This document provides a strategic analysis of national and global policies and best practices for SWH market development, resulting in a clear action plan for application by South Africaâs provincial government of Western Cape. The authors, Sustainable Energy Africa, are clear that South Africaâs target for 1 million SWHs by 2014/2015 will be only met with a coordinated approach from its different levels of government.
After outlining the numerous incentive schemes implemented by the South African government to encourage greater SWH uptake, and assessing their relevance to the Western Cape Province, the document summarises equivalent international incentives, leading to clear conclusions about best practice:
â¢ Legislation requiring mandatory installation of SWHs for new/refurbished buildings is essential.
â¢ Deployment of SWH subsidies has caused problematic market distortions in several countries. If subsidies are to be successful, they must come alongside a suite of other incentives: tax rebates, low-interest loans, public campaign etc.
â¢ Demand for SWH is directly affected by oil and electricity price changes
â¢ Each country should establish tailor-made policy approaches to meet the needs of their individual markets
These conclusions are followed by an action plan for further action by the provincial government of Western Cape. This focusses on improving the implementation of national initiatives such as Eskom, and directly incentivising local manufacturing through provincial-level mechanisms.
Author: Sustainable Energy Africa
Download the document here, or read it below: