Privatization of the Public Sector Grid In South Africa
For the longest time, we’ve all(South Africans) had to bear the burden of load shedding.
Since South Africa’s energy crisis has been slowing economic growth, particularly because of successive rounds of load shedding, it has caused a widespread rolling blackout on a national level, which threatens to destabilize the national power grid as electricity supply falls behind electricity demand.
However, recently the president(Cyril Ramaphosa) turned to the private sector to resolve this 15-year-old power crisis.
South Africa’s Attempt to End The 15-Year-Old Power Crisis.
Recently, the government has allowed power companies to build and sell power plants of any size without a license to meet their own needs.
This decision was made after the president addressed the nation about the negative impact load-shedding has on economic growth, investment, and economic competitiveness.
This sheds hope on possibly ending the economic and social problems caused by load-shedding.
The Journey of Solar Energy Thus Far
With advancements in technology and innovation, methods of combating load shedding have been developed, such as renewable energy like solar and wind power.
Since the early 2011s, alternative energy has been on the rise.
As more businesses employ this way of generating power in times of darkness, this movement is making its mark in the energy sector.
Businesses and households are able to generate self-sufficient electricity as more and more solar companies use this method of generating energy.
The Major Steps Taken
It is expected that the country’s wind and solar resources will provide more than 79,8% of the country’s power supply, accelerating the transition from coal to wind and solar energy.
The current REIPPP bid window 6 proposals will increase renewable energy procurement to 5,200 megawatts.
Other steps announced include:
- Recruiting skilled workers for Eskom while addressing sabotage and theft
- Enabling Eskom to purchase excess power from private producers
- Power imports from neighbouring countries in the region
Conclusion
As the country embraces more innovation in the energy sector, massive growth can be expected, resulting in more employment opportunities.
Despite government efforts to rehabilitate the energy sector, the power crisis seems to have reached its apex. Going forward as the swift transition to privatization, we can expect exponential results in the coming years.
Contact Tractionel for Renewable Energy Solutions
If you would like to take advantage of a complete set of resources and expertise that have been developed to grow businesses and the South African economy, be sure to visit Tractionel today and find out more about renewable energy solutions and solar developments.
