Building Domestic Capacity: Localization Strategies for South Africa’s Renewable Energy Sector

Phemelo Tamasiga and Lebogang Mateane

EconStor Research Reports from ZBW - Leibniz Information Centre for Economics

Abstract: South Africa’s energy transition unfolds within a complex landscape of urgent decarbonization needs, persistent energy insecurity and global competition over renewable value chains. Thus, the central question we ask in this policy brief is: which localization measures could strengthen equity considerations in the energy transition? Based on interviews conducted with stakeholders in South Africa’s energy and industrial policy sectors, and augmented by current academic literature and policy documents, this policy brief finds that policy and incentive gaps undermine domestic manufacturing, job creation and community ownership in the renewable energy sector. Without a stronger localization strategy, the Just Energy Transition Partnership could fail to deliver on its equity promises. Key recommendations include reforming public procurement to reward local content and social impact, leveraging concessional finance to attract private investment in domestic renewable energy industries, establishing bilateral partnerships for technology transfer, facilitating industrial upgrading and promoting community and worker-owned renewable energy initiatives.

Date: 2025
New Economics Papers: this item is included in nep-ene
References: Add references at CitEc
Citations:

Downloads: (external link)
https://www.econstor.eu/bitstream/10419/331329/1/T ... ic_capacity_2025.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:zbw:esrepo:331329

DOI: 10.18449/2025MTA-PB43

Access Statistics for this paper

More papers in EconStor Research Reports from ZBW - Leibniz Information Centre for Economics Contact information at EDIRC.
Bibliographic data for series maintained by ZBW - Leibniz Information Centre for Economics ().