The South African Cabinet has endorsed the South African Renewable Energy Masterplan (SAREM), marking a significant step forward in the country’s energy transition.
SAREM is designed to enhance national energy security and drive industrial development by expanding renewable energy capacity and battery storage infrastructure. As South Africa anticipates a sharp increase in electricity demand by 2040, the plan offers a strategic roadmap to overcome pressing infrastructure challenges, attract investment, and ensure a stable, diversified power supply.
SAREM is anchored on four core pillars that support the broader goals of the country’s Integrated Resource Plan (IRP). These pillars include preparing the energy system for a higher share of renewables and storage, establishing domestic industrial value chains in clean energy technologies, promoting inclusive growth and economic participation, and fostering innovation through skills development. With these elements, the plan aims to create a resilient, future-ready energy sector that contributes to national development and job creation.
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Clean energy ambitions
The plan also plays a crucial role in accelerating South Africa’s clean energy ambitions. It complements the revised 2023 IRP, which targets nearly 30 GW of new power capacity by 2030, primarily from wind and solar sources. SAREM supports this vision by prioritizing investment in transmission infrastructure, encouraging public-private collaboration, and integrating emerging technologies such as green hydrogen and advanced battery systems. These efforts are key to meeting both domestic needs and international climate commitments.
Looking ahead, the implementation of SAREM is expected to elevate South Africa’s leadership position in Africa’s renewable energy space. With the continent holding over 500 GW of renewable energy potential in the planning phase, South Africa is well-positioned to serve as a hub for innovation, manufacturing, and sustainable growth. This strategic direction will be a major focus at the upcoming African Energy Week 2025, where stakeholders will discuss how SAREM can unlock new opportunities, address energy poverty, and attract global investment into the region.
