Depending on the size defined in MWp (Megawatt peak) of the photovoltaic solar system, the amended section 12 B of the Income Tax Act No.
The lack of public dialog is partially due to the conflict that arises between the government-owned utility, Eskom, the local renewable energy sector, and international obligations such as the Kyoto Protocol and the Paris Agreement.
The utility has stated that the increase in renewable energy generation directly impacts its revenue stream, which makes it difficult for it to meet its debt obligations.
The utility, relying mainly on coal-fired power stations also fears that renewable energy generation will directly impact coal jobs.
[14][clarification needed] Worsening rolling blackouts have prompted solar company Scatec to explore bypassing Eskom and selling directly to industrial customers.
Sonnedix and Juwi have announced that they will construct an 86 MW solar photovoltaic (PV) plant in the Northern Cape province.
[20] TotalEnergies is currently planning to construct a 216 MW solar plant which would include a 500 MWh battery storage system, both of which are due to be completed in 2025.
[21] As of 2021, the cumulative installed capacity of solar thermal collectors in South Africa reached 1,844 MW, or 2.62 Mm2 (million m2) of sensor.
The statistics for the absorption of solar PV presently can barely be regarded as comprehensive or official considering the fact that they are based on industry estimates.
[24] Installation numbers remain unclear because of the absence of an official or effective Small-Scale Embedded Generation (SSEG2) registration process for low-voltage connected customers.
"The South African Department of Energy (DoE) has recently released Schedule 2 to the Electricity Act of 2006 which revised the licensing and registration requirements for categories of generators.
"[24] An approximately 285MWP5 (DC) of small scale solar PV (rooftop and ground-mounted) was installed in South Africa as at December 2017 according to the data received from different sources.
The installation of small to medium scale solar PV leads to a market share percentage of 0.65% of the total national generation capacity of 44.134GW6.
This growth is evidenced by the import of solar PV panels worth 2.2 billion rand, adding over 500 megawatts of capacity in just the first five months.
[25] Low and middle-income households have partially participated in the growing uptake of solar PV (SSEG) systems in South Africa for reasons pertaining to affordability and access to finance.