7-6f20-42c1-917e-96aa4a74e1b1\">post<\/a> was originally published on <a target='_blank' rel=\"nofollow\" href=\"https:\/\/www.iol.co.za\/\">this site<\/a><\/p><p><img decoding=\"async\" src=\"https:\/\/image-prod.iol.co.za\/16x9\/800?source=https:\/\/iol-prod.appspot.com\/image\/0025a5877caa4c61e76f3b98f12fb519bf9b04b6\/2000&amp;operation=CROP&amp;offset=0x104&amp;resize=2000x1125\" class=\"type:primaryImage\" \/><\/p>\n<p><span>South Africa\u2019s solar energy sector has seen remarkable growth in recent years. This has <\/span><span>been driven by falling equipment costs, technological advancements, and a shortage of&nbsp;<\/span><span>electricity. Globally, the cost of solar panels and batteries has dropped by as much as 40% to <\/span><span>60% over the past two years, in addition to improvements in panel efficiency and battery&nbsp;<\/span><span>power density. This means users can now install fewer units to achieve the same output.<\/span><\/p>\n<p><span>Combined with a more easily navigated regulatory framework and the risk of loadshedding&nbsp;<\/span><span>returning, solar energy has become an increasingly viable option for households and <\/span><span>businesses across the country.<\/span><\/p>\n<p><span>One of the most significant advantages of solar energy is how quickly it can be deployed.&nbsp;<\/span><span>Residential installations can be completed in a single day, while larger commercial systems&nbsp;<\/span><span>typically take just a few months. Financial institutions have responded by offering tailored&nbsp;<\/span><span>financing solutions, making solar more accessible to homeowners. Initially, uncertainty&nbsp;<\/span><span>around how solar systems worked posed a barrier, but as adoption grows and success <\/span><span>stories are shared, that uncertainty is quickly fading into distant memory.<\/span><\/p>\n<p><strong>What\u2019s driving solar forward?<\/strong><\/p>\n<p><span>In the short term, the most significant opportunities lie in continued residential and&nbsp;<\/span><span>commercial uptake, especially as electricity prices continue to rise by more than 10%&nbsp;<\/span><span>annually. Financing mechanisms such as home loan integration, leasing options, and short-<\/span><span>term payment plans are helping to drive this growth forward.<\/span><\/p>\n<p><span>On the utility scale front, however, opportunities are shaped by external factors like grid <\/span><span>capacity, government infrastructure programmes, and the evolution of energy trading <\/span><span>models. The recent government tender for transmission infrastructure to &nbsp;Independent Power Producers has been a <\/span><span>pivotal step towards unlocking further solar potential and uptake. With battery prices falling,&nbsp;<\/span><span>South Africa is nearing a point where solar-plus-storage solutions can compete with wind&nbsp;<\/span><span>energy, opening the door to more widespread deployment.<\/span><\/p>\n<p><strong>Utility-scale solar: unlocking greater impact<\/strong><\/p>\n<p><span>Utility-scale solar projects also bring substantial socio-economic benefits. Construction&nbsp;<\/span><span>phases for these types of projects typically employ between 1 000 and 1 500 workers and <\/span><span>can stimulate local economies through supplier development and local community&nbsp;<\/span><span>investment.<\/span><\/p>\n<p><span>The proliferation of shorter-term power purchase agreements (PPAs), ranging from five to&nbsp;<\/span><span>ten years, and even monthly contracts, has made solar more accessible to medium-sized&nbsp;<\/span><span>energy buyers who were previously deterred by the long-term commitments of traditional 20-<\/span><span>year PPAs.<\/span><\/p>\n<p><strong>Challenges facing solar uptake<\/strong><\/p>\n<p><span>Despite these obvious gains, challenges do remain. Grid capacity in South Africa is a major&nbsp;<\/span><span>constraint, and while solar is easier and faster to deploy than wind, wind still dominates&nbsp;<\/span><span>utility-scale demand due to its generation profile. Additionally, import duties on solar panels&nbsp;<\/span><span>have created cost pressures in a market where local manufacturing is not yet viable at a&nbsp;<\/span><span>larger scale.