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SAPVIA believes that the increased threshold will lead to increased solar energy availability.
- The association estimates that it will increase the C&I sector by up to 500MW annually.
- SAPVIA wants regulators and stakeholders to coordinate and ensure smooth implementation.
The South African Photovoltaic Industry Association (SAPVIA) has expressed approval of last week’s announcement to raise the licensing threshold for embedded generation plants to 100MW.
SAPVIA, in a press release, notes that with the new policy, which increases the utilisation of embedded generation, there will be an increase in energy accessibility, availability and security provided by the solar industry.
Niveshen Govender, SAPVIA COO, stated, “being a strong proponent and long-time advocate for this SAPVIA is delighted that the President has considered, reflected and acted on the advice from various sectors to raise the licensing threshold and has seen fit to do this with appropriate haste during a time of crisis. “This move will deliver much needed clean electricity rapidly to businesses and individuals across the country while creating opportunities for sectors such as agriculture, mining, hospitality and commercial properties to generate their own electricity and relieve the pressure on Eskom,” added Govender.
Govender expressed optimism that the announcement will lead to developing a stronger commercial and industrial market segment. He estimates that the sector could grow by as much as 500MW anually. He advised that the implementation process be carefully considered to ensure coordination between key stakeholders, system operator and management. Govender urged NERSA, Eskom and municipalities to move quickly to ensure that the expansion of the distributed generation supply is implemented smoothly.