Business · South Africa
Challenges Holding Back South Africa’s Solar Energy Growth
Moneyweb · 2026/02/04
Summary
South Africa has great potential for solar energy due to its abundant sunshine. However, the growth of the solar industry faces significant challenges. A recent court case has highlighted deeper issues affecting the sector. These include policy uncertainty, regulatory hurdles, and delays in government approvals. Many solar projects are stuck in limbo because of unclear rules and slow permit processes. This stops investment and slows job creation in the solar energy field. Despite the high demand for cleaner and cheaper energy, businesses and solar companies struggle to expand. The government needs to create clearer, faster processes to support the solar sector's growth. Doing so would help South Africa reduce electricity costs, create jobs, and fight climate change by using its natural solar advantage.
OnABudget takeaway: For consumers, improving solar energy access can lower electricity bills over time. Small businesses in the solar sector could see more opportunities if government regulations become clearer and faster.