<\/span><\/p>\n<p><strong>Unlocking further investment<\/strong><\/p>\n<p><span>To unlock further investment, future bid rounds under the Renewable Energy Independent&nbsp;<\/span><span>Power Producer Procurement Programme (REIPPPP) should include battery storage as a&nbsp;<\/span><span>standard requirement, as was done under the risk mitigation programme. Municipalities,&nbsp;<\/span><span>which account for around 40% of national electricity demand, represent a largely untapped&nbsp;<\/span><span>customer base. However, wheeling policies and municipal debt issues must be addressed to&nbsp;<\/span><span>enable generators to serve these customers more effectively.<\/span><\/p>\n<p><span>Eskom\u2019s recent announcement of its first-ever Renewable Energy Offtake Programme is a&nbsp;<\/span><span>noteworthy development, but questions remain around funding, and capacity. While these&nbsp;<\/span><span>challenges are not insurmountable, they will take time to resolve and are unlikely to&nbsp;<\/span><span>significantly impact the market in the short-term.<\/span><\/p>\n<p><strong>The relationship between solar and BESS<\/strong><\/p>\n<p><span>Battery Energy Storage Systems (BESS) are also playing a critical role in stabilising the grid.&nbsp;<\/span><span>By smoothing the feed of electricity into the grid, especially when cloud cover affects solar&nbsp;<\/span><span>generation potential, BESS helps maintain a stable supply. It also has the ability to support&nbsp;<\/span><span>grid code requirements, potentially replacing the need for capacitor banks or STATCOMS,&nbsp;<\/span><span>while adding broader value.<\/span><\/p>\n<p><span>Most importantly, BESS allows solar energy to be stored and dispatched during peak&nbsp;<\/span><span>demand periods when the sun isn\u2019t shining, making solar energy, which is fleeting in nature,&nbsp;<\/span><span>a more reliable and dispatchable source of power to service South Africa\u2019s energy needs.<\/span><\/p>\n<p><strong>Closing thoughts \u2013 the way forward for solar<\/strong><\/p>\n<p><span>At Mulilo, we are proud to be contributing meaningfully to South Africa\u2019s energy future&nbsp;<\/span><span>through our projects. In addition to our wind and BESS projects, we currently operate four&nbsp;<\/span><span>solar plants with a combined capacity of 205MWp. Three additional projects, currently under&nbsp;<\/span><span>construction, will add 350MWp, and by year-end, we plan to begin construction on three&nbsp;<\/span><span>additional projects totalling, 880MWp. By 2027, Mulilo\u2019s solar portfolio will generate&nbsp;<\/span><span>approximately 2.56 million MWh annually, enough to power nearly one million households,&nbsp;<\/span><span>and create around 3 000 construction jobs each year. Beyond energy generation, these <\/span><span>projects bring lasting value to communities through local economic development.<\/span><\/p>\n<p><span>However, going forward, we believe that more emphasis needs to be placed on contractor&nbsp;<\/span><span>development rather than manufacturing. The shortage of capable contractors across the built&nbsp;<\/span><span>environment is a major constraint, which often results in projects being delayed or&nbsp;<\/span><span>compromised quality-wise. Construction offers immediate job creation and economic relief,&nbsp;<\/span><span>especially in our country with high unemployment rates. Through our work, Mulilo is&nbsp;<\/span><span>committed to making a meaningful difference, by helping to solve the energy crisis, creating&nbsp;<\/span><span>jobs where they\u2019re needed most, and partnering closely with communities to deliver lasting&nbsp;<\/span><span>impact.<\/span><\/p>\n<p><span>In closing, solar energy is not just a solution to loadshedding, it\u2019s a pathway to a more&nbsp;<\/span><span>resilient, inclusive, and sustainable energy future for South Africa.<\/span><\/p>\n<figure><img decoding=\"async\" class=\"baobab-embedded-image\" src=\"https:\/\/www.premium-partners.net\/wp-content\/uploads\/2025\/09\/-17-1-17x-17-1-1700-17\" loading=\"lazy\" width=\"650\" \/><figcaption>&nbsp;Irma Pienaar, Chief Operating Officer at Mulilo<\/figcaption><\/figure>\n<p><em>&nbsp;Irma Pienaar, Chief Operating Officer at Mulilo<\/em><\/p>\n<p><em><span>*** The views expressed here do not necessarily represent those of Independent Media or&nbsp;<\/span><span>IOL<\/span><span>.