Renewable energy + industrial sustainability
infrastructure can divert funds away from core business priorities such as the expansion of facilities or acquisition of new equipment. To overcome these barriers, businesses can consider a funded solution in the form of a Power Purchase Agreement (PPA) or equipment rental. Obtaining a funded solution from a renewable energy provider allows businesses to secure long-term access to clean electricity without owning the generation assets. Another advantage is that the provider will also take care of the renewable energy plants, thus the client does not need to worry about maintaining and operating the plant – which can also raise unforeseen costs and risks. With a funded solution, these costs and services are included in the monthly rate. Renewable energy providers such as Sustainable Power Solutions (SPS) oer fully integrated end-to-end solutions which include Funding, Engineering, Procurement and Construction (EPC) and ongoing O&M services. For businesses, it is also important that they look to engage with reputable renewable energy providers that can deliver turnkey, holistic solutions tailored to their needs. Whether those relate specifically to carbon reduction objectives, financial requirements, or energy security, a quality provider will begin with a comprehensive assessment of a client’s needs, targets, and long-term operational goals to design a customised solution at a competitive rate. Carbon taxes, emissions regulations, and corporate sustainability mandates are fast becoming real cost factors that can significantly impact a business’s bottom line. For South African manufacturers and exporters, adopting renewable energy is a strategic step that enables them to stay competitive in a changing global economy. Solar energy, in particular, oers a clear way to cut carbon emissions and reduce operating costs simultaneously. And for those without the capital or appetite or in-house expertise to own and manage energy infrastructure, fully funded, turnkey solutions oer a practical, hassle-free path forward. With the right partner, transitioning to clean energy need not be complex – it can be smart, simple, and sustainable. References [1] https://www.rina.org/en/cbam-compliance-verification [2] https://plana.earth/academy/eu-cbam-regulation [3] Phase 2 of South Africa’s carbon tax (p10) https://www.treasury.gov.za/public%20comments/TaxationOfAlcoholicBeverages/ Phase%20two%20of%20the%20carbon%20tax.pdf
A long-term partnership For many organisations, renewable energy investments are among the largest infrastructure decisions they will make this decade. Panels, inverters and batteries may be the most visible components, but the long-term success of the projects depends on the engineering and operational ecosystem behind them. That is why industry experts increasingly encourage businesses to approach EPC selection not as a procurement exercise, but as the beginning of a long-term partnership. regulations, avoiding potential impacts to the bottom line. However, businesses that can demonstrate a lower carbon footprint, whether through clean energy adoption or other sustainability measures, such as reducing waste through recycling and reusing materials or adopting sustainable transport options, can mitigate or avoid these additional tax burdens, to maintain a competitive edge. Corporate climate commitments Beyond CBAM and government carbon taxes, some major corporations, even if they are not subject to direct carbon taxes, have committed to reducing their global carbon emissions by a specified percentage within a set timeframe, in line with their Environmental, Social and Governance (ESG) goals. These commitments place considerable pressure on subsidiary manufacturers to implement carbon reduction strategies as well. Solar energy delivers dual benefits Harnessing solar energy can assist South African businesses in reducing their carbon footprint. With the country’s grid still largely coal-dependent, every kilowatt-hour of solar energy consumed in place of grid electricity cuts carbon emissions by one kilogram. This reduction is greater than that arising in countries with cleaner energy sources and highlights the potentially significant impact of solar energy in South Africa’s sustainability transition. For instance, if a manufacturing facility installs a roo£op solar plant to generate 30% of its power needs, it achieves a corresponding 30% reduction in its carbon footprint with regard to energy usage. This not only helps the business to align with emissions reduction targets but also lowers operational costs by decreasing its dependence on more costly grid electricity. This dual advantage sets solar apart from alternative compliance strategies for businesses, like purchasing carbon credits. While businesses have the option to purchase carbon credits the drawback is that they provide no direct financial savings. Solar energy, on the other hand, is a strategic investment that addresses sustainability goals and contributes to improving the bottom line. Access options Despite the long-term financial and sustainability benefits for commercial and industrial clients, particularly in energy- intensive sectors, the upfront capital investment required to build a solar plant can be substantial. Investing in solar Continued from page 13
For more information visit: https://sps.africa
“The real test of a partner is not when everything is working perfectly,” Peters says. “It is when something goes wrong and they are still there to solve the problem.” In the growing renewable energy market, that distinction may determine whether an energy investment delivers its promised returns or becomes a costly lesson in inadequate due diligence.
For more information visit: www.renenergy.co.za
JUNE 2026 Electricity + Control
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