Externe Publikationen

Building domestic capacity: localization strategies for South Africa's renewable energy sector

Tamasiga, Phemelo / Lebogang Mateane
Externe Publikationen (2025)

in: Megatrends Afrika Policy Brief 43

DOI: https://doi.org/10.18449/2025MTA-PB43
Open access

South Africa’s energy transition unfolds within a complex landscape of urgent decarbonization needs, persistent energy insecurity and global competition over renewable value chains. Thus, the central question we ask in this policy brief is: which localization measures could strengthen equity considerations in the energy transition? Based on interviews conducted with stakeholders in South Africa’s energy and industrial policy sectors, and augmented by current academic literature and policy documents, this policy brief finds that policy and incentive gaps undermine domestic manufacturing, job creation and community ownership in the renewable energy sector. Without a stronger localization strategy, the Just Energy Transition Partnership could fail to deliver on its equity promises. Key recommendations include reforming public procurement to reward local content and social impact, leveraging concessional finance to attract private investment in domestic renewable energy industries, establishing bilateral partnerships for technology transfer, facilitating industrial upgrading and promoting community and worker-owned renewable energy initiatives.

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