The Looming Threat of Load-Shedding: How Eskom’s Reprieve is Suffocating the Solar Industry
As the summer sun beats down on South Africa, a sinister plot is unfolding in the shadows of the energy industry. Eskom, the state-owned power utility, has seemingly granted a temporary reprieve from the scourge of load-shedding, but at what cost? The solar industry, once the beacon of hope for a cleaner, more sustainable energy future, is slowly suffocating under the weight of Eskom’s benevolent dictatorship.
Power utility Eskom has started implementing load-reduction, citing network overloading due to high demand in winter and electricity theft. But is this just a convenient excuse to stifle the growth of the solar industry? The fact that Eskom has suspended load-shedding for 104 consecutive days, despite having sufficient generation capacity, raises more questions than answers.
In a recent interview, Eskom chairman Mteto Nyati predicted that South Africa is unlikely to have load-shedding until 2025. But what about the solar industry, which has been growing rapidly in recent years? The industry’s growth has been stunted by the load-shedding reprieve, as businesses and homeowners are no longer compelled to invest in solar energy solutions.
Jaltech, a leading provider of long-term solar finance, has seen a significant decline in proposals and installations since the load-shedding reprieve. The company had issued over 400 solar proposals valued at over R4.1 billion, but only 15% have progressed to date. The industry is in limbo, waiting for the other shoe to drop, and Eskom’s next move could be the final nail in the coffin.
Meanwhile, Eskom’s price for electricity continues to climb, pricing the utility out of the market in many municipalities. The cost of solar technology, on the other hand, has been steadily decreasing, making it a more viable option for energy consumers. But will Eskom allow the solar industry to thrive, or will it continue to suffocate it under the weight of its own bureaucratic inefficiencies?
The answer lies in the shadows of the energy industry, where the battle for dominance is being waged. Will Eskom emerge victorious, or will the solar industry rise from the ashes like a phoenix? Only time will tell, but one thing is certain: the future of energy in South Africa hangs in the balance.
