The wind energy projects in Africa are located at 18 GW at the end of the first quarter of 2019, according to a new report by Wood Mackenzie Power & Renewables.
Some 6.5 GW of wind farm plants with wind turbines are at an advanced stage of development, although the report, “Perspectives of the wind energy market in Africa 2019”, points out the rate of completion of the project is still low in the region.
At the end of 2018, the accumulated capacity in Africa was 5.5 GW, he added.
Demand in South Africa is one of the main drivers of wind energy in the continent, and the country is expected to have more than 1 GW under construction in 2020 and 2021.
In the long term, South Africa has a target of more than 10 GW of additional wind power capacity until 2030, the report adds.
Wood Mackenzie Power & Renewables principal analyst Sohaib Malik said: “Africa’s most industrialized economy, South Africa, has its main wind energy market, with 2.1 GW of operating capacity as of the first quarter of 2019.
“The problems with governance that took place in 2016 and 2017 were bad news for the local market, which did not register new additions in 2018.
“However, it is expected that the facilities will be restarted in 2019 with 130 MW of new capacity additions in operation, although delays are possible.
“Growth prospects will improve thereafter, with more than 1 GW of capacity expected in 2020 and 2021 combined.
“This perspective is supported by ongoing construction activity, which peaks in 2020 as the PIPs race to achieve commercial operations.”
In general, the projects were commissioned in only four markets in 2018, according to the report.
Malik said: “The scale of development underscores the ability of the continent’s largest wind markets to grow in a sustained manner, which yields a plan for the markets to potentially take advantage of their wind potential and stimulate economic growth.”
Add a new impulse.
“Competitive acquisition has proven to be the preferred tool for policy support, with South Africa and Morocco introducing auction programs in 2011 and 2015, respectively,” he said.
“Tunisia has solicited bids for wind IPPs in 2017, while Kenya and Ethiopia are contemplating the launch of auctions for future installations.
“These developments become global trends where competitive procurement regimes have resulted in lower rates in many countries.
“In particular, this trend may be less shocking in emerging markets, which is expected to be created in less than 800 MW capacity until 2028, that the volumes of the auctions may be enough to attract the attention of the leaders of the Wind industry drafting ».
Other countries that drive growth are Egypt and Morocco.
Malik said: “Several international developers are running projects with an early commissioning in the near future.
“As a result, a wind IPP market in Egypt with 1.3 GW capacity is established. In the same way, the commissioning of 1GW of wind capacity in Morocco, granted between 2012 and 2016, will improve the role of IPP in this market.
“It is necessary that both countries take measures to consolidate their success.
“For example, Morocco needs to introduce new rounds of sales by the beginning of 2020 and the Egyptian government must implement a more rigorous policy framework for the long-term development of its wind energy market.”
He added that Ethiopia, Tunisia, Kenya, Algeria and Ghana also offer potential for project development.