[South Africa] Renewable energy announcement expected this week - Minister Mahlobo

An announcement on renewable energy projects will be made this week, according to Energy Minister, David Mahlobo, following a number of delays in signing independent power producer (IPP) deals.

Speaking to a group of private sector energy developers on Friday, he reiterated the importance of the right mix of energy sources and that South Africa’s implementation model needs to take into account pace, scale and affordability. “We must stimulate growth to take the IPP programme forward. We have looked at issues like greater participation by South Africans, women and youth and we need to see bigger socio-economic impacts for the communities around renewable energy plants. While drawing on international experience is important, technology localisation is key.” he said.

The event was sponsored by JSE-listed Hulisani Limited (HUL), an investment holding company focused on energy opportunities.

Hulisani CEO, Marubini Raphulu, said that the level and openness of engagement with industry was encouraging. “IPP projects are important to unlock greater inclusion, as well as opportunities for black industrialists, women and youth.  Energy is not only central to any functioning economy, it is also a catalyst for development and progress,” he said.

Minister Mahlobo reiterated the importance of South Africa’s energy mix. “The fundamentals of the draft IRP 2016 to 2030 are not changing, we review them every so often to keep up with the latest energy developments. As a country, we need to balance the importance of foreign direct investment while creating enabling conditions. But we can’t shy away from our national interest. There is often a premium for transformation, but it needs to happen.”

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