![Sample our Area Studies journals, sign in here to start your access, latest two full volumes FREE to you for 14 days]({"type":"image" , "src" : "/sda/5922/TOC-Subject-Sample-2021-Area-Studies.jpg"})
ABSTRACT
South Africa's renewable energy independent power producers (REIPPs) largely depend on foreign manufacturers and resources as they generate the power needed to address the country's energy crisis. This foreign dependence contradicts some principles of a just energy transition, which encourage developing local job creation in the renewable energy sector. Although South Africa has increased its power procurement targets and relaxed some regulatory requirements in response to the current energy crisis, the long-term policy framework is unclear. Sustainably expanding renewable energy generation depends on a clear policy framework which plots the transition from coal and develops local manufacturing and skilling capacities. Through a case study review of two South African wind farms, this article examines how REIPPs can shift their reliance on foreign equipment manufacturers and skilled resources to local providers, fostering a sustainable and inclusive just energy transition.
Acknowledgement
This article is produced as an output of a study funded by the South African National Institute for Humanities and Social Sciences. The study examines economic growth opportunities linked to renewable energy adoption in BRICS.
Disclosure statement
No potential conflict of interest was reported by the author(s).
Notes
1 Department of Mineral Resources and Energy, ‘Outlining the Renewable Energy Independent Power Producer Procurement Programme Empowerment Imperative,’ Department of Mineral Resources and Energy. Pretoria, 2019, http://www.energy.gov.za/files/PPMO/2018/Outlining-the-REIPPPP.pdf.
2 Department of Minerals Resources & Energy; The Department of Trade Industry and Competition; Department of Science and Innovation, ‘South African Renewable Energy Masterplan,’ Pretoria. 2022. https://www.green-cape.co.za/assets/SAREM-Draft-March-2022-v3-High-res.pdf.
3 Cyril Ramaphosa, ‘President Cyril Ramaphosa: Address to the Nation on Energy Crisis,’ South African Government, 2022, https://www.gov.za/speeches/president-cyril-ramaphosa-address-nation-energy-crisis-25-jul-2022-0000.
4 Ramaphosa, ‘President Cyril Ramaphosa’.
5 Sabrina Jardim, ‘SA Faces Challenges in Energy Transition,’ Creamer Media's Engineering News, 2022, https://www.engineeringnews.co.za/article/sa-faces-challenges-in-renewable-energy-transition-2022-03-25#:∼:text = Other challenges include job losses,renewables in high resource areas.
6 GreenCape, ‘Utility-Scale Renewable Energy Sector 2020 Market Intelligence Report,’ Cape Town. https://www.greencape.co.za/assets/RENEWABLE_ENERGY_MIR_20200330_WEB.pdf.
7 Ayobami Solomon Oyewo, Arman Aghahosseini, Manish Ram, Alena Lohrmann, and Christian Breyer, ‘Pathway towards Achieving 100% Renewable Electricity by 2050 for South Africa,’ Solar Energy 191 (2019 September): 549–65. https://doi.org/10.1016/j.solener.2019.09.039.
8 Presidential Climate Commission, ‘A Framework for a Just Transition in South Africa,’ Pretoria, https://pccommissionflow.imgix.net/uploads/documents/A-Just-Transition-Framework-for-South-Africa-with-dedication-FSP-002.pdf.
9 Lesley Wentworth, and Catherine Grant Makokera, ‘Private Sector Participation in Infrastructure for Development,’ South African Journal of International Affairs 22, no. 3 (2015): 325–41. https://doi.org/10.1080/10220461.2015.1081568.
10 Anton Eberhard, Joel Kolker, and James Leigland, ‘South Africa's Renewable Energy IPP Procurement Program: Success Factors and Lessons,’ 2014, https://www.gsb.uct.ac.za/files/ppiafreport.pdf.
