To achieve the targets set out in its Sustainable Energy Strategy (SES), the Western Cape requires an investment of R8.8 billion. The strategy is comprehensive in its analysis, targeting renewable energy developments, energy efficiency and reducing carbon emissions across the board. The province aims to achieve 15% of electricity generation through renewable sources, 15% overall energy efficiency and reduce carbon emissions by 10%, all by 2014.
As part of the strategy, Wesgro will play a pivotal role in attracting developers of renewable energy projects to the Western Cape and facilitating the establishment of their projects. To date, the agency has been involved with several local and international developers and is confident that with the future establishment of the renewable energy act and clear processes for investors, we will contribute significantly in achieving these targets.
Background Information:
The power outages last winter have sparked considerable interest among developers of renewable energy projects. This is extremely positive as it creates an impetus among policy makers to create an enabling environment for these developments which will not only result in investment, but will create employment, transfer technology, diversify our energy mix, increase energy security and mitigate climate change. However, this approach is overshadowed by the implication that our efforts to implement renewable energy may last only as long as there is an energy crisis.
Eskom forecasted peak electricity demand for 1 June 2007 at 36 306MW and expected total system capacity at that point to be 38 368MW. The aggressive Demand Side Management Programme coupled to the 12 000MW of new generation projects that have been approved by the board of Eskom Holdings will see the reserve margin increase beyond the current 8-10%. Eskom has a further 18 000MW of generation projects at feasibility stage and a further 22 000MW at pre-feasibility stage. This could imply that the impetus to implement renewable energy may diminish in the future.
The Western Cape's SES is a counter to the above scenario and is a step towards establishing the province as South Africa's leading region in terms of developing an environmental economy.
Please contact Wesgro for further information:
