Report Overview

South Africa Renewable Energy Market – Industry Trends & Forecast Report, 2029

South Africa renewable energy market size was estimated at USD 6.19 billion in 2022. During the forecast period between 2023 and 2029, the size of South Africa renewable energy market is projected to grow at a CAGR of 9.20% reaching a value of USD 11.47 billion by 2029. The major factors driving the growth of the South Africa renewable energy market include increasing energy demand, rising awareness of environmental sustainability, government incentives and supportive policies for renewable projects, decreasing costs of renewable technologies, and growing investments in the sector. Additionally, South Africa's abundant renewable resources, such as solar and wind, play a crucial role in attracting investors and expanding the renewable energy capacity. As the country aims to reduce its dependence on fossil fuels, the shift towards renewable energy sources is expected to foster economic growth, create jobs, and mitigate climate change impacts in the region.

South Africa Renewable Energy Market - Overview

Renewable energy refers to sustainable sources of power that are naturally replenished, reducing dependence on finite fossil fuels and minimizing environmental impact. It encompasses various technologies like solar, wind, hydro, geothermal, and biomass, harnessing the Earth's natural resources. These clean energy alternatives generate electricity and heat, promoting a greener, more sustainable future. Renewable energy is essential for combating climate change, reducing greenhouse gas emissions, and achieving energy security. It continues to gain momentum worldwide as governments, industries, and individuals embrace its potential to mitigate global warming and ensure a cleaner, more resilient planet for future generations.

Growth Drivers

Government’s Commitment Fuels Growth of South Africa Renewable Energy Market

The growth driver of South Africa's renewable energy market lies in the government's strong commitment to sustainability and reducing carbon emissions. By implementing favorable policies, feed-in tariffs, and renewable energy auctions, the government has created a conducive environment for investors and developers. Increasing awareness of climate change and the benefits of renewable energy also drives consumer demand. This surge in investments and consumer interest has led to a significant expansion in the renewable energy sector, including wind, solar, and hydro projects, positioning South Africa as a key player in the global transition towards clean and sustainable energy sources.

Restraints

Regulatory Hurdles

In the dynamic landscape of renewable energy in South Africa, regulatory constraints pose significant challenges. Despite substantial potential for growth and investments, cumbersome bureaucratic procedures, fluctuating policies, and uncertain tariff structures deter investors and hamper market expansion. The slow pace of grid integration and limited incentives for renewable energy adoption hinder its widespread penetration. Addressing these restraints is crucial to unlocking the full potential of the country's renewable energy market and achieving sustainable development goals while ensuring a reliable and clean energy future for South Africa.

Impact of COVID-19 on South Africa Renewable Energy Market

The COVID-19 pandemic significantly impacted South Africa's renewable energy sector, causing disruptions and hindering its growth. Lockdown measures and supply chain disruptions led to delays in project developments and commissioning, affecting the overall capacity addition. Reduced energy demand during the pandemic also led to financial strains on renewable energy companies. Despite these challenges, the government's commitment to sustainability and the gradual economic recovery have allowed the market to persevere. As the world emerges from the crisis, stakeholders are cautiously optimistic about the sector's potential, with a renewed focus on clean energy solutions for a more resilient future.

South Africa Renewable Energy Market

Segmental Coverage

South Africa Renewable Energy Market – By Type

Based on type, South Africa renewable energy market is bifurcated into Wind, Solar, and Hydropower segments. The solar segment is the largest type in the South Africa renewable energy market. It is one of the key components of the market, alongside Wind and Hydropower segments. Solar energy has witnessed significant growth and adoption due to its abundant availability and favorable climate conditions in the country. With increasing investments and government support, the solar segment has emerged as a dominant force, contributing substantially to the nation's renewable energy goals and sustainable development efforts.

South Africa Renewable Energy Market – By End User

By end user, South Africa renewable energy market is divided into Industrial, Commercial, and Residential segments. Industrial is the largest end-user segment in the South Africa renewable energy market. It encompasses large-scale renewable energy projects that cater to the energy needs of industries and manufacturing units. The industrial segment is driven by the increasing demand for sustainable and eco-friendly energy solutions, promoting energy efficiency and reducing carbon emissions. The government's support and incentives for renewable projects also play a significant role in its growth. While the Commercial and Residential segments are also essential contributors, the Industrial sector remains the primary focus for the country's renewable energy transformation.

