Industry organisation the South African Photovoltaic Industry Association (SAPVIA) welcomes the establishment of State-owned renewable-energy utility Eskom Green, but calls for assurance that access to the limited grid capacity will be shared equitably by all independent power producers and players.

The establishment of Eskom Green recognises that utility-scale renewable energy and energy storage will be central to delivering long-term energy security, supporting economic growth and attracting investment into the country's energy infrastructure.

By creating a focused vehicle to develop renewable energy and battery storage projects in partnership with the private sector, Eskom is positioning itself to play a more active role in expanding generation capacity while supporting South Africa's decarbonisation objectives, SAPVIA says.

However, grid availability remains one of the defining challenges and opportunities for South Africa's energy transition, says SAPVIA CEO Dr Rethabile Melamu.

“Efforts to maximise existing grid capacity while accelerating transmission expansion will be essential if we are to unlock the next wave of renewable-energy investment and deliver energy infrastructure at the scale the country requires,” she says.

Expanding and strengthening the transmission network, and providing equitable access to it, remain the most critical enablers of future renewable-energy investment.

Policy certainty, efficient regulatory processes, transparent procurement mechanisms and ongoing stakeholder engagement will be key to ensuring the long-term success of the renewable-energy industry and Eskom Green, she says.

“The establishment of Eskom Green signals a clear commitment to renewable energy as a core component of South Africa's future energy mix and creates an important platform for collaboration between Eskom and the renewable-energy industry.

“This can unlock investment, accelerate project delivery and strengthen long-term energy security,” Melamu emphasises.

Eskom Green aims to develop an initial pipeline of renewable-energy projects through partnerships with private sector developers, financiers and technology providers, which is the constituency that SAPVIA represents.

These partnerships will be critical to leverage the expertise, capital and implementation capabilities that have been built within South Africa's renewable-energy sector over the past decade.

South Africa's solar PV industry has consistently demonstrated its ability to deploy new generation capacity rapidly and cost-effectively, she notes.

As demand for electricity continues to grow and South Africa seeks to improve energy resilience, solar PV supported by battery energy storage systems offers a proven pathway to delivering reliable, affordable and clean power at scale.

“South Africa's renewable-energy industry stands ready to partner Eskom Green in achieving its ambitions. Our sector has developed world-class capabilities across project development, engineering, financing, construction and operations,” says Melamu.

The launch of Eskom Green presents an opportunity to build on the progress South Africa has already made in renewable energy.

“Through transparent, bankable and competitive partnership models, Eskom Green has the potential to unlock significant economic value while accelerating the deployment of much-needed generation capacity.”

However, success will depend on collaboration across government, Eskom, investors and industry.

If the country ensures equitable shares of the limited grid, renewable energy can continue to drive economic growth, support industrial development, create jobs and strengthen South Africa's energy future, Melamu concludes.

SAPVIA will engage with Eskom Green and other stakeholders to support efforts that accelerate the deployment of renewable energy across South Africa.