The solar systems South Africa has begun to employ both in residential and commercial set ups in recent years has developed dramatically. This new reliance on solar and other renewable energy sources can be attributed to several economic, social and political factors.  Of these numerous influences, the failing national power grid leading to continual planned electricity outages (load shedding) has been a major drive for both business owners and private residents to install solar systems as a viable alternative to relying on traditional power. 

Industrial and Commercial Solar Solutions in South Africa

The multitude of solar systems South Africa now houses has proved to have a positive impact on the South African energy landscape. As a leading contributor in the space, it is a fact that we at Alumo Energy are proud to share. Not only has it lessened the output load on an out-of-date national power grid, but it has had a major impact in providing energy to rural communities in South Africa, as well as proved to benefit the unique South African natural environment. However, how has solar power impacted South Africa’s commercial sectors? 

That is a question that we wish to provide brief insight into here. In this piece we will focus on the interaction of solar systems South Africa has installed and the country’s commercial and industrial sector. We will begin by discussing some of the major benefits solar power can have for commercial industries, after which we will turn our attention to the current condition of solar power in South Africa’s commercial sector, and discuss some of the obstacles for solar power in South Africa that still currently exist.  

Benefits Of Solar Power For Commercial Industries 

Before discussing the solar systems South Africa is increasingly relying on – not only in the private sector but more and more in commercial sectors as well, we should first discuss what the draw of solar power is. Why, in recent years, have countries driven solar power initiatives? 

In order to answer this question, in this section we want to focus our attention on the multiple benefits a solar system can offer commercial industries. These benefits are not only South African specific, but rather speak to the broader appeal of solar energy for large enterprises and companies around the world.

 We believe that the use of solar systems can have the following benefits for the commercial industries as a whole. (Please Note: For the purpose of this article commercial industries refer to any industry that is focused on producing goods for a widespread community base)

• Government Incentives And Tax Breaks: For most companies the goal is maximise profits and, by making use of solar energy, companies can be rewarded by national government led incentives, either in the form of financial support or tax breaks. This can have a major impact on a commercial company’s bottom line.
• Energy Independence And Energy Price Stability: Although it may sound self-evident, when commercial companies invest in being able to produce their own energy, they no longer have to rely on third party energy providers, like Eskom. Although the upfront cost may be expensive, this will lead to cost savings over time. These savings are compounded by the ever-increasing price of fossil fuel driven energy, which is a factor that companies can avoid through the use of solar power – as they will not have to worry about increased energy costs.

• Brand Image: Did you know that, for many large enterprises, marketing can be one of their most expensive costs. That is why companies look to market themselves whenever possible. Investing in a sustainable energy solution that is good for the natural environment, is great for a company’s social image, and also contributes to their CSI (corporate social investment). Therefore, by utilising solar power correctly, companies are offered the opportunity to market themselves in a socially responsible way. 

Solar Systems South Africa: The Current Condition Of Solar Energy 

Now that we understand a few of the largest benefits solar systems can offer any commercial industry world-wide we must now turn our attention towards solar systems South Africa houses. Here we want to investigate whether the current condition of solar power in the country is able to support large scale industrial and commercial activity. 

Alumo Energy is proud to have been a major contributor and leading installer of solar systems, South Africa wide. We have been able to install systems in both residential and commercial set-ups. Furthermore, it has also been our mission to drive home the importance of solar power, through education in resources like this article. We hope that we can encourage significant decision makers country wide to consider more investment in renewable energy.

For all the work we have done in the space, we also understand that for commercial industries to realistically use solar power to perform the manufacturing process on the scale they do well on traditional energy, simple solar systems South Africa and Alumo Energy are so popular for is not enough. In fact, you would need major solar power stations and solar power infrastructure to support industries of a similar size. 

The question here then is: Does South Africa currently have any form of solar infrastructure that could support a large commercial and industrial sector? Positively, we as a country are heading in the right direction. Although we may not yet be at a level comparable to traditional fossil fuel, we are rapidly approaching that standard. Here are some important statistics to support the solar revolution in South Africa:

Current Picture Of South African Solar Infrastructure: 

It is important to note here that the below facts provided are sourced from an investigation into the space in 2021 by Solar Installers South Africa. 

