South Africa Registers 2,045 MW Of Solar Capacity As Renewable Energy Investment Reaches $4.7 Billion

South Africa has recorded a significant increase in private electricity generation, registering 2,045 megawatts (MW) of new solar photovoltaic (PV) capacity between July and September 2026. The expansion reflects growing investment in renewable energy as the country works to diversify its electricity supply and reduce dependence on state-owned utility Eskom.

According to data released by the National Energy Regulator of South Africa (NERSA), 139 solar facilities were registered during the second quarter of the 2026/27 financial year. These projects were part of 144 new electricity generation facilities with a combined capacity of 3,129MW. The projects represent an estimated investment of R78.16 billion, equivalent to approximately $4.7 billion.

The latest registrations show a sharp improvement compared with the previous quarter, when 124 renewable energy projects with a combined capacity of 804MW were registered. Solar capacity increased more than eightfold from the earlier quarter’s 236MW. In addition to solar, three wind facilities contributed 1,063MW, while a 3MW battery energy storage system (BESS) and an 18MW co-generation facility accounted for the remaining capacity.

The growth in registrations has been supported by regulatory changes introduced to encourage private electricity generation. In December 2022, South Africa removed the licensing threshold for electricity generation projects, making it easier for businesses and independent power producers to develop larger facilities. NERSA also processed the latest 144 applications in an average of nine working days, improving on the 10-day average recorded in the previous quarter.

Investment activity was concentrated in several provinces. The Western Cape attracted the largest investment, with R24.6 billion allocated to projects totalling 1,189MW. Limpopo followed with R16.27 billion for 484MW, while the Free State recorded R15.03 billion in investment for 543MW. Gauteng registered the highest number of facilities, with 47 projects, although their combined capacity was relatively small at 25MW.

The registrations also highlight the importance of electricity network infrastructure. Of the 144 projects, 76 facilities will connect to Eskom’s national transmission and distribution network, representing 3,079MW of capacity and R77.58 billion in investment. The remaining 68 facilities will connect to municipal electricity networks, adding 50MW with an investment of R584 million.

However, project registration does not guarantee immediate commercial operation. Financing, equipment availability, land arrangements and grid connection approvals remain important factors affecting project development.

To address transmission constraints, the government has introduced the Independent Transmission Projects Programme, beginning with plans for 1,164 kilometres of new transmission lines. Under the Integrated Resource Plan 2025, South Africa also plans to procure 4,600MW of battery storage and 5,000MW of gas-to-power capacity to support grid stability.

The latest figures demonstrate growing private sector participation in South Africa’s electricity market. However, expanding transmission infrastructure and strengthening grid capacity will remain essential to converting the growing project pipeline into operational renewable energy capacity.