11 D. Moher, A. Liberati, J. Tetzlaff, D.G. Altman, and The PRISMA Group, ‘Preferred Reporting Items for Systematic Reviews and Meta-Analyses: The PRISMA Statement,’ PLoS Med 6, no. 7 (2009). https://doi.org/https://doi.org/10.1371/journal.pmed.1000097.
12 Elicit.org., ‘Frequently Asked Questions,’ Elicit.Org., n.d., https://elicit.org/faq (accessed 11 April, 2023).
13 South African Wind Energy Association, ‘Wind Energy Overview,’ Sustainable.Org.Za., n.d., http://www.sustainable.org.za/userfiles/wind(1).pdf (accessed October 21, 2022).
14 Mandisa Mkize, and Jack Radmore, ‘Large Scale Renewable Energy Market Intelligence Report,’ Cape Town, 2022.
15 South African Wind Energy Association, ‘South African Wind Farms,’ SAWEA.Org.Za., n.d.a, https://sawea.org.za/wind-map/wind-ipp-table/ (accessed February 24, 2022).
16 Francesco Miceli, ‘Wind Turbines Manufacturers Business Model,’ Wind Farms Construction, 2017, https://www.windfarmbop.com/wind-turbines-manufacturers-business-model/.
17 Department of Mineral Resources and Energy, ‘Integrated Resource Plan (IRP2019),’ Pretoria, 2019, http://www.energy.gov.za/IRP/2019/IRP-2019.pdf.
18 Mkize, and Radmore, ‘Large Scale Renewable Energy Market Intelligence Report’.
19 Thomas Hebo Larsen, and Ulrich Elmer Hansen, ‘Sustainable Industrialization in Africa: The Localization of Wind-Turbine Component Production in South Africa,’ Innovation and Development 12, no. 2 (2022): 189–208. https://doi.org/10.1080/2157930X.2020.1720937.
20 Larsen, and Hansen, ‘Sustainable Industrialization in Africa’.
21 Kate Rivett-Carnac, ‘Insights into the Wind Energy Value Chain in South Africa,’ Cape Town, 2022, https://www.tips.org.za/research-archive/sustainable-growth/item/download/2322_84f421b661c850ff5cac39a11f826443.
22 Department of Minerals Resources & Energy, 2021, ‘Media Statement – 28 October 2021’; Department of Minerals Resources & Energy, 2021, http://www.energy.gov.za/files/media/pr/2021/MediaStatement-REIPPP-BW5-28102021.pdf.
23 Christopher Ettmayr, and Hendrik Lloyd, ‘Local Content Requirements and the Impact on the South African Renewable Energy Sector: A Survey-Based Analysis,’ South African Journal of Economic and Management Sciences 20, no. 1 (2017): 1–11. https://doi.org/10.4102/sajems.v20i1.1538.
24 Ramaphosa, ‘President Cyril Ramaphosa’.
25 Darren McCauley, and Raphael Heffron, ‘Just Transition: Integrating Climate, Energy and Environmental Justice,’ Energy Policy 119 (2018). https://doi.org/10.1016/j.enpol.2018.04.014.
26 Kieran Harrahill, and Owen Douglas, ‘Framework Development for “Just Transition” in Coal Producing Jurisdictions,’ Energy Policy 134 (November 2019). https://doi.org/10.1016/j.enpol.2019.110990.
27 Roz Price, ‘Resources on the Just Energy Transition in South Africa,’ Institute of Development Studies. Pretoria, 2022, https://opendocs.ids.ac.uk/opendocs/bitstream/handle/20.500.12413/17598/1134_Resources_on_the_just_energy_transition_in_South_Africa.pdf?sequence = 1&isAllowed = y.; Giuseppina Siciliano, Linda Wallbott, Frauke Urban, Anh Nguyen Dang, and Markus Lederer, ‘Low-Carbon Energy, Sustainable Development, and Justice: Towards a Just Energy Transition for the Society and the Environment,’ Sustainable Development 29, no. 6 (2021): 1049–61. https://doi.org/10.1002/sd.2193.; McCauley, and Heffron, ‘Just Transition: Integrating Climate, Energy and Environmental Justice’.
