Creating the future of life

NOUPOORT WIND FARM

The power generation landscape will change to a multitude of small- to medium-scale renewable energy generation facilities scattered all over the country, providing much-needed regional economic activities

Creating the future of life

The energy and transport sectors are currently undergoing their biggest transformation in over a century. Artificial intelligence (AI) is gaining traction while intertwined smart city concepts are being explored and implemented globally. This enormous transformation bears its risks but foremost presents a unique opportunity for a just energy transition (JET). By Frank Major*

South Africa has some of the best solar and wind resources in the world. By transitioning to a world powered by renewable energy, air quality and, therefore, health will improve, while the shift will also create new income opportunities in a dynamic, decentralised and interconnected electricity network. But what does that mean for municipalities?

Currently driven by a few central GWscale power plants, the power generation landscape will change to a multitude of small- to medium-scale renewable energy generation facilities scattered all over the country, providing much-needed regional economic activities. Energy storage ‘behind the meter’ can help municipalities control their energy security while simultaneously strategically strengthening electrical infrastructure bottlenecks. The traditional transmission and distribution infrastructure will transform into multidirectional, interconnected smart grids. Many homes and business will become both producers and consumers (so-called prosumers) and general demand for electricity will increase due to the electrification of the transport and industrial sectors. New electric vehicle charging and green hydrogen (hydrogen produced from renewable sources) infrastructure will be rolled out to power our electromobility, plus the way we produce and process goods. All this will require more renewable energy to be generated and distributed.

Benefits and implications for municipalities

Municipalities can derive various new income opportunities from these developments. This could be through direct participation in power generation projects, in the form of publicprivate partnerships, or by providing wheeling power services through the grid. Then there are the tax income gains from enriched economic activity within regions. Either way, municipalities will be key stakeholders in shaping the JET into a new distributed energy portfolio and infrastructure framework.

Regional power generation and energy storage will also enable municipalities to ensure critical infrastructure service delivery, such as pumping stations for water supply, desalination plants and water treatment works. Smart metering, combined with AI and digitisation, will further assist municipalities to become more effective and efficient in providing energy, water, communication and transport services to their communities.

South Africa’s strategic approach to PrivatePublic Growth Initiatives, as announced in the State of the Nation Address by President Ramaphosa, opens the door for all public and state-owned entities to engage with and implement these energy solutions, helping to build the foundation for the unfolding JET infrastructure vision.

*Frank Major is the solutions lead: Sustainable Energy at iX engineers.