By:Mybroband

Despite fears that the end of load-shedding could spell the end of South Africa’s solar boom, the solar industry remains strong, with businesses viewing alternative energy as a smart, long-term investment.

FNB’s head of sustainability, Kyle Durham, explained that when load-shedding was halted in the second quarter of 2024, South Africans enjoyed an uninterrupted power supply for more than 10 months.

“Apart from a brief resumption of electricity cuts in late January and February 2025, this has been a welcome respite for South African businesses,” he said.

“Although there is no guarantee that unanticipated issues won’t reinstate widespread load-shedding, South Africans are actively making the most of dependable power.”

Rhino Energy Group CEO Rogan Davies explained that the end of load-shedding is positive for the industry and for consumers.

“You might think that an end to load-shedding would spell trouble for solar-energy providers. In fact, it is a welcome driver of industry maturity,” he said.

“Solar comes into its own when its use is not necessarily tied to batteries, which were required to allow it to safeguard against interruptions to grid power. Solar is also a long-term investment, and as such, its maintenance and support is a crucial aspect of its value.”

“Consolidation in the market, which became somewhat fragmented with the influx of recent entrants as load-shedding peaked, will result in more experienced, trustworthy, and expert providers once again taking the lead, which is good for the market and good for businesses.”

ACES Africa MD Anré Gous echoed Davies’ sentiment.

“In the past, with load-shedding, energy solutions were something of a grudge purchase. With the rising cost of electricity and the continued reduction in the cost of self-generation, that mindset is changing,” Gous said.

He explained that self-generation is no longer simply an insurance policy — it’s an investment opportunity with a strong business case.

“There’s a compelling argument for self-generation even if we never again experience another day of load-shedding, and that’s before you begin to factor in the improved energy quality and the sustainability impact,” Gous said.

“If a solution is tailored correctly, there is every chance that you will cover the cost of your investment in three to five years and that you will have secured another 10 to 15 years of free electricity thereafter.”

The solar boom extends far beyond South Africa, with China leading the charge globally — commissioning as much solar PV in 2022 as the rest of the world combined.

At the same time, solar PV module prices have dropped nearly 50% year-on-year, while manufacturing capacity has tripled since 2021.

This rapid expansion has made solar more cost-effective, with approximately 96% of newly installed utility-scale solar PV generating electricity at a lower cost than new coal and natural gas plants.

As a result, the world added 447 GW of new solar capacity in 2023, an 87% increase from the previous year.

The rapid global rise of solar is taking place despite reliable grid electricity, and investment in solar has outpaced all other generation technologies, showing there is huge potential for the continued growth of renewable energy in South Africa.

Statistics from the Centre for Renewable and Sustainable Energy Studies (CRSES) show that the majority of South Africa’s electrical energy in 2023/24 was generated from coal — 82.8% of total system demand — with renewable energy providing 8.8%.

Statistics from the Centre for Renewable and Sustainable Energy Studies (CRSES) show that the majority of South Africa’s electrical energy in 2023/24 was generated from coal — 82.8% of total system demand — with renewable energy providing 8.8%.

“Whether or not solar makes sense for your business might depend more on the cost of energy and your specific needs than on whether load-shedding returns,” Durham added.

“The most beneficial step you can take is to speak to partners with the right knowledge and experience required to ensure that your chosen solution addresses your unique business requirements.”