SA's Renewable Energy Future Hinges on Stronger Industry-Government Synergy

Govender praised South Africa’s energy policies as among the most robust and inclusive globally.

The future of South Africa’s energy transition—and its ability to decarbonise, secure supply, and end persistent load shedding—rests heavily on deepened collaboration between government and the renewable energy sector, according to Niveshen Govender, Chief Executive Officer of the South African Wind Energy Association (SAWEA). Speaking during a panel discussion at the sidelines of the third G20 Energy Transitions Working Group (ETWG) meeting in the North West, Govender outlined both the progress made and the pressing implementation challenges that still need to be resolved.

Policy Foundations Are Strong, But Implementation Lags

Govender praised South Africa’s energy policies as among the most robust and inclusive globally.

“We have very good policies in South Africa, top-tier policies. They give good direction and guidance. It takes everything into consideration—access to energy, affordability, sustainability, and equity,” he noted.

However, the biggest hurdle lies in policy implementation. According to Govender, strong policies alone do not translate into real-world outcomes unless backed by meaningful engagement with investors and industry players.

“If you are not engaging industries, your readiness is going to be impacted. You have to understand what the investor needs to make policy a reality,” he said.

The lack of alignment on implementation has created delays and uncertainties, particularly in permitting processes, project timelines, and regulatory clarity, which could deter private investment.

Signs of Progress: A More Enabling Environment

Despite the gaps, Govender acknowledged that important strides have been made toward creating a more investment-friendly and enabling environment. He singled out the establishment of the Energy One Stop Shop as a vital step forward, providing a single access point for all permitting processes, thereby cutting red tape and fast-tracking project approvals.

He also commended Electricity Minister Dr Kgosientsho Ramokgopa for his hands-on leadership in removing systemic blockages.

“The Minister is very active in unblocking challenges. We’ve seen the readiness of the government to open the market and allow business to come in, invest, and implement projects—on time, on budget, and as quickly as possible,” Govender said.

This governmental push has allowed a growing number of Independent Power Producers (IPPs) to establish a foothold, signaling the shift from a historically monopolized electricity sector to a more open and diversified energy landscape.

Evolution of the Energy Market: From Monopoly to Liberalisation

Govender described the trajectory of South Africa’s energy sector as an “evolution,” transitioning from a state-dominated model to a more liberalised market. This transformation has occurred in three main phases:

1. Public Procurement of Renewable Energy – Initially through Eskom and government-driven bid windows under the Renewable Energy Independent Power Producer Procurement Programme (REIPPPP).

2. Private Power Agreements (PPAs) – Companies and IPPs are increasingly entering into bilateral deals with large-scale energy consumers, bypassing traditional state channels.

3. Towards a Liberalised Market – South Africa is now embracing the emergence of electricity traders and aggregators, who are adding flexibility and competitiveness to energy procurement and supply.

“We’re even moving one step further into a liberalised energy market where you have traders and aggregators playing a role. It’s changing how we do business. It’s changing how we look at the landscape and energy planning,” Govender explained.

This evolution opens the door for greater efficiency, price competition, and innovation, while also ensuring the grid remains adaptive to changing energy demands.

Common Goals Between Government and Industry

Despite occasional friction, Govender emphasized that both government and the renewable energy sector are aligned on the core objectives:

• Universal access to energy

• Affordability for all consumers

• Energy security to eliminate load shedding

• Long-term sustainability through decarbonisation

Minister Ramokgopa has also consistently reaffirmed the central role of renewable energy in South Africa’s energy mix, underlining its importance in reducing carbon emissions and meeting the country’s international climate commitments.

“The Minister very succinctly articulated the importance of renewable energy being central to the decarbonisation of our energy mix,” Govender noted.

Accelerating the Energy Transition Through Partnership

To unlock the full potential of South Africa’s energy transition, Govender urged stronger, more structured collaboration between public and private stakeholders. He warned that failure to resolve implementation bottlenecks could risk delaying crucial investments and perpetuating the cycle of power shortages.

“This is not just about adding more electrons to the grid. It’s about building an energy system that is resilient, inclusive, and capable of powering the economy of tomorrow,” he concluded.

As South Africa moves deeper into a transformative phase of its energy system, the stakes have never been higher. With the right partnerships, coherent policy implementation, and continued political will, the country could become a regional leader in renewable energy, driving sustainable growth and ending its dependency on fossil fuels.