CSP is preparing to triple its market share in South Africa’s energy mix
The Department of Energy (DoE) announced updates on the Integrated Resource Plan for Electricity (IRP) 2010-2030. The final draft that is to be submitted to Cabinet by March proposes an increase of CSP capacity from 1,200 MW – under the current IRP – to 3,300 MW.
Whilst concentrated solar power increases substantially, other renewable energies – wind and nuclear – may be suffering a reduction of half of their allocation from the current IRP. PV following the solar trend could increase its capacity by 1330 MW. It remains to be official that these capacities will be the exact MW allocated in the last updated version.
Analysts have repeatedly said that one of the biggest challenges that CSP faces in South Africa is, the relatively small pipeline imposed by the Government to CSP. As Nicolas Tucker from Investec said in the recent CSP Today webinar, “the next Window (14th March) is already oversubscribed with 6 major players” competing for 200 MW. Commentators state that if this draft does go through, it will be a major push, not only for CSP in South Africa, but worldwide.
With the solar industry waiting for announcements in the Middle East, multiple projects delays in India, market uncertainty in Spain and the US, South Africa has emerged as the market to develop renewable energies, and concentrated solar power in particular. A full industry is expected to expand in the country after the final updated IRP is announced this year.
International and local developers, ACWA Power, SolAfrica, Emvelo and Cobra Energy, who are all active in the South African market, will be sharing at CSP Today South Africa 2014 (8th – 9th April, Cape Town) the very latest updates on bid winning CSP projects in the country, and their insights into the contribution that CSP projects have made towards local economies, job creation and manufacturing.
For more information on CSP Today South Africa 2014 please visit: http://goo.gl/uko3kE