The report evaluated the largest solar power stations in South Africa, the report revealed the following critical information:

• The list provided has forty-six solar power stations on it. With the oldest station, SlimSun Swartland Solar Park opened in 2013 and the three newest stations all opened in 2020, which included Droogfontein 2 Solar, Konkoonsies II Solar Facility and Aggeneys Solar Project.
• Interestingly although the list does show that these solar power stations are distributed amongst six of the nine national provinces, the solar stations are not equally distributed. From the information provided, the Northern Cape is the largest beneficiary of solar power:
  • The top three largest solar power stations (Kathu Solar Park, Jasper Solar Energy Project and Mulilo-Sonnedix-Prieska) are all found in the Northern Cape. Together they have an energy capacity of just under 300 MWAC.
  • The biggest Western Cape solar station is ranked number four with Paleisheuwel Solar Park and has a capacity of 82.5 MWAC. 
  • The other provinces that also have solar power stations on the list include Eastern Cape, North West Province, Free State and Limpopo.
• From the list it is also clear that there is great variety in the companies and developers funding these solar power projects. However, some of the most prominent developers according to the list include Scafec Solar, Solar Capital, ACED and SolarReserve.
• Finally, it is also important to note that although the list does not mention the annual output of every one of the forty-six stations, it does include this value for the majority of them (twenty-eight of the forty-six). From this information, these twenty-eight stations produce approximately 3172 GWh annually. With the largest station, Kathu Solar Park producing a whopping 390 GWh annually.

From these few statistics it is clear to see that over the last ten years South Africa has dramatically increased their solar power infrastructure. Many of the statistics provided above provide a positive image for South Africa’s sustainable energy future moving forward. Furthermore, it is also clear from this information, that not all provinces in South Africa can fully support commercial industry yet, however the Northern and Western Cape, can surely provide that support already, and hopefully encourage other provinces to follow in their footsteps in the near future.

Obstacles For South African Solar Systems 

Above we sought to evaluate the South African solar energy infrastructure. As mentioned in the closing paragraph of the above section, from the information we should generally be positive about the steps South Africa’s commercial and industrial sectors have taken in investing in solar power stations. Furthermore, as it currently stands the North and West Cape could actually support large scale commercial efforts already. 

However, although most of the signs are indeed positive, it is also critical here to be aware of the many obstacles that still plague South Africa, from further investing in solar systems South Africa could house. An interesting factor to consider while reviewing these obstacles is that many of the issues listed are not exclusive to commercial solar power but can also be seen as issues for private solar systems South Africa and its people may experience. 

Currently some of the largest obstacles include but are not limited to:

• Upfront Costs: Whether it is for residential or commercial use, the cost of solar systems is not cheap. It is true that the price has surely come down in recent years, however they are still very expensive. Because major manufacturing companies need large amounts of energy to run their numerous factor machines, they can’t simply hire Alumo Energy to install a regular size system. These companies would have to invest in extensive units to power their businesses.
• Grid Reliability And Stability: Even if large commercial and industrial companies are excited about solar energy, it may be difficult to have solar systems installed that could properly integrate with South Africa’s current national grid. At Alumo Energy we encourage the use of hybrid systems that are connected to the national grid, and although this is doable with residential systems, this may not be a viable option for larger commercial systems due to the stability of the South African grid. This would mean that many commercial businesses may need to choose between one or the other.
• Land Limitations: Many of the solar stations listed in the previous section are incredibly land intensive. The Kathu Solar Park for instance takes up 800 hectares of land. Therefore, for major urban industrial complexes who would need large solar stations to support their energy needs, there is simply not enough space for both the solar stations and the industrial and commercial factories.

Conclusion: Alumo Energy Promotes A Brighter Future

We hope that the information above has provided you with a better insight into the current condition of South Africa’s solar power infrastructure and what it means for the industrial and commercial sector. As we have already mentioned, we at Alumo Energy are passionate about educating South Africans on solar power and solar systems, from the residential to the commercial level. 

We may not be able to supply solar stations on the level discussed in this article, but we have a good track record of installing solar systems South Africa and its residents can be proud of. So, if you are interested in solar power as a sustainable alternative, and want to learn more about what we can offer and what solar systems we can install for you, don’t hesitate to visit our website and go solar today!