28 Antonia Proka, Derk Loorbach, and Matthijs Hisschemöller, ‘Leading from the Niche: Insights from a Strategic Dialogue of Renewable Energy Cooperatives in the Netherlands,’ Sustainability (Switzerland) 10, no. 11 (2018): 6–16. https://doi.org/10.3390/su10114106.
29 Siciliano, Wallbott, Urban, Dang, and Lederer, ‘Low-Carbon Energy, Sustainable Development, and Justice’.
30 Nikhar Gaikwad, Federica Genovese, and Dustin Tingley, ‘Creating Climate Coalitions: Mass Preferences for Compensating Vulnerability in the World's Two Largest Democracies,’ American Political Science Review 116, no. 4 (2022): 1165–83. https://doi.org/10.1017/S0003055422000223.
31 Siciliano, Wallbott, Urban, Dang, and Lederer, ‘Low-Carbon Energy, Sustainable Development, and Justice’.
32 Price, ‘Resources on the Just Energy Transition in South Africa’.
33 Department of Mineral Resources and Energy, ‘Integrated Resource Plan (IRP2019)’.
34 Jesse Hoffman, Megan Davies, Thomas Bauwens, Philipp Späth, Maarten A. Hajer, Bleta Arifi, Amir Bazaz, and Mark Swilling, ‘Working to Align Energy Transitions and Social Equity: An Integrative Framework Linking Institutional Work, Imaginaries and Energy Justice,’ Energy Research and Social Science 82 (December 2021). https://doi.org/10.1016/j.erss.2021.102317.
35 Price, ‘Resources on the Just Energy Transition in South Africa’; Presidential Climate Commission, ‘A Framework for a Just Transition in South Africa,’ Pretoria, 2022, https://pccommissionflow.imgix.net/uploads/documents/A-Just-Transition-Framework-for-South-Africa-with-dedication-FSP-002.pdf.
36 Presidential Climate Commission, ‘A Framework for a Just Transition in South Africa’.
37 Hoffman et al., ‘Working to Align Energy Transitions and Social Equity’.
38 Christina E. Hoicka, Jens Lowitzsch, Marie Claire Brisbois, Ankit Kumar, and Luis Ramirez Camargo, ‘Implementing a Just Renewable Energy Transition: Policy Advice for Transposing the New European Rules for Renewable Energy Communities,’ Energy Policy 156 (2021): 112435. https://doi.org/10.1016/j.enpol.2021.112435.
39 Katharina Löhr, Custódio Efraim Matavel, Sophia Tadesse, Masoud Yazdanpanah, Stefan Sieber, and Nadejda Komendantova, ‘Just Energy Transition: Learning from the Past for a More Just and Sustainable Hydrogen Transition in West Africa,’ Land 11, no. 12 (2022). https://doi.org/10.3390/land11122193.
40 Hoika et al., ‘Implementing a Just Renewable Energy Transition’.
41 Presidential Climate Commission, ‘A Framework for a Just Transition in South Africa’.
42 Lohr et al., ‘Just Energy Transition’; Maciej M. Sokołowski, and Raphael J. Heffron, ‘Defining and Conceptualising Energy Policy Failure: The When, Where, Why, and How,’ Energy Policy 161 (2022). https://doi.org/10.1016/j.enpol.2021.112745.
43 Price, ‘Resources on the Just Energy Transition in South Africa’.
44 Naiema Taliep, ‘A Community Engagement Model for an Inclusive Just Energy Transition in the South,’ Social and Health Sciences 20, no. 1 and 2 (2022): 1–23. https://doi.org/10.25159/2957-3645/11411.