Competitive Landscape

Major players in the South Africa renewable energy market include Mainstream Renewable Power Ltd, Segen Solar (Pty) Ltd, EDF Renewables, Juwi Renewable Energies (Pty) Ltd, Acciona Energia SA, Amazon, and Tronox Holdings. To grow their market share, these companies are also focusing on investing in innovations, collaborations, and expansions.

Scope of the Report

By Type

• Wind

• Solar

• Hydropower

By End User

• Industrial

• Commercial

• Residential

1. Research Framework
   1. Research Objective
   2. Product Overview
   3. Market Segmentation
2. Executive Summary
3.  South Africa Renewable Energy Market Insights
   1. Industry Value Chain Analysis
   2. DROC Analysis
      1. Growth Drivers
         1. Supporting Government Policies
         2. Country's Innovation And Advances In Renewable Energy
      2. Restraints
         1. Dependence On Coal For Power Generation
         2. High Cost Of Renewable Energy Technologies
      3. Opportunities
         1. Untapped Offshore Renewable Energy Potential
         2. Country's Geographic Location
      4. Challenges
         1. High Initial Cost Of Investment
         2. The Energy Innovation System
   3. Technological Advancements/Recent Developments
   4. Regulatory Framework
   5. Porter’s Five Forces Analysis
      1. Bargaining Power of Suppliers
      2. Bargaining Power of Buyers
      3. Threat of New Entrants
      4. Threat of Substitutes
      5. Intensity of Rivalry
4.  South Africa Renewable Energy Market Overview
   1. Market Size & Forecast, 2019–2029
      1. By Value (Megawatt)
   2. Market Share and Forecast
      1. By Type
         1. Wind
         2. Solar
         3. Hydropower
         4. Others
      2. By End User
         1. Industrial
         2. Commercial
         3. Residential
5. Competitive Landscape
   1. List of Key Players and Their Offerings
   2. South Africa Renewable Energy Market Share Analysis, 2022
   3. Competitive Benchmarking, By Operating Parameters
   4. Key Strategic Developments (Mergers, Acquisitions, Partnerships, etc.)
6. Impact of Covid-19 on South Africa Renewable Energy Market
7. Company Profile (Company Overview, Financial Matrix, Competitive Landscape, Key Personnel, Key Competitors, Contact Address, Strategic Outlook, SWOT Analysis)
   1. Mainstream Renewable Power Ltd
   2. Segen Solar (Pty) Ltd
   3. EDF Renewables
   4. Juwi Renewable Energies (Pty) Ltd
   5. Acciona Energia SA.
   6. Amazon
   7. Tronox Holdings
   8. Other Prominent Players
8. Key Strategic Recommendations
9. Research Methodology
   1.  Qualitative Research
      1.  Primary & Secondary Research
   2.  Quantitative Research
   3.  Market Breakdown & Data Triangulation
      1.  Secondary Research
      2.  Primary Research
   4.  Breakdown of Primary Research Respondents, By Region
   5.  Assumptions & Limitations

*Financial information of non-listed companies can be provided as per availability.

**The segmentation and the companies are subject to modifications based on in-depth secondary research for the final deliverable

List of Figures

Figure 1       South Africa Renewable Energy Segmentation

Figure 2       South Africa Renewable Energy Market Value Chain Analysis

Figure 3       Company Market Share Analysis, 2021

Figure 4       South Africa Renewable Energy Market Size, By Value (Megawatt), 2019–2029

Figure 5       South Africa Renewable Energy Market Share, By Type, By Value, 2019–2029

Figure 6       South Africa Renewable Energy Market Share, By End User, By Value, 2019–2029

List of Tables

Table 1 South Africa Renewable Energy Market Size, By Value (Megawatt), 2019–2029

Table 2 South Africa Renewable Energy Market Share, By Type, By Value, 2019–2029

Table 3 South Africa Renewable Energy Market Share, By End User, By Value, 2019–2029

Table 4 Mainstream Renewable Power Ltd Company Overview

Table 5 Mainstream Renewable Power Ltd Financial Overview

Table 6 Segen Solar (Pty) Ltd Company Overview

Table 7 Segen Solar (Pty) Ltd Financial Overview

Table 8 EDF Renewables Company Overview

Table 9 EDF Renewables Financial Overview

Table 10      Juwi Renewable Energies (Pty) Ltd Company Overview

Table 11      Juwi Renewable Energies (Pty) Ltd Financial Overview

Table 12      Acciona Energia SA.Company Overview

Table 13      Acciona Energia SA.Financial Overview

Table 14      Amazon Company Overview

Table 15      Amazon Financial Overview

Table 16      Tronox Holdings Company Overview

Table 17      Tronox Holdings Financial Overview