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The Solar Revolution: The Final Nail in the Coffin of Fossil Fuels?

As South Africa enjoys a reprieve from the brutal grip of load-shedding, the solar industry is quietly staging a coup. While Eskom’s inability to manage the grid has been the primary driver of solar growth, the tide is shifting. Cost savings, not crisis management, are becoming the primary motivator for households and businesses to turn to the sun.

GoSolr’s latest report paints a stunning picture: in the first two quarters of 2024, a staggering 590MW of rooftop solar capacity was installed, with 240MW in the first quarter alone. This represents a staggering 22% increase in capacity from the same period last year.

So, what’s driving this explosion of solar growth? For starters, South Africans are fed up with exorbitant electricity prices. Eskom’s crippling debt and increasing tariffs are forcing consumers to seek alternatives. And with the cost of solar installations plummeting, the choice is clear.

“We’re entering the second phase of the clean energy boom, driven by cost considerations,” says GoSolr’s CEO, Andrew Middleton. “But we believe the third phase will be where consumers insist on the power that causes the least damage to our planet. It’s not just about saving money; it’s about saving the planet.”

As the report ominously notes, private renewable energy generation is not only reducing demand for Eskom’s grid, but also paving the way for a new era of decentralized energy production. With over 100,000MW of new capacity expected to come online by 2035, the writing is on the wall: coal’s reign is coming to an end.

And what of Eskom’s impending doom? Well, it seems that even the grid giant is acknowledging the new reality. With an electricity availability factor of 66%, 15% higher than at the beginning of 2024, it’s clear that alternative energy providers are driving the growth.

So, what’s next? With electricity prices expected to soar by up to 44% in 2025, the incentive to switch to solar has never been stronger. Effective market signals, such as scrapping import taxes on solar panels and incentivizing households to discharge batteries during peak hours, could tip the scales.

The battle for the future of energy is far from over. But one thing is clear: the solar revolution is here to stay, and Eskom’s days are numbered.