Edward Lee confidently talks his fellow trainees through the components that make up a solar panel. There is a real one in the classroom, but for now, the 24-year-old is focused on a drawing showing the inner workings of a solar panel, with all their various connections and functions. Theory comes before practice. Lee is one of a group of young people in the town of Vredenburg, South Africa, training to become electricians and photovoltaic specialists.

Vredenburg lies approximately 130 kilometres north-west of Cape Town and is home to some 40,000 people. The South African Government plans to turn the Saldanha Bay region into a major energy hub for the country in the future. Skilled workers will be key to the success of this project, which is good news, given the 45.5 per cent youth unemployment rate in South Africa.

Energy crisis dictates daily life

Africa’s southernmost country has been in the grips of an energy crisis for over 17 years. With an outdated energy system, a lack of maintenance work and growing demand for energy, power grids have become overloaded. Load shedding has been employed to manage the situation. This involves intentionally shutting off the electricity supply for several hours at a time.

These blackouts are part of people’s daily lives in many places and make it particularly difficult for small businesses to operate. Small enterprises often lack the funds to purchase alternative sources of power, such as generators. ‘My mother had a fish shop that sold takeaway fish and chips, but she had to stop preparing them every time there was a power outage,’ says Edward Lee. As he points out, if you are unable to sell your products, you cannot make a living. Lee explains that, like for many others, there came a point at which his mother could no longer keep her business going.

The dramatic energy crisis and its consequences are forcing South Africa to transform its energy policy. The goal is to achieve a just energy transition (JET) that is also green. By switching to alternative and greener sources of energy, such as wind and solar power, and employing cutting-edge technology such as green hydrogen, the South African Government intends to master the energy crisis and reposition the country with a more sustainable and environmentally friendly energy infrastructure.

South Africa aims to go climate-neutral, making the leap from a coal-based to a renewable energy supply, by 2050. At present, the country’s energy sector is still largely dependent on burning coal, an environmentally harmful practice that has left South Africa with some of the highest levels of particulate air pollution in the world.

Sustainability and social responsibility

A Just Energy Transition Partnership (JETP) has been established to support South Africa in realising its plans. Funding for the partnership comes from Germany, France, the UK, the Netherlands, Denmark, the US, the EU, and several development banks. March 2024 also saw the South African National Assembly adopt the Electricity Regulation Amendment Act, which is designed to reshape the country’s electricity sector. Currently, the state-owned electricity utility Eskom still holds a monopoly in the industry. The legislative reform is intended to open the door for independent energy suppliers to enter the market. GIZ is also advising the country on energy market reforms. The overall picture is of South Africa undergoing a major change on several fronts, including a significant upsurge in renewables.

According to Patrick Lakabane, Management Team member at Freeport Saldanha, when it comes to these kinds of ambitious projects, it is important to bring the public on board. Freeport Saldanha is a special economic zone with the deepest natural port in South Africa. Lakabane believes the energy transition offers tremendous opportunities for his home region. The Port of Saldanha Bay is still surrounded by broad, open fields with the wind whistling over them. In the future, this land directly adjacent to the Atlantic coast is set to be used for building wind and solar farms. Saldanha’s infrastructure (deep-water port, road and rail connections) and plentiful wind and sunshine also make the region an attractive location for green hydrogen production.

Job creation

Training programmes such as those offered by Yes4Youth in Vredenburg are helping to train and equip people from local communities to play a key role in South Africa’s energy transition. ‘We want to advise young people on their career choices and show them the opportunities on offer locally in this region,’ Lakabane stresses. To this end, the Freeport team also goes into schools to encourage students to consider a career in the energy sector.