Energy Services: Energy efficiency and embedded generation – 2016 Market Intelligence Report

The report examines the growth of the South African energy services market, driven by rising electricity costs and energy security concerns. It highlights significant growth in rooftop PV, opportunities for energy efficiency in municipal wastewater treatment and public buildings, and the role of Energy Service Companies (ESCOs). The document also details the regulatory landscape, including tax incentives like the 12L allowance and the Western Cape's specific initiatives to reduce energy demand.

• The global energy services market is expanding, with annual turnover projected to reach $14.7 billion by 2024.
• South Africa's energy services market is experiencing rapid growth, with the total potential including Eskom's long-term saving targets estimated to exceed 16.5 GW by 2020.
• Rooftop photovoltaic (PV) installations in South Africa grew by 330% in 2015 to reach 83 MW, with an additional 500 MW expected by the end of 2016.
• Municipal wastewater infrastructure represents a significant energy efficiency opportunity; wastewater treatment at 968 municipal works could potentially generate up to 780 MW of power, and investments in energy services at these facilities can achieve savings between 5% and 30%.
• The Western Cape ESCO market is estimated to be worth R1.3 billion by 2019, potentially creating approximately 1,000 jobs across ESCOs, manufacturers, and contractors.
• The South African government has introduced a mandatory energy reporting regulation for users consuming above 180 Tera Joules (TJs) per annum, with those consuming 400 TJ or more required to submit a detailed energy management plan.
• The 12L Income Tax Allowance on Energy Efficiency Savings allows businesses to offset energy savings against corporate tax, with the allowance increased to 95c/kWh in 2015 for projects with at least 1 MW of savings.
• The Department of Energy's national solar water heater (SWH) roll-out aims to procure 1.25 million systems by 2019, targeting 50,000 installations by October 1, 2016.
• The Western Cape Energy Security Game Changer strategy sets specific targets, including a 10% reduction in current energy demand, the uptake of 400,000 solar water heaters, and a 120 MW target for rooftop PV.

APA

GreenCape (2016). Energy Services: Energy efficiency and embedded generation – 2016 Market Intelligence Report. https://greencape.co.za/wp-content/uploads/2022/10/MIR2016-Energy-Services-GreenCape-3.pdf

Chicago

GreenCape. Energy Services: Energy efficiency and embedded generation – 2016 Market Intelligence Report. 2016. https://greencape.co.za/wp-content/uploads/2022/10/MIR2016-Energy-Services-GreenCape-3.pdf.

Wikipedia

{{cite report |author=GreenCape |title=Energy Services: Energy efficiency and embedded generation – 2016 Market Intelligence Report |date=2016 |url=https://greencape.co.za/wp-content/uploads/2022/10/MIR2016-Energy-Services-GreenCape-3.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{greencape2016energy, author = {{GreenCape}}, title = {{Energy Services: Energy efficiency and embedded generation – 2016 Market Intelligence Report}}, institution = {GreenCape}, year = {2016}, url = {https://greencape.co.za/wp-content/uploads/2022/10/MIR2016-Energy-Services-GreenCape-3.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }