A country with abundant natural resources, including a high level of solar radiation, making it an ideal location for renewable energy projects; there are at least 10 notable Business Opportunities in Renewable Energy in South Africa.
According to a report by Research and Markets, the South African renewable energy market is expected to reach 13,209 MW by the end of the current year. It is projected to register a CAGR of over 11% during the forecast period.
The South African energy supply is dominated by coal which made up 65% of the primary energy supply in 2018, followed by crude oil with 18% and renewables with 11%. Natural gas contributed 3% while nuclear contributed 2% to the total primary supply during the same period.
A report by IRENA finds that South Africa could realistically, and cost-effectively, supply 49% of its electricity mix from renewables by 20303.
In recent years, there has been a growing demand for renewable energy sources in the country, driven by a combination of environmental concerns, rising energy prices, and a need for energy security. This has created numerous opportunities for businesses operating in the renewable energy sector. In this article, we will explore 10 business opportunities in renewable energy in South Africa.
Manufacturing Solar Panels: The demand for solar photovoltaic (PV) installations in South Africa is expected to grow rapidly in the next few years. This presents a significant opportunity for local businesses to manufacture solar panels, creating jobs and helping to reduce the country’s dependence on imported solar panels.
Solar Panel Installation: With the growth in the solar energy market, there will be an increasing demand for solar panel installation services. This presents an opportunity for businesses to offer installation services to residential and commercial customers.
Affordable Solar Energy for Locals: Energy poverty is a major issue in South Africa, with millions of people living without access to electricity. A new energy startup has established a monthly payment system for solar power energy resources for residential properties, providing affordable energy to people who may not have access to traditional electricity resources.
Solar Water Heating Systems: The South African government has implemented a rebate program for homeowners who install solar water heating systems. This presents an opportunity for businesses to offer installation services to customers who want to take advantage of the program.
Solar-Powered Street Lighting: The South African government has set a target of installing one million solar-powered street lights by 2030. This presents an opportunity for businesses to offer installation services to municipalities and other organizations that are looking to meet this target.
Solar-Powered Boreholes: Solar-powered boreholes can provide a reliable source of water for farmers and rural communities. This presents an opportunity for businesses to offer installation services to customers who need access to water but are not connected to the grid.
Solar-Powered Irrigation Systems: Farmers in South Africa are looking for ways to reduce their reliance on grid electricity and diesel generators. Solar-powered irrigation systems can help farmers reduce their energy costs and improve their sustainability. This presents an opportunity for businesses to offer installation services to customers who want to take advantage of this technology.
Solar-Powered Refrigeration: The transportation and storage of perishable goods can be a challenge in South Africa, especially in rural areas. Solar-powered refrigeration can help reduce spoilage and improve the quality of perishable goods. This presents an opportunity for businesses to offer installation services to customers who need to transport or store perishable goods.
Solar-Powered Telecommunications: In remote areas of South Africa, access to reliable communication services can be a challenge. Solar-powered telecommunications can provide a reliable source of communication services, helping to improve access to education, healthcare, and other essential services. This presents an opportunity for businesses to offer installation services to customers who need reliable communication services.
Solar-Powered Charging Stations: The adoption of electric vehicles is growing in South Africa, and this presents an opportunity for businesses to offer solar-powered charging stations for electric vehicles and mobile devices. This technology can help reduce carbon emissions and provide an affordable and sustainable source of energy for electric vehicle owners.
South Africa presents numerous opportunities for businesses operating in the renewable energy sector. The growing demand for renewable energy sources, combined with government incentives and targets, make it an ideal location for businesses looking to invest in renewable energy projects.
Whether it’s manufacturing solar panels, offering installation services, or providing affordable energy to people living in energy poverty, there are numerous ways for businesses to contribute to the growth of renewable energy in South Africa.
Sources: Research Markets, Energy Department SA
