SAWEA welcomes gazetting of determination to procure more renewable energy

28th September 2020 By: Donna Slater - Creamer Media Staff Writer and Photographer

The South African Wind Energy Association (SAWEA) welcomes Mineral Resources and Energy Minister Gwede Mantashe’s gazetted Section 34 Ministerial determination to procure more renewable energy from independent power producers (IPPs).

SAWEA enthuses that this step takes the wind energy sector one step closer to unlocking an estimated R40-billion a year in investment.

Friday's announcement of the gazetting of the determination was followed up by President Cyril Ramaphosa on Monday confirming that this procurement will enable development of 11 800 MW of new electricity capacity indicating government’s commitment to unlocking growth and investment in the ailing economy, exacerbated by the Covid-19 pandemic.

This latest determination opens the way for the procurement of 4 800 MW of wind energy capacity.

SAWEA CEO Ntombifuthi Ntuli says this signals the reawakening of the wind industry and states that the sector is ready to deliver on clean power and rolling investment.

According to SAWEA, wind power not only directly benefits the parts of the country that are rich in wind resources, such as the Western Cape, Eastern Cape and Northern Cape provinces, but also unlocks massive investment across a number of sectors.

Ntuli says, according to SAWEA’s estimates, the roll out could attract R40-billion a year in investment, which means that the wind power sector will create direct jobs for the coming years in various sectors of the economy, particularly in the construction, manufacturing, transportation, logistics and professional services sectors.

“Wind procurement sustains the economic objectives that drive the country, as it exposes the underlying economic value of existing infrastructure,” concludes Ntuli.