45 Presidential Climate Commission, ‘A Framework for a Just Transition in South Africa’.
46 Taliep, ‘A Community Engagement Model for an Inclusive Just Energy Transition in the South’.
47 Sokołowski and Heffron, ‘Defining and Conceptualising Energy Policy Failure’.
48 Löhr et al., ‘Just Energy Transition’.
49 Hoicka et al., ‘Implementing a Just Renewable Energy Transition’.
50 Abhijeet Acharya, ‘Advent of Renewable Energy Market– Understanding Critical Success Factors in PPA Model,’ Energy and Environment Research 11, no. 1 (2021): 1. https://doi.org/10.5539/eer.v11n1p1.
51 Kacper Szulecki, Philipp Pattberg, and Frank Biermann, ‘Explaining Variation in the Effectiveness of Transnational Energy Partnerships,’ Governance 24, no. 4 (2011): 713–36. https://doi.org/10.1111/j.1468-0491.2011.01544.x.
52 Vladimir Pucik, ‘Strategic Alliances, Organizational Learning, and Competitive Advantage: The HRM Agenda,’ Knowledge Management and Organisational Design 27, no. 1 (2009): 151–65. https://doi.org/10.4324/9780080509839-14.
53 Dewi Mustikaningsih, Martha Fani Cahyandito, Umi Kaltum, and Sri Sarjana, ‘Building Business Performance through Partnership Strategy Model: Evidence from Renewable Energy Industry in Indonesia,’ International Journal of Energy Economics and Policy 9, no. 5 (2019): 297–307. https://doi.org/10.32479/ijeep.7780.
54 Yudi Fernando, and Sofri Yahya, ‘Challenges in Implementing Renewable Energy Supply Chain in Service Economy Era,’ Procedia Manufacturing 4, no. Iess (2015): 454–60. https://doi.org/10.1016/j.promfg.2015.11.062.
55 R. Jay Widmer, Jocelyn M. Widmer, and Amir Lerman, ‘International Collaboration: Promises and Challenges,’ Rambam Maimonides Medical Journal 6, no. 2 (2015): e0012. https://doi.org/10.5041/rmmj.10196.
56 Harald Winkler, Davidson Ogunlade, Andre Kenny, Gisela Prasad, Jabavu Nkomo, Debbie Sparks, Mark Howells, and Thomas Alfstad, Energy Policies for Sustainable Development in South Africa: Options for the Future. Energy Research Centre, Energy for Sustainable Development, 2006. www.erc.uct.ac.za.
57 European Investment Bank, ‘Evaluating Renewable Energy Manufacturing Potential in Meditranean Partner Countries,’ Luxembourg, 2015, https://www.eib.org/attachments/femip_study_evaluating_renewable_energy_manufacturing_potential_en.pdf.
58 Deon Cloete, Neuma Grobbelaar, Ndeapo Wolf, and Letitia Jentel, ‘The Green Hydrogen TVET Ecosystem Just Transition in South Africa: A Strategic Framework,’ Johannesburg, 2022, https://saiia.org.za/wp-content/uploads/2022/06/SAIIA_SR_GreenHydrogenTVET.pdf.
59 Siddharth Suhas Kulkarni, Lin Wang, and Demetrios Venetsanos, ‘Managing Technology Transfer Challenges in the Renewable Energy Sector within the European Union,’ Wind 2, no. 1 (2022): 150–74. https://doi.org/10.3390/wind2010009.
60 Cookhouse Wind Farm, ‘Cookhouse Wind Farm,’ Cookhouse, n.d., https://cookhousewind.co.za/ (accessed September 1, 2022).
61 African Private Equity and Venture Capital Association, ‘AIIM's Investment, Cookhouse Wind Farm Reaches Commercial Operations,’ 2015, https://www.avca-africa.org/newsroom/member-news/2015/aiims-investment-cookhouse-wind-farm-reaches-commercial-operations/.
62 Cookhouse Wind Farm, ‘Cookhouse Fact Sheet,’ Cookhouse Wind, n.d., https://cookhousewind.co.za/wind-farm/#fact-sheet (accessed October 25, 2022a).
63 African Infrastructure Investment Managers, ‘Case Study: Cookhouse Windfarm (Cookhouse),’ African Infrastructure Investment Managers, 2020, https://aiimafrica.com/media/case-study-detail/case-study-cookhouse-wind-farm-cookhouse/.
