Fostering a just energy transition: Lessons from South Africa’s Renewable Energy Independent Power Producer Procurement Programme (REIPPPP)

South Africa’s Renewable Energy Independent Power Producers (REIPPs) largely depend on foreign manufacturers and resources to generate the power needed to address the country’s energy crisis. This foreign dependence contradicts some principles of a just energy transition, which encourage developing local job creation in the renewable energy sector. This article make use of a case study review of two South African wind farms to examine how REIPPs can shift their reliance on foreign equipment manufacturers and skilled resources to local providers, fostering a sustainable and inclusive Just Energy transition.

Key Findings/Recommendations: The findings indicates that both the Cookhouse wind farm (site 1) and the Longyuan-Mulilo wind farm (site 2) negotiated different paths to establish an international partnership. However, regardless of the partnership, the foreign partners initially experienced challenges in negotiating the unique BBBEE requirements of the REIPPPP. Both wind farms implemented the ‘Engineering, Procurement and Construction (EPC)/ Turnkey contract with a foreign supplier. Recommendations are that in order to promote distributive justice, new policy provisions must support wind farms in transitioning from foreign components and resources to local alternatives. To further advance restorative and distributive justice, the government must incentivise manufacturers like Suzlon and Longyuan to establish South African factories to service their local farms and future developments.
 

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