Confirmed: Solar power much cheaper than nuclear and coal in South Africa

by | Oct 22, 2016 | Climate Change, Energy, Green Building | 0 comments

New CSIR research reveals the cost of power generation using wind, solar PV, baseload coal IPP, baseload Eskom coal, and nuclear.

The Energy Centre of the CSIR has moved to provide updated and consistent information on the cost of new power from wind, solar PV, baseload coal IPP, baseload Eskom coal, and nuclear power generation technologies in South Africa.

In a presentation dated 14 October 2014, the head of CSIR’s Energy Centre, Dr. Tobias Bischof-Niemz, and Ruan Fourie, energy economist at CSIR’s Energy Centre, provide a comparative analysis for new power in South Africa based on recent coal IPP bid price announcements by Minister of Energy Tina Joemat-Pettersson on 10 October 2016, and other data.

This study is seen as important for any review of the draft update to the Integrated Resource Plan for Electricity (Draft IRP) currently in progress by the Department of Energy (DoE).

The Draft IRP was to have been presented to the Cabinet last week, and thereafter made available to the public for comment, but this has since been delayed, with no further dates being given.

Since the previous due date of end March 2016, the request for proposals (RFP) for the proposed 9.6 GW new-nuclear build in South Africa has also been further delayed from the revised issue date of end September 2016.

However, it is known that in the meantime various stakeholder structures reporting to the Minister of Energy are currently reviewing the Draft IRP and its proposals for new renewable, baseload coal and nuclear power, and making further input and recommendations.

The CSIR study shows the significant reduction in the cost of energy from wind and solar PV generation technologies in South Africa since submission of bids for Window 1 of the renewable energy IPP programme (REIPPP) on 4 November 2011, to those of the expedited round of Window 4 on 4 November 2015.

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