64 Terence Creamer, ‘135 MW Cookhouse Wind Farm the Largest in First Renewables Round,’ Creamer Media's Engineering News, 2011, https://www.engineeringnews.co.za/article/135-mw-cookhouse-wind-farm-the-largest-in-first-renewables-round-2011-12-07.
65 African Review of Business and Technology, ‘Wind Turbines for Cookhouse Project Arrive in South Africa,’ 2013, https://africanreview.com/energy-a-power/renewables/wind-turbines-for-cookhouse-project-arrive-in-south-africa.
66 African Infrastructure Investment Managers, ‘Case Study: Cookhouse Windfarm (Cookhouse)’.
67 Dharini Mishra, ‘Suzlon Signs 138 MW Firm Order in South Africa; Site Construction Already Commenced,’ Suzlon.Com, 2013, https://www.suzlon.com/press-release-detail/130/suzlon-signs-138-mw-firm-order-in-south-africa-site-construction-already-commenced.
68 Rainer Walz, and Jonathan Nowak Delgado, ‘Different Routes to Technology Acquisition and Innovation System Building? China's and India's Wind Turbine Industries,’ Innovation and Development 2, no. 1 (2012): 87–109. https://doi.org/10.1080/2157930x.2012.667209.
69 Cookhouse Wind Farm, ‘Cookhouse Wind Farm’.
70 African Private Equity and Venture Capital Association, ‘AIIM's Investment, Cookhouse Wind Farm Reaches Commercial Operations’.
71 Schalk Burger, ‘Companies Developing Wind Energy Skills in the Eastern Cape,’ Creamer Media's Engineering News, 2012, https://www.engineeringnews.co.za/article/companies-developing-wind-energy-skills-in-the-eastern-cape-2022-04-05/rep_id:4136.
72 Burger, ‘Companies Developing Wind Energy Skills in the Eastern Cape’.
73 Burger, ‘Companies Developing Wind Energy Skills in the Eastern Cape’.
74 The Economic Times, ‘Suzlon Energy Bags Order to Set up Wind Farm in South Africa,’ The Economic Times, 2013, https://economictimes.indiatimes.com/industry/energy/power/suzlon-energy-bags-order-to-set-up-wind-farm-in-s-africa/articleshow/18289586.cms.
75 African Private Equity and Venture Capital Association, ‘AIIM's Investment, Cookhouse Wind Farm Reaches Commercial Operations’.
76 African Infrastructure Investment Managers, ‘Case Study: Cookhouse Windfarm (Cookhouse)’.
77 African Private Equity and Venture Capital Association, ‘AIIM's Investment, Cookhouse Wind Farm Reaches Commercial Operations’; African Review of Business and Technology, ‘Wind Turbines for Cookhouse Project Arrive in South Africa’.
78 Futuregrowth Power Debt Fund, 2021.
79 Sheila Barradas, ‘Renewable Energy Independent Power Producer Procurement Programme – Third Window, South Africa,’ Creamer Media's Engineering News, 2017, https://www.engineeringnews.co.za/article/renewable-energy-independent-power-producer-procurement-programme-third-window-south-africa-2017-09-30.
80 Mulilo.com, ‘Mulilo.Com/Wind,’ n.d., https://mulilo.com/wind/ (accessed June 19, 2023).
81 Mulilo Renewable Energy, ‘De Aar Environmental Impact Assessment,’ De Aar. 2010; Changjun Xie, ‘Longyuan South Africa De’a Wind Farm - China's First Wind Power Project in Africa Integrating Investment, Construction and Operation,’ News.BJX.Com.Cn., 2019, https://news.bjx.com.cn/html/20190725/995282.shtml.
82 Xie, ‘Longyuan South Africa De’a Wind Farm’.
83 Zhao, Mingming, and Qiang Xiao, ‘National Energy Group Longyuan South Africa De’A Wind Power Project Management Team: The Rainbow Country Chasing the Wind and Building Dreamers,’ National Energy Group, 2021, https://www.inengyuan.com/kuaixun/7112.html.
