Evaluating economic impacts of utility scale solar photovoltaic localisation in South Africa

Stanley Semelane; Nnamdi Nwulu; Njabulo Kambule; Henerica Tazvinga

doi:10.1080/15567249.2021.1894513

Evaluating economic impacts of utility scale solar photovoltaic localisation in South Africa

Stanley Semelane, Nnamdi Nwulu, Njabulo Kambule, Henerica Tazvinga

Electrical and Electronic Engineering Science

Research output: Contribution to journal › Article › peer-review

2 Citations (Scopus)

Abstract

The localization process seeks to ensure that the production of particular components occurs from local companies, thus restricting manufacturing to local firms. Solar Photovoltaic (PV) panels localization can stimulate regional economic development in coal phase-out regions. This paper uses the Jobs and Economic Development Impact (JEDI) model to assess the economic impact of enhanced solar PV localization and further analyses enhanced solar PV Local Content Requirements (LCRs) scenarios. The study determined that the optimization of LCRs has a positive influence on employment and Gross Domestic Product (GDP) under the considered timeframes (2020−2030). Specifically, the study found that a total of Full-Time-Equivalent (FTE) jobs that would be created by a 100% LCRs will be 249 315 over 10 years. An 80% LCRs scenario projected that a total of 219 513 jobs will be created while the overall economic impact is estimated to be USD 74 975, 248.43 over 10 years.

Original language	English
Pages (from-to)	324-344
Number of pages	21
Journal	Energy Sources, Part B: Economics, Planning and Policy
Volume	16
Issue number	4
DOIs	https://doi.org/10.1080/15567249.2021.1894513
Publication status	Published - 2021

Keywords

Employment
coal phase-out
energy transition
local content
localization
solar PV

ASJC Scopus subject areas

General Chemical Engineering
Fuel Technology
Energy Engineering and Power Technology

UN SDGs

This output contributes to the following UN Sustainable Development Goals (SDGs)

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10.1080/15567249.2021.1894513

Cite this

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title = "Evaluating economic impacts of utility scale solar photovoltaic localisation in South Africa",

abstract = "The localization process seeks to ensure that the production of particular components occurs from local companies, thus restricting manufacturing to local firms. Solar Photovoltaic (PV) panels localization can stimulate regional economic development in coal phase-out regions. This paper uses the Jobs and Economic Development Impact (JEDI) model to assess the economic impact of enhanced solar PV localization and further analyses enhanced solar PV Local Content Requirements (LCRs) scenarios. The study determined that the optimization of LCRs has a positive influence on employment and Gross Domestic Product (GDP) under the considered timeframes (2020−2030). Specifically, the study found that a total of Full-Time-Equivalent (FTE) jobs that would be created by a 100% LCRs will be 249 315 over 10 years. An 80% LCRs scenario projected that a total of 219 513 jobs will be created while the overall economic impact is estimated to be USD 74 975, 248.43 over 10 years.",

keywords = "Employment, coal phase-out, energy transition, local content, localization, solar PV",

author = "Stanley Semelane and Nnamdi Nwulu and Njabulo Kambule and Henerica Tazvinga",

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AU - Semelane, Stanley

AU - Nwulu, Nnamdi

AU - Kambule, Njabulo

AU - Tazvinga, Henerica

PY - 2021

Y1 - 2021

N2 - The localization process seeks to ensure that the production of particular components occurs from local companies, thus restricting manufacturing to local firms. Solar Photovoltaic (PV) panels localization can stimulate regional economic development in coal phase-out regions. This paper uses the Jobs and Economic Development Impact (JEDI) model to assess the economic impact of enhanced solar PV localization and further analyses enhanced solar PV Local Content Requirements (LCRs) scenarios. The study determined that the optimization of LCRs has a positive influence on employment and Gross Domestic Product (GDP) under the considered timeframes (2020−2030). Specifically, the study found that a total of Full-Time-Equivalent (FTE) jobs that would be created by a 100% LCRs will be 249 315 over 10 years. An 80% LCRs scenario projected that a total of 219 513 jobs will be created while the overall economic impact is estimated to be USD 74 975, 248.43 over 10 years.

AB - The localization process seeks to ensure that the production of particular components occurs from local companies, thus restricting manufacturing to local firms. Solar Photovoltaic (PV) panels localization can stimulate regional economic development in coal phase-out regions. This paper uses the Jobs and Economic Development Impact (JEDI) model to assess the economic impact of enhanced solar PV localization and further analyses enhanced solar PV Local Content Requirements (LCRs) scenarios. The study determined that the optimization of LCRs has a positive influence on employment and Gross Domestic Product (GDP) under the considered timeframes (2020−2030). Specifically, the study found that a total of Full-Time-Equivalent (FTE) jobs that would be created by a 100% LCRs will be 249 315 over 10 years. An 80% LCRs scenario projected that a total of 219 513 jobs will be created while the overall economic impact is estimated to be USD 74 975, 248.43 over 10 years.

KW - Employment

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KW - energy transition

KW - local content

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KW - solar PV

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ER -

Evaluating economic impacts of utility scale solar photovoltaic localisation in South Africa

Abstract

Keywords

ASJC Scopus subject areas

UN SDGs

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