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Renewable energy to account for more than 20% power by 2030

JOHAN MULLER
The renewable-energy sector has a lower job creation potential compared with the transport and tourism sector

JOHAN MULLER The renewable-energy sector has a lower job creation potential compared with the transport and tourism sector

27th June 2014

  

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Renewable energy is expected to account for 20% nameplate capacity in South Africa’s total power generation capacity by 2030, states consulting firm Frost & Sullivan in its report, titled ‘The renewable energy services market and its potential in South Africa.’

Frost & Sullivan energy & environment programme manager Johan Muller states that this percentage is compared with the less than 5% that the renewable-energy market currently contributes to the country’s power generation capacity.

The report, which was released in March, states that, in terms of meeting its job creation targets, government’s Renewable Energy Independent Power Producer Procurement Programme (REIPPPP), will encounter conflict when calculating the overall employment potential and operation and maintenance (O&M) potential, as O&M opportunities for renewable energy projects are low when compared to sectors such as manufacturing and construction.

Government has stated that through the REIPPPP 20 000 jobs will be created in the construction phase, with another 35 000 jobs in plant operations.

The programme has been scheduled to have five bid windows, spanning from 2011 to 2016. The fourth bidding window is scheduled to start in July, with the finalisation of third window documentation scheduled for the same month. Some projects from the first two windows are already supplying the national power grid. Projects established from each bidding window are expected to be in operation by at least 2020.

Muller further states that the automation of renewable-energy services may have a negative impact on the number of actual jobs created.

In addition, Frost & Sullivan found that the job creation potential of the renewable-energy sector is less than that of other markets, such as transport and tourism, he concludes.

Edited by Megan van Wyngaardt
Creamer Media Contributing Editor Online

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