84 Xie, ‘Longyuan South Africa De’a Wind Farm’.
85 Gao, 2017.
86 Gao, 2017.
87 Mulilo Renewable Energy, ‘De Aar Environmental Impact Assessment,’ De Aar, 2010, https://mulilo.com/wp-content/uploads/2018/06/DA1-Executive-Summary.pdf.; Xie, ‘Longyuan South Africa De’a Wind Farm’.
88 Yihong Liu, ‘Longyuan Power Released the “Longyuan South Africa Social Responsibility Report”,’ Longyuan Power, 2020, https://www.ceic.com/gjnyjtww/chnjcxw/202010/d5db2c331b654545b967b6a0dd23a0c1.shtml.
89 Ministry of Energy, ‘Memorandum from the Parliamentary Office,’ Pmg.Org.Za., n.d., https://www.google.com/url?sa = i&rct = j&q = &esrc = s&source = web&cd = &cad = rja&uact = 8&ved = 0CAMQw7AJahcKEwigxqvQxoD7AhUAAAAAHQAAAAAQAw&url = https%3A%2F%2Fpmg.org.za%2Ffiles%2FRNW2962-181107.docx&psig = AOvVaw00O-9m8Jh27VwabKcl4iwx&ust = 1666964619991954 (accessed October 27, 2022).
90 Mulilo De Aar Wind Community Trust, ‘Overview,’ n.d., https://www.mulilodeaarwindtrust.org.za/overview (accessed October 27, 2022).
91 Liu, ‘Longyuan Power Released’.
92 Xie, ‘Longyuan South Africa De’a Wind Farm’.
93 Murrob.com, ‘Operations - Infrastructure & Building,’ Murrob.Com, 2015, https://www.murrob.com/publications/robust_sept_2015/business_platform_infrastructure.html.
94 Northern Cape Mining Community, ‘Mining Companies,’ Northerncapeminingcommunity.Co.Za. n.d, https://www.northerncapeminingcommunity.co.za/mining-in-the-northern-cape/mining-companies (accessed 17 April, 2023).
95 Risenga Maluleke, ‘Quarterly Labour Force Survey (QLFS) Q3:2022,’ StatsSA.Gov.Za. Pretoria, 2022, https://www.statssa.gov.za/publications/P0211/PresentationQLFSQ32022.pdf.
96 Ramaphosa, ‘President Cyril Ramaphosa’.
97 9 Semi-structured interviews with South African energy experts, including representatives of municipal energy departments, non-governmental organisations and the private sector, in 2021
98 African Infrastructure Investment Managers, ‘Case Study: Cookhouse Windfarm (Cookhouse)’.
99 Mulilo De Aar Wind Community Trust, ‘Overview,’ n.d., https://www.mulilodeaarwindtrust.org.za/overview (accessed October 27, 2022).
Additional information
Funding
Notes on contributors
Krish Chetty
Mr Krish Chetty is a research manager at the Equitable Education and Economies Division of the Human Sciences Research Council (HSRC).
Yul Derek Davids
Dr Yul Derek Davids is a research director in the HSRC's Developmental, Capable & Ethical State (DCES) division and an advisory member at the Department of Applied Legal Studies at Cape Peninsula the University of Technology (CPUT).
Modimowabarwa Kanyane
Professor Modimowabarwa Kanyane is the executive dean of the Faculty of Management, Commerce and Law at the University of Venda.
Thanyani Madzivhandila
Dr Thanyani Selby Madzivhandila is a research director under the Democratic, Capable and Ethical State Division of the HSRC.
Tahiya Moosa
Ms Tahiya Moosa is a researcher in the Inclusive Economic Development programme at the HSRC.
Lebogang Ndaba
Lebohang Ndaba is a junior researcher in the Developmental, Capable and Ethical State (DCES) research division at the HSRC.