Nelisiwe Magubane,
Deputy Director
General, Department
of Minerals and
Energy
 
6 March 2009 – Tax breaks, greater subsidies and clear strategies on renewable energy will allow South Africa to minimize the power shortage.

Government is encouraging investors to spend on renewable sources of energy. This movement has been delayed due to little incentive for investors. The National Energy Regulator of South Africa is in the process of creating a feed-in-tariff to encourage large investment in renewables.

Nelisiwe Magubane, Deputy Director General of the Department of Minerals and Energy states that they will charge a carbon tax on electricity or introduce tax breaks to those wanting to invest in renewable forms of energy.

Eskom’s Climate Change and Sustainability Manager, Mandy Rambharos, stated that the next baseload plant could come from solar thermal. These plants would be quicker to build and will have a sustainable output.

Eskom has already committed to R343 billion in new power investments, which include two 4800 MW coal-fired power plants. South Africa currently depends on coal for 90% of their electricity generation.