The South African Renewable Energy Master Plan: Emerging Actions Discussion Document

The South African Renewable Energy Master Plan (SAREM) aims to industrialise the renewable energy value chain to drive economic recovery and a just energy transition. The plan identifies market certainty as the most critical factor for attracting manufacturing investment, proposing a shift from a percentage-of-CAPEX local content model to a points-based scoring system in the Renewable Energy Independent Power Producers Procurement Programme (REIPPPP). Key targets for 2030 include an annual GDP contribution of R141-164 billion, the creation of 32,500-35,000 new jobs, and achieving 70-90% localisation of key components. The strategy emphasizes integrating industrial opportunities into 'Just Transition hotspots' like Mpumalanga to reskill coal sector workers and diversifying procurement through private sector engagement and export promotion to regional markets, particularly within Africa via the AfCFTA.

• The SAREM sets ambitious economic and employment targets for 2030, aiming for an annual GDP contribution of R141-164 billion and the creation of 32,500 to 35,000 new jobs.
• By 2030, the plan targets 70-90% localisation of key components and 90% localisation of Balance of Plant (BoP).
• Market certainty is identified as the most critical requirement for building a local manufacturing industry, as previous interruptions in the REIPPPP (specifically the stalling of Bid Window 4) led to approximately R1.69 billion in closures and cancelled investments.
• The document proposes replacing the current percentage-of-CAPEX local content scoring in the REIPPPP with a points-based system to avoid rewarding inefficiency and to better track technological evolution.
• To support a Just Transition, the plan aims to capture 10% of national production value (approximately R15 billion/year) within 'hotspot' economies, such as Mpumalanga, and train 3,500 former coal sector employees and youth by 2030.
• The plan advocates for a 70/20/10 adjudication weighting for REIPPPP: 70% for price, 20% for local content, and 10% for transformation.
• Transformation targets for 2030 include ensuring that 51% of ownership and management of local manufacturing capacity is held by Black persons, women, youth, and disabled persons, representing a production value of R21 billion/year.
• To enhance global competitiveness, the plan suggests emulating the automotive sector's incentive frameworks, specifically the Auto Investment Scheme (AIS) and Auto Production and Development Programme (APDP), to promote exports.
• A demand-led skills platform is proposed to link TVET colleges with industry needs, focusing on high-demand roles such as welders, electricians, and boilermakers for wind, and transformer designers and mechatronic technicians for solar.

APA

GreenCape (2021). The South African Renewable Energy Master Plan: Emerging Actions Discussion Document. GreenCape. https://greencape.co.za/assets/SAREM-Emerging-Actions-Discussion-Doc_20211103_ntt-1.pdf

Chicago

GreenCape. The South African Renewable Energy Master Plan: Emerging Actions Discussion Document. GreenCape, 2021. https://greencape.co.za/assets/SAREM-Emerging-Actions-Discussion-Doc_20211103_ntt-1.pdf.

Wikipedia

{{cite report |last1=GreenCape |title=The South African Renewable Energy Master Plan: Emerging Actions Discussion Document |publisher=GreenCape |date=November 2021 |url=https://greencape.co.za/assets/SAREM-Emerging-Actions-Discussion-Doc_20211103_ntt-1.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{greencape2021south, author = {GreenCape}, title = {{The South African Renewable Energy Master Plan: Emerging Actions Discussion Document}}, institution = {GreenCape}, year = {2021}, month = nov, url = {https://greencape.co.za/assets/SAREM-Emerging-Actions-Discussion-Doc_20211103_ntt-1.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }