The world is conquering clean energy. Africa is no exception. Growing demand for these energy sources is driving market growth in countries such as South Africa. Efforts are being made to reduce dependence on coal-fired power stations. The size of the South African solar energy market is estimated at 6.68 gigawatts in 2024 and is expected to reach 11.03 gigawatts by 2029, with growth of 10.56% over the forecast period 2024-2029. According to the South Africa Solar market, the expansion of the domestic solar manufacturing industry will create lucrative growth opportunities for the South African solar energy market over the forecast period.
South Africa enjoys over 2,500 hours of sunshine a year. The country has an average annual solar radiation of around 220 W/m2. Thanks to these climatic conditions, the rainbow nation is one of the main starting points for the development of the solar energy market in the Middle East and African region. In December 2022, solar energy provider Solana Energy announced that the country is experiencing a boom in residential solar installations. Households are importing solar photovoltaic (PV) panels worth over $120.648 million. According to the South African Photovoltaic Industry Association (Sapvia), once this capacity is installed, it will over a decade exceed what the government has been able to acquire in solar power.
In 2022, South Africa has launched a 300 MW renewable energy program. As part of this program, the government has launched a call for tenders to acquire up to 300 MW of renewable energy capacity. The first round consists of acquiring projects from independent power producers with capacities ranging from 5 MW to 20 MW. The second phase of the program involves a call for tenders for projects over 20 MW.
250 billion to transform the renewable energy system
The South African government has set up a renewable energy procurement program for independent power producers. Since its inception, over 6,000 MW of renewable energy projects have been allocated to bidders, mainly in wind and solar power, strategic sectors in which the state is investing. By 2022, total installed solar photovoltaic capacity was around 5826 MW. According to a report by the Blended Finance Taskforce and the Centre for Sustainability Transitions at Stellenbosch University, South Africa will need $250 billion over the next three decades to transform its renewable energy system, which represents around 3% of its annual Gross Domestic Product (GDP).
Morocco, a giant solar power producer
The Noor Midelt project, whose first construction phase has been awarded to a consortium led by the French group EDF Renouvelables. Described by Masen as “the world’s largest multi-technology solar complex”, this mega-project combines 600 MW of Concentrating Solar Power (CSP) and 1,000 MW of photovoltaics. For a total of 1,600 megawatts. To make the country a major supplier of solar energy, a project costing a total of $9 billion has been financed by a dozen international institutions. Morocco’s ambition is not only to meet its own energy needs, but also to become a major supplier of solar energy to Europe and Africa.
The Noor Ouarzazate complex, south-east of Marrakech, covers 3,000 hectares and has 2,000 panels. It comprises four production units – Noor I (160 MW), Noor II (200 MW), Noor III (150 MW) and Noor IV (72 MW). The complex relies mainly on Concentrating Solar Power technology, where energy is stored in the form of heat. This provides greater storage capacity than batteries, and enables us to respond efficiently to demand.
With an installed capacity of 582 megawatts (360 MW of thermodynamic solar power with parabolic trough collectors, 150 MW of thermodynamic solar power with towers, 72 MW of photovoltaic solar power), this plant currently supplies two million Moroccans with electricity, while saving nearly one million tonnes of greenhouse gas emissions per year. Morocco, which is also committed to reducing its greenhouse gas emissions by 32% by 2030, tops the International Climate Protection Index 2021, ranking 7th out of 57 countries.
It’s an opportunity to establish itself as a leader in the field of renewable energies and to inspire other initiatives, such as that of the African Development Bank (ADB), one of the program’s backers, whose total contribution to the kingdom’s solar ambitions amounts to 770 million dollars.
“Launched in September 2019 in Ouagadougou, the Desert to Power initiative aims to produce 10 GW by 2030 and power 250 million people, which would make the Sahelian strip the world’s largest solar power production region, said AfDB President Akinwumi Adesina on the sidelines of the AfDB Annual Meetings – to be held in Accra, Ghana, in May 2022.
Egypt makes envious with Benban, one of the world’s largest solar farms
It places Egypt at the forefront of the African continent in terms of renewable energies. But questions remain about its long-term strategy on this issue. The question also arises as to whether the incentives are sufficient for the cash-strapped government to provide 42% of the country’s electricity from renewable resources by 2035, as announced. Karim el-Gendy, a Chatham House expert specializing in urban sustainability and climate policy, believes that Egypt has failed to meet its target of generating 20% of its electricity from renewable sources by 2022. The current figure is closer to 10%, according to the International Energy Agency. Demand for solar energy is falling. This is partly due to new discoveries in the Egyptian section of the Mediterranean Sea.
“Over the past two years, we’ve seen less interest in integrated renewable energy projects in Egypt, whether it’s solar power in the south or wind power, says Karim El-Gendy. The government has revealed few details of how it will implement Vision 2035. Foreign investment is likely to play an important role, as European countries look to the South for solar energy. The European Bank for Reconstruction and Development has allocated $10 billion in funding to over 150 projects across Egypt. Benban is considered one of its major successes.
“The solar panel farm offers enormous potential for us and other investors,” says Faisal Eissa, Managing Director for Egypt at Lekela, a Dutch company that has invested in Benban. The Egyptian New and Renewable Energy Authority claims that Benban has already reduced the country’s annual greenhouse gas emissions. But there is still a long way to go. In 2020, renewable energies accounted for 6% of Egypt’s energy consumption, according to the US Energy Information Administration. Petroleum products accounted for 36% and natural gas for 57%. Coal accounted for just 1%.
The remaining 90% of Egypt’s territory is uninhabitable desert. By making better use of this vast expanse and its coastline, the Abu Dhabi-based International Renewable Energy Agency has stated that “the North African country could produce more than half its electricity from renewable sources by 2030“. “People here have started to consider the sun as a source of energy, says Ahmed Mustafa.
For the local population, the solar park has been a source of transformation. Ultimately, the development of new wind and solar capacity will come down to what is profitable for the government, despite its expressions of good intentions, according to El-Gendy. However, “The need to develop its renewable energy sector depends entirely on Egypt’s commercial interests, he points out.
Algeria targets 22,000 MW of clean energy by 2030
Algeria has embarked on a new sustainable energy era. The updated renewable energies program aims to install around 22,000 MW of renewable power for the domestic market by 2030, with the option of export as a strategic objective, market conditions permitting. This is according to the information website of the Ministry of Energy and Mines of the People’s Democratic Republic of Algeria. This vision is underpinned by a strategy focused on developing inexhaustible resources such as solar power. The updated energy efficiency program aims to achieve energy savings of 63 million TOE by 2030, across all sectors (buildings and public lighting, transport, industry). This will be achieved by introducing efficient lighting, thermal insulation and solar water heaters, clean fuels (cGPL and cNG), and efficient industrial equipment. In addition, according to energy.gov.dz, this program will reduce CO2 emissions by 193 million tonnes.
Given its geographical location, the country has one of the highest solar deposits in the world. Almost the entire country enjoys more than 2,000 hours of sunshine a year, and as much as 3,900 hours in the highlands and Sahara.
87.5% of renewable energy produced in Kenya
Kenya is an African country that stands out for its commitment to ecological transition. According to official figures, by 2022, 87.5% of the energy produced in Kenya will come from renewable sources. In particular, it is the largest producer of geothermal energy on the African continent and the seventh largest in the world. It also boasts Africa’s largest wind farm, located near Lake Turkana. The country is also banking on solar energy to diversify its energy mix and meet growing national demand, according to the news website lesafriques.com.
Kenya has great solar potential, with an average irradiation of 4 to 6 kWh/m2 per day. The country already boasts several solar photovoltaic power plants, including the 54.6 MW Garissa plant, the largest in East Africa. The country has also developed decentralized solar solutions, such as solar home kits and solar mini-grids, which bring electricity to rural areas isolated from the national grid. According to a World Bank study, around 30% of Kenyan households use solar energy.
Despite its remarkable progress in the solar sector, Kenya still faces a number of challenges. One of the main ones is the lack of financing. The initial cost of solar projects is often high. A situation that discourages private investors. It needs to mobilize more financial resources to support the deployment of solar infrastructure. The country has already benefited from several aid programs, such as the Green Climate Fund, which granted $150 million to finance two solar projects with a total capacity of 80 MW.
Another challenge is the regulation of the energy sector. We also need to put in place a clear, stable legal and institutional framework that fosters competition and innovation in the electricity market. The country also needs to strengthen the capacity and reliability of the national power grid, which still suffers from significant technical and commercial losses. Finally, Kenya needs to promote the integration of variable renewable energies, such as solar and wind power, into the electricity system, by developing storage and demand management solutions.
Kenya is an inspiring example for other African nations wishing to embark on the ecological transition. Kenya has a strong solar potential, which it is exploiting through photovoltaic solar power plants and decentralized solar solutions. Solar energy brings many benefits to the country, in terms of greenhouse gas emission reduction, job creation, access to electricity and economic and social development.
