Sustainable Energy Society of Southern Africa

Creating a Sustainable Solar Water Heating Industry in SA

Presentation Outline

• Introduction to SESSA • Key success areas/ lessons• Threats, challenges and opportunities for

action• 5 Key thematic questions/issues• Economic implications• Policy and governance requirements• Concluding remarks• Recommendations for Green Economy Plan

IntroductionMISSION• The mission of SESSA is the creation and continued growth of an authoritative

renewable energy forum, in Southern Africa

OBJECTIVES• To promote and increase the use of renewable energy with informal education,

demonstration and information dissemination to end-users and other decision makers of all levels;

• To establish the society as the main regional information centre in close co-operation with similar initiatives;

• To facilitate in the creation and maintenance of appropriate standards for products, systems or methods and training.

For this purpose SESSA maintains a close relationship with it’s various divisions, one of which is the Solar Water Heating Division

IntroductionMEMBERS INCLUDE• Manufacturers• Importers • Distributors • Installers• Training Providers• Researchers• Consultants

MEMBERSHIP• 2007 membership = 15 members• 2010 membership = 250 paid up members and +450 including latest applicants

Introduction272 SWHD member distribution 2010/03

Eastern Cape (20/7%)

Free State (8/3%)

Gauteng (129/47%)

KZN (28/10%)

Limpopo (2/1%)

Mpumalanga (9/3%)

North West (4/1%)

Northern Cape (3/1%)

Westen Cape (68/25%)

Lesotho (1/0%)

Gauteng

Western Cape

KZN

Eastern Cape

Introduction

• How to create a Sustainable Solar Water Heating Industry to best serve all stakeholders and in doing so promote a green economy?

Key success areas/ lessons• 2009 – New Portfolio Driven Committee• Finance & Membership

• Complaints & Compliments

• In-house & Legal

• Standards

• Education & Training

• Communications

• Associations

• Government & Parastatals

• Banks & Insurers

Threats and Challenges

• Management Committee works on a voluntary basis

• Membership Fees alone cannot cover the cost of a permanent Management Team acting on behalf of industry

No permanent SESSA staff No permanent home (office & demonstration

facility)

Opportunities for action

• Amend membership categories to include:Platinum (Gov or Parastatal)Gold (Banks, Insurers, Corporates) Silver (SWH Companies)Bronze (Installers)Other (Individual, NGO, Student)• Employ management team to implement

Business Plan

5 Key thematic questions/issues• How can we create a strong and sustainable

Solar Industry Body Information and Demonstration CentrePromote Solar Technologies through Education

and Information DisseminationIncubator for new industry members (training)Market informationResearch and Development Hub

Economic implications

• There are +400 companies operating in the SWH space (mostly SME) – 1600-2000 people from sales to administration and installation

• SWH currently attract a 15% import duty• Component codes need to be defined• Potential for local production subject to

increased demand

Policy and governance requirements

• SANS204 to become mandatory for all new builds (Energy Efficient Building Standard)

• All failed geysers to be replaced by energy efficient water heaters as per SANS204

• Offset cost of solar water heater against personal income tax - Plastic Bag, Electricity, Vehicle (new cars), Environmental (Incandescent Bulbs) Levy and Vehicle Emissions Tax (Sept 2010)

• Reduce trade barriers on imports for X years in order to increase demand and justify local mass production

Concluding remarks

• Without a strong Sustainable Energy Industry Body, the potential for a successful industry development and technology rollout is diminished!

Recommendations

• Government to authorize and commit short, medium and long term funding towards the support of SESSA

• Funding would go towards the development of a Solar Info Centre (home for SESSA) from which all goals and objectives could be achieved

THANK YOU