The South African industry that doubled in one year

South Africa’s renewable energy sector has grown significantly, with the contracted capacity of renewable energies in development doubling from 66 GW in 2023 to 133 GW in 2024. 

This was revealed in the 2024 South African Renewable Energy Grid Survey (SAREGS), an annual survey initiative by the South African Photovoltaic Industry Association (SAPVIA), the South African Wind Energy Association (SAWEA) and Eskom. 

“The annual survey is a crucial initiative for the renewable energy industry, offering significant insights that drive grid expansion and planning,” SAPVIA spokesperson Frank Spencer said.

The number of participants in the survey increased sharply from 209 in 2023 to 483 this year. 

According to the 2024 survey, the projected installed capacity of all renewable energies surged from 93.3 GW last year to 172.4 GW this year. 

“The capacity is standing at 133 GW of projects in the private sector pipeline over the next 8 years,” SAPVIA Technical Specialist De Wet Taljaard told Newzroom Africa.

“That represents just over R2 trillion worth of private sector investment in generation.” 

Of the projects being developed, more than 60 GW are expected to come online within three to five years, an increase from 18 GW in 2023. 

Taljaard explained that South Africa needs an energy mix of traditional and clean sources to ensure that the country’s power supply remains in balance and moves in a sustainable way towards a more renewable system in the future.  

Solar PV led the charge as the top renewable this year, increasing from 34 GW of contracted capacity in 2023 to over 76 GW in 2024. 

South Africa’s wind energy sector followed behind, also showing notable increases. 

“The survey reveals a substantial growth in wind energy projects, with over 48 GW in various stages of development – a significant increase from 30 GW in 2023,” Santosh Sookgrim, Senior Technical Advisor at SAWEA, explained.  

The survey showed an expansion of wind energy projects in new regions such as KwaZulu-Natal and other areas in the highveld, including in Mpumalanga.

“This marks a significant positive step forward in the just energy transition and is expected to drive socio-economic growth in these regions,” Sookgrim said.  

“Wind energy remains a critical component of South Africa’s renewable energy strategy and plays a significant role in the country’s energy mix as we move towards a low-carbon and energy-secure future.”

Geographically, the Northern Cape had the most renewables, at 29 GW, outpacing South Africa’s other provinces, a significant increase from last year’s 9 GW.  

The Free State followed at 20 GW, up from 5 GW in the previous year. Gauteng also grew by nearly 10-fold, from 0.85 GW in 2023 to over 8 GW in 2024. 

South Africa’s government has also noted the industry’s significant growth, with President Cyril Ramaphosa touting the country’s “renewable energy revolution” in his Opening of Parliament Address in July this year.

“As we undertake a just transition towards renewable energy, South Africa must create a green manufacturing sector centred on the export of green hydrogen and associated products, electric vehicles and renewable energy components,” Rampahosa said.

“We have seen, for example, how the Northern Cape has already attracted billions of rands of investment in renewable energy projects.”

“South Africa 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.”

South Africa’s government has also taken steps to allow renewable energy independent power producers to start projects that not only strengthen the grid but also create employment opportunities.

“We already have a huge pipeline of renewable energy projects, representing over 22,500 MW of new generating capacity, estimated to be worth around R400 billion in new private investment. Investments such as these will create many jobs,” the President said.

In July, the country 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 256 MW 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,” Ramaphosa said.