<\/span><\/em><\/p>\n<p><strong>BUSINESS REPORT<\/strong><\/p>","protected":false},"excerpt":{"rendered":"<p>South Africa\u2019s solar energy sector has seen remarkable growth in recent years. This has been driven by falling equipment costs, technological advancements, and a shortage of\u00a0electricity. Globally, the cost of solar panels and batteries has dropped by as much as 40% to 60% over the past two years, in addition to improvements in panel efficiency and battery\u00a0power density. This means users can now install fewer units to achieve the same output.Combined with a more easily navigated regulatory framework and the risk of loadshedding\u00a0returning, solar energy has become an increasingly viable option for households and businesses across the country.One of the most significant advantages of solar energy is how quickly it can be deployed.\u00a0Residential installations can be completed in a single day, while larger commercial systems\u00a0typically take just a few months. Financial institutions have responded by offering tailored\u00a0financing solutions, making solar more accessible to homeowners. Initially, uncertainty\u00a0around how solar systems worked posed a barrier, but as adoption grows and success stories are shared, that uncertainty is quickly fading into distant memory.What\u2019s driving solar forward?In the short term, the most significant opportunities lie in continued residential and\u00a0commercial uptake, especially as electricity prices continue to rise by more than 10%\u00a0annually. Financing mechanisms such as home loan integration, leasing options, and short-term payment plans are helping to drive this growth forward.On the utility scale front, however, opportunities are shaped by external factors like grid capacity, government infrastructure programmes, and the evolution of energy trading models. The recent government tender for transmission infrastructure to \u00a0Independent Power Producers has been a pivotal step towards unlocking further solar potential and uptake. With battery prices falling,\u00a0South Africa is nearing a point where solar-plus-storage solutions can compete with wind\u00a0energy, opening the door to more widespread deployment.Utility-scale solar: unlocking greater impactUtility-scale solar projects also bring substantial socio-economic benefits. Construction\u00a0phases for these types of projects typically employ between 1 000 and 1 500 workers and can stimulate local economies through supplier development and local community\u00a0investment.The proliferation of shorter-term power purchase agreements (PPAs), ranging from five to\u00a0ten years, and even monthly contracts, has made solar more accessible to medium-sized\u00a0energy buyers who were previously deterred by the long-term commitments of traditional 20-year PPAs.Challenges facing solar uptakeDespite these obvious gains, challenges do remain. Grid capacity in South Africa is a major\u00a0constraint, and while solar is easier and faster to deploy than wind, wind still dominates\u00a0utility-scale demand due to its generation profile. Additionally, import duties on solar panels\u00a0have created cost pressures in a market where local manufacturing is not yet viable at a\u00a0larger scale.Unlocking further investmentTo unlock further investment, future bid rounds under the Renewable Energy Independent\u00a0Power Producer Procurement Programme (REIPPPP) should include battery storage as a\u00a0standard requirement, as was done under the risk mitigation programme. Municipalities,\u00a0which account for around 40% of national electricity demand, represent a largely untapped\u00a0customer base. However, wheeling policies and municipal debt issues must be addressed to\u00a0enable generators to serve these customers more effectively.Eskom\u2019s recent announcement of its first-ever Renewable Energy Offtake Programme is a\u00a0noteworthy development, but questions remain around funding, and capacity. While these\u00a0challenges are not insurmountable, they will take time to resolve and are unlikely to\u00a0significantly impact the market in the short-term.The relationship between solar and BESSBattery Energy Storage Systems (BESS) are also playing a critical role in stabilising the grid.\u00a0By smoothing the feed of electricity into the grid, especially when cloud cover affects solar\u00a0generation potential, BESS helps maintain a stable supply. It also has the ability to support\u00a0grid code requirements, potentially replacing the need for capacitor banks or STATCOMS,\u00a0while adding broader value.Most importantly, BESS allows solar energy to be stored and dispatched during peak\u00a0demand periods when the sun isn\u2019t shining, making solar energy, which is fleeting in nature,\u00a0a more reliable and dispatchable source of power to service South Africa\u2019s energy needs.Closing thoughts \u2013 the way forward for solarAt Mulilo, we are proud to be contributing meaningfully to South Africa\u2019s energy future\u00a0through our projects. In addition to our wind and BESS projects, we currently operate four\u00a0solar plants with a combined capacity of 205MWp. Three additional projects, currently under\u00a0construction, will add 350MWp, and by year-end, we plan to begin construction on three\u00a0additional projects totalling, 880MWp. By 2027, Mulilo\u2019s solar portfolio will generate\u00a0approximately 2.56 million MWh annually, enough to power nearly one million households,\u00a0and create around 3 000 construction jobs each year. Beyond energy generation, these projects bring lasting value to communities through local economic development.However, going forward, we believe that more emphasis needs to be placed on contractor\u00a0development rather than manufacturing. The shortage of capable contractors across the built\u00a0environment is a major constraint, which often results in projects being delayed or\u00a0compromised quality-wise. Construction offers immediate job creation and economic relief,\u00a0especially in our country with high unemployment rates. Through our work, Mulilo is\u00a0committed to making a meaningful difference, by helping to solve the energy crisis, creating\u00a0jobs where they\u2019re needed most, and partnering closely with communities to deliver lasting\u00a0impact.In closing, solar energy is not just a solution to loadshedding, it\u2019s a pathway to a more\u00a0resilient, inclusive, and sustainable energy future for South Africa.\u00a0Irma Pienaar, Chief Operating Officer at Mulilo\u00a0Irma Pienaar, Chief Operating Officer at Mulilo*** The views expressed here do not necessarily represent those of Independent Media or\u00a0IOL.BUSINESS REPORT<\/p>","protected":false},"author":1,"featured_media":202200,"comment_status":"open","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-202198","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-builder"],"_links":{"self":[{"href":"https:\/\/www.premium-partners.net\/fr\/wp-json\/wp\/v2\/posts\/202198","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.premium-partners.net\/fr\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.premium-partners.net\/fr\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.premium-partners.net\/fr\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.premium-partners.net\/fr\/wp-json\/wp\/v2\/comments?post=202198"}],"version-history":[{"count":2,"href":"https:\/\/www.premium-partners.net\/fr\/wp-json\/wp\/v2\/posts\/202198\/revisions"}],"predecessor-version":[{"id":202202,"href":"https:\/\/www.premium-partners.net\/fr\/wp-json\/wp\/v2\/posts\/202198\/revisions\/202202"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.premium-partners.net\/fr\/wp-json\/wp\/v2\/media\/202200"}],"wp:attachment":[{"href":"https:\/\/www.premium-partners.net\/fr\/wp-json\/wp\/v2\/media?parent=202198"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.premium-partners.net\/fr\/wp-json\/wp\/v2\/categories?post=202198"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.premium-partners.net\/fr\/wp-json\/wp\/v2\/tags?post=202198"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}