Page 5 - AfrElec Week 12 2023

AfrElec COMMENTARY AfrElec

first introduced at COP17 in 2011, was devel- prioritise projects that contribute to socio-eco-
oped by the South African government to pro- nomic development, promote job creation and
mote renewable energy projects, including wind support local manufacturing and content. This
energy, through private investment. However, could be beneficial for wind energy projects, as
energy analysts noted a distinct lack of progress they have the potential to create jobs and support
when it came to wind energy generation. local supply chains in areas with strong wind
In Bid Window 5 (BW5) launched in 2021 resources.
as part of the REIPPPP, no Independent Power In March 2023, the South African Wind
Producer (IPP) wind projects were selected. Energy Association (SAWEA) launched a cam-
Several factors may have contributed to this out- paign to highlight the role that the industry plays
come, analysts believe. as an employer. SAWEA believes that whilst
One of the main factors was likely the com- there is general awareness around the wind sec-
petitive pricing of other renewable energy tor’s successful delivery of clean power to the
technologies, particularly solar photovoltaic grid, few are aware of the employment impact,
(PV) projects. Solar PV prices have dropped both directly and indirectly.
significantly in recent years, making them more Beyond construction, labour and technical
cost-competitive than wind projects in some capabilities, skills required in the wind sector
cases. include a vast number of supportive roles such
Another possible factor was the availability of as legal and financial services, social scientists,
grid capacity. South Africa’s electricity grid has environmental and climate scientists. The ongoing
been under strain in recent years, and there may “We are launching the campaign, ‘I Work In benefits of
not have been sufficient grid capacity available to Wind’ to showcase people across this industry
accommodate additional wind projects in some who are already employed to tell their personal accelerated
areas. stories, really inspiring the next generation of
Lastly, there may have been other regulatory wind energy professionals and encouraging wind project
or administrative factors that affected the out- more participation in the sector” explained
come of the bid. The REIPPPP has faced some Niveshen Govender, CEO of SAWEA. deployment,
criticism for delays and uncertainty in the past, Late last year, the Department of Mineral include greater
and this may have influenced the number and Resources and Energy Minister, Gwede Man-
quality of bids received for BW5. tashe, highlighted wind as deliverer of jobs when economic growth,
It is important to note that this outcome he reported that the 32 publicly procured wind
does not necessarily indicate a lack of interest or energy projects have already created over 32 000 job creation,
potential for wind energy in South Africa. Wind job opportunities for the country. improved energy
energy remains a key component of the country’s The wind industry, however, says that this is
renewable energy mix, and there are many suc- vastly underestimated and reported, as it only security and
cessful wind projects already in operation across considers the direct jobs and not the thousands
the country. more created in supporting sectors. resilience.
“Our industry does not only support engi-
Positive outlook neers and technical specialists that can work
The prospects for wind energy generation pro- within the development, construction and the
jects under REIPPPP’s Bid Window 6 (BW6) operations of wind projects. We estimate that

launched in April 2022 look more promising. a significant portion of jobs are realised in ser-
The Department of Mineral Resources and vices, academic and other supportive roles like
Energy (DMRE) has indicated that the bid win- social workers, climate scientists and of course
dow attracted strong interest from investors. SMME’s that rely on the wind industry to keep
The DMRE has also stated that BW6 will their doors open,” added Govender. ™

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