South Africa's solar power market is expected to grow significantly in 2025, driven by government support, renewable energy demand, and abundant sunshine.

Electricity generation 
In 2025, South Africa's solar energy market is projected to generate 8.98 billion kilowatt-hours of electricity.
The annual growth rate is expected to be 7.36% from 2025 to 2029.
Installed capacity 
The installed base of solar energy in South Africa is expected to grow from 7.39 gigawatts in 2025 to 12.20 gigawatts by 2030.
Investment 
The solar energy sector is attracting significant international investment.
The COP26 climate summit pledged USD 8.5 billion to help South Africa transition away from coal.
Government support 
The government is supporting the solar energy sector through programs like expanding PV-related personal income tax benefits.
The government is also reforming the energy bounce-back scheme to help middle-income households.
Technology 
Innovations in solar PV technology are making solar energy more cost-effective and efficient.
Transmission infrastructure 
South Africa is building more transmission infrastructure, but more needs to be done.

Northern Cape town Orania is supplying nearly half of its electricity demand with its own solar power generation and battery storage.

Riaan Jacobs, the head of Orania’s electricity utility, Orasol, told MyBroadband that the town has almost 1.4 megawatt (MW) of ground-mounted solar panel capacity.

Commercial properties and homes add at least another 600kW of rooftop solar generation, although this number is likely to be higher, Jacobs said.

Orania’s residents and businesses can also benefit from a feed-in tariff of R1.92 for their excess electricity — among the best rates in the country.

These tariffs can be used as a credit towards any electricity-related charges, including fixed fees.

Orania has also invested heavily into avoiding load-shedding.

One of the most recent upgrades to Orania’s electricity supply is a 4.8 megawatt-hour (MWh) battery energy storage system (BESS), which became fully operational in August 2024.

With 4.3MWh of useable capacity, the BESS alone can supply the town’s peak demand of roughly 1.9MW for at least two hours.

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Rooftop wind power has been a goal for micro power generators around the world for many years now. There’s no shortage of design ideas, but now there’s a new kid on the block that has no visible moving parts, makes no noise, and generates 50% more power than standard solar PV panels. So how do they do that?
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South Africa is freezing a plan to obtain more electricity from nuclear sources to allow it to include additional public participation in a move to boost transparency, the nation’s electricity minister said.

The government withdrew a determination published in January that started a process to procure 2,500 megawatts of nuclear-power generation after civil-society groups objected to an approval by the regulator that failed to include public hearings, Electricity and Energy Minister Kgosientsho Ramokgopa said at a briefing Friday.

“We carry the responsibility of ensuring that this process that we’re undertaking is subject to the highest levels of public scrutiny,” he said.

“The last thing we want is to do a major build program on the back of suspicion that the department and government is hiding something from the public.”

Atomic power formed the basis of a scandal in South Africa almost a decade ago, when the nation neared a deal with Russia to build 9,600 megawatts of nuclear capacity, a plan publicly backed by former President Jacob Zuma.

Former Finance Minister Nhlanhla Nene explained to a judicial probe in 2018 that he refused to sign the deal despite pressure from the ex-leader.

More recently, state-owned Eskom’s Koeberg nuclear station faced environmental groups against a 20-year extension of its license.

The regulator approved one of the units while another awaits a decision. Losing the process would potentially shut generation capacity that the utility needs to meet demand and continue to avoid controlled blackouts that plagued the economy for years.​

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President Cyril Ramaphosa emphasized South Africa’s commitment to a “renewable energy revolution” during his Opening of Parliament Address (OPA) at Cape Town City Hall. He underscored the transformative potential of renewable energy in driving economic growth and job creation over the next decade and beyond.

South Africa’s favorable climate allows for substantial energy production from solar and wind sources. Additionally, the country possesses valuable rare earth minerals essential for renewable energy technologies.

“As we undertake a just transition towards renewable energy, South Africa must create a green manufacturing sector centered on the export of green hydrogen and associated products, electric vehicles, and renewable energy components,” President Ramaphosa stated.

He highlighted the Northern Cape’s success in attracting billions of Rands in renewable energy investments, illustrating the country’s ongoing energy transformation. The President pointed out that South Africa has opened opportunities for renewable energy-independent power producers to strengthen the grid and create employment.
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Energy Partners, in collaboration with Fairvest, has completed the Metalbox skyscraper solar project in Auckland Park, Johannesburg, featuring building-integrated photovoltaics (BIPV) that generate up to 300MWh annually, making it South Africa’s first solar facade skyscraper.

“The Metalbox skyscraper project is history in the making,” says Energy Partners’ CEO, Manie de Waal. “We’ve seen similar projects succeed worldwide. But it required both a visionary client and a committed team to set a new benchmark for South Africa’s green energy transition.”

Fairvest’s chief operating officer, Riaz Kader, adds: “Metalbox is an energy-hungry property. This solar installation marks our innovative, solutions-driven approach towards renewable energy solutions and the investment is in line with our ESG and strategic objectives. We are committed to investing in sustainable energy and water infrastructure to de-risk our portfolio by providing a degree of energy and water independence while lowering the cost of electricity for our company and tenants.”

Metalbox, standing 80m tall and with just under 15 000 square metres of gross leasable area, is one of the largest commercial office properties in Fairvest’s portfolio.

The project incorporates two solar systems: Monocrystalline panels on the building’s sides provide energy efficiency and aesthetic appeal, performing well even in low-light conditions; while the roof features carport-type panels, optimising sunlight exposure while offering weatherproofing to services located on the roof.

Charl du Plessis, GM of Energy Partners, Power, says: “Both systems utilise BIPV technology which we’ve seen integrated into several iconic buildings around the world including Japan’s Solar Ark and Denmark’s Copenhagen International School.

“This technology performs the incredible task of transforming conventional building parts into solar systems, enhancing functionality, aesthetics and, ultimately, improved return on investment. For us to be able to successfully complete such a project in South Africa is a game-changer.”

The business case for solar, says Du Plessis, has three main drivers – cost, generation potential, and alternative cost of electricity.

“With the ever-increasing cost of grid electricity, a tipping-point has been reached where even capex-intensive projects with lower generation potential are feasible.”

That’s not to say that the project was without its challenges.

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Eskom will ask SA’s energy regulator for an electricity tariff increase of 36.15% in 2025 for customers it directly charges and supplies. Customers relying on electricity supply from local authorities (municipalities) could also be slapped with an increase of 43.55%.

Eskom plans to apply for an increase of up to 44% in the electricity tariffs it charges customers, and if the power utility has its way, the increase could be implemented as early as April 2025.

Daily Maverick has seen a confidential draft document by Eskom detailing increases in electricity tariffs for its financial years from 2026 up to 2028 that it plans to submit to the National Energy Regulator of South Africa (Nersa). The document, dated May 2024, also details the revenue Eskom wishes to generate from the tariff increases.

The draft document is the first of many steps that Eskom is required to follow in Nersa’s revenue application process, which, after a lengthy public comment and hearing process, will determine the average price of electricity to consumers.

In the draft document, Eskom wants to ask Nersa for an increase in the standard tariff it charges non-municipal customers of 36.15% during its financial year 2026; 11.81% in 2027 and 9.10% in 2028. These are customers directly charged by Eskom and supplied with electricity by the power utility. 

If approved by Nersa, the first increase would be implemented from 1 April 2025.  

Customers relying on electricity supply from local authorities (municipalities) would also be hit hard as Eskom is considering increases of 43.55% in 2026; 3.36% in 2027 and 11.07% in 2028, with the first increase set to be implemented on 1 July 2025.

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