Reneable Energy Outlook in South Africa

The renewable energy market in South Africa is projected to grow significantly over the next decade. By 2024, South Africa's renewable energy capacity is estimated to be around 16.58 gigawatts (GW) and is expected to reach 28 GW by 2029, growing at a compound annual growth rate (CAGR) of 11.05%.

By 2030, the country is set to surpass 32 GW of installed renewable energy capacity, driven by both private and public procurement.

Key factors driving this growth include government policies promoting renewable energy, the increasing shift away from coal, and investments in solar and wind energy projects. Solar energy plays a dominant role, as South Africa benefits from some of the highest solar radiation levels in the world. In 2024, the solar sector is expected to see a significant expansion with new installations, especially large-scale projects.

In addition, there are considerable investment opportunities in energy storage, energy efficiency, and small-scale renewable solutions, such as rooftop solar PV. With legislative changes and a strong push for private procurement, the renewable energy sector is set to play a key role in South Africa's energy transition.