South Africa Renewable Energy Market Size is estimated at 18.41 GW in 2025; Poised for 11% Annual Growth to 31.10 GW by 2030 amid Expanding Solar and Wind Capacity

Mordor Intelligence has published a new report on the "South Africa Renewable Energy Market" offering a comprehensive analysis of size, share, trends, growth drivers, and future projections.

Introduction

South Africa's renewable energy sector is entering a period of steady growth and significant opportunity. According to the latest Mordor Intelligence report, the total installed capacity in the country is forecast to reach approximately 18.41 gigawatts (GW) in 2025, and climb to 31.10 GW by 2030, reflecting a compound annual growth rate (CAGR) of about 11.05% over that five-year span . This expansion comes as the nation steps up efforts to move away from coal-based power generation-including plans by state utility Eskom to retire between 8 and 12 GW of coal capacity by 2030-and increase its reliance on cleaner sources.

South Africa's energy mix is shifting, with solar and wind taking an ever-larger role. In 2024, total renewable capacity stood at 16.38 GW, and by 2025 it is expected to jump to 18.41 GW as new projects come online under government procurement schemes and private investment platforms .

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Key Trends

Government Procurement Programs Driving Growth

The Renewable Energy Independent Power Producer Procurement Programme (REIPPPP) has been central to the market's expansion. As of the latest round, 123 projects have been awarded to private developers, adding about 6,200 MW of renewable capacity-approximately 5% of the nation's total energy supply. Recent auctions under Bid Window 7 aim to allocate an additional 5,000 MW, split between wind and solar PV.

Rising Investment in Solar and Wind

Solar and wind lead the charge in the renewable mix. In the solar segment alone, capacity is projected to rise from 7.39 GW in 2025 to 12.20 GW by 2030, growing at a CAGR of roughly 10.6% . Across the board, wind and solar additions are helping push overall renewable capacity toward 31.10 GW by 2030 .

Private Platform-Based Access

New models for corporate procurement, such as platforms run by companies like Ampli Energy, allow businesses to source clean power directly from independent producers under flexible contracts. Founded in mid‐2025 by Discovery and Sasol, Ampli enables mid‐sized firms and NGOs to sign month‐to‐month green energy contracts with no penalty for cancellation, even offering cashback incentives as part of longer contracts

Infrastructure Constraints and Financing Gaps

Even as capacity rises, South Africa faces challenges in upgrading its grid and securing investment. Eskom's power grid needs an estimated $21 billion in investment to support distributed renewable sources, yet its heavy debt load and limited investor appetite pose a major obstacle. At the same time, a report by the Presidential Climate Commission called for a sixfold increase in the annual build rate-from 1 GW to between 6 and 14 GW-to stay on track for net-zero goals by 2050. Current funding levels of 131 billion rand annually fall well short of the 334-535 billion rand required.

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Market Segmentation

The South African renewable energy market can be broadly segmented by energy source and implementation scale, as follows:

By Source
Solar PV and CSP: Expected to grow from 7.39 GW in 2025 to 12.20 GW by 2030, led by utility-scale and rooftop installations .
Onshore Wind: Supported by projects such as the Impofu Wind Farms Complex, a 330 MW development set to come online in 2026, providing wind-generated power via wheeling agreements.
Others: Includes small hydro, landfill gas, biomass and biogas represented under REIPPPP's diverse sourcing policy.
By Scale
Utility-scale projects under REIPPPP bid windows: large installations totaling several hundred MW each.
Distributed and rooftops: including 5,791 MW rooftop systems in 2024, alongside 2,287 MW utility PV and 500 MW CSP installed as of mid‐2024.
Corporate / mid‐market segment: Accessing renewable energy through platforms like the one launched by Ampli, simplified and flexible arrangements for mid-sized businesses.

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Key Players

Mainstream Renewable Power Ltd: Developed around 850 MW of wind and solar across REIPPPP Rounds 1, 3, and 4-about 15% of generation delivered to date. Offers Power Purchase Agreements (PPAs) and short‐term Renewable Energy Supply Agreements (RESAs), plus operations & maintenance oversight of approximately 250 MW under management.

Segen Solar (Pty) Ltd: A dominant solar installer and supplier with wide distribution and service reach in South Africa.

Juwi Renewable Energies (Pty) Ltd: Part of the global Juwi Group-expert in project development and management for renewables in the domestic market.

EDF Renewables: Subsidiary of EDF Group, with strong backing and technical expertise, active in both wind and solar project development in South Africa.

Acciona Energia SA: A global renewable energy company delivering wind and solar installations and continuing to grow its footprint in the South African market.

Other notable contributors include Scatec ASA, Enel Green Power (developer of the Impofu Wind Farms), Canadian Solar Inc., Vestas Wind Systems, JinkoSolar, Siemens Energy, and DLO Energy Resources Group, which operates one of Africa's largest wind farms out of Northern Cape, powering roughly 160,000 households.

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Conclusion

South Africa's renewable energy market is projected to expand from around 18.41 GW in 2025 to 31.10 GW by 2030, at an annual growth rate of about 11%. Solar and wind are driving this growth across utility-scale projects and distributed installations. Government programme REIPPPP continues to attract private power producers, while corporate procurement platforms such as Ampli Energy offer new access models for mid-sized companies and NGOs.

Yet significant hurdles remain: the national grid needs billions in upgrades, current investment falls far short of what's required to meet net‐zero targets, and market momentum must accelerate quickly if South Africa is to replace coal at the pace that international climate plans assume. Major players like Mainstream, EDF Renewables, and Acciona are leading the charge, while a diverse field of both global and local firms support a market that promises steady expansion-but only if financial and regulatory bottlenecks can be eased.

The country's roadmap means more than just greater installed capacity; it's about building a system that can handle renewables, support fair transitions for communities tied to coal, and attract long-term capital. If South Africa can unlock grid funding and sustain policy consistency, the 31 GW goal by 2030 stands within reach-and with it, a more stable and cleaner energy future.

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About Mordor Intelligence:

Mordor Intelligence is a trusted partner for businesses seeking comprehensive and actionable market intelligence. Our global reach, expert team, and tailored solutions empower organizations and individuals to make informed decisions, navigate complex markets, and achieve their strategic goals.

With a team of over 550 domain experts and on-ground specialists spanning 150+ countries, Mordor Intelligence possesses a unique understanding of the global business landscape. This expertise translates into comprehensive syndicated and custom research reports covering a wide spectrum of industries, including aerospace & defense, agriculture, animal nutrition and wellness, automation, automotive, chemicals & materials, consumer goods & services, electronics, energy & power, financial services, food & beverages, healthcare, hospitality & tourism, information & communications technology, investment opportunities, and logistics.

For any inquiries or to access the full report, please contact:
media@mordorintelligence.com
https://www.mordorintelligence.com/

For any inquiries or to access the full report, please contact:
media@mordorintelligence.com
https://www.mordorintelligence.com/

Mordor Intelligence is a trusted partner for businesses seeking comprehensive and actionable market intelligence. Our global reach, expert team, and tailored solutions empower organizations and individuals to make informed decisions, navigate complex markets, and achieve their strategic goals.

With a team of over 550 domain experts and on-ground specialists spanning 150+ countries, Mordor Intelligence possesses a unique understanding of the global business landscape. This expertise translates into comprehensive syndicated and custom research reports covering a wide spectrum of industries, including aerospace & defense, agriculture, animal nutrition and wellness, automation, automotive, chemicals & materials, consumer goods & services, electronics, energy & power, financial services, food & beverages, healthcare, hospitality & tourism, information & communications technology, investment opportunities, and logistics.

This release was published on openPR.