South Africa’s wind sector is booming lately with more foreign companies seeking the opportunity to open branches in the country in order to service the continent’s wind energy needs. China’s Xinjiang Goldwind Science and Technology opened an office in Cape Town on March 14 to supply equipment and project finance for wind projects in Africa.
Goldwind Africa will be looking to supply wind turbines, but also offering projects equity and debt financing with the support of Chinese financial institutions. The company would initially import the turbines, but it is currently in discussions with several South African wind developers to partner for wind projects within the country. A couple of on-the-ground options that could be of interest to Goldwind Africa is Zephyr Corp. and Mainstream Renewables.
With South Africa looking to generate 10,000 GWh from alternative sources by 2013, others have already opened an office in the country or are awaiting the proper regulation to set up shop. Denmark-based LM Wind is waiting for South Africa to pass its Integrated Resources Plan (IRP2010), but hopes to set up offices within the country once the regulation is passed. The largest wind turbine manufacturer in the world, Vestas, announced in June 2010 that it established a permanent office in South Africa to serve the southern African region.
Most recently, the German company juwi group opened a new office in Stellenbosch that primarily focuses on wind energy with plans to construct plants with a total output of 200 MW to 300 MW within the next nine years. And on the heels of that announcement, financier Nedbank Group opened South Africa’s first wind-powered branch in the Western Cape.
While South Africa only produces about 5% of its total energy generation from wind energy, the country’s future looks bright with many companies getting geared to help it reach its renewable energy ambitions. Egypt produces the most wind energy on the continent, but that is subject to change should more wind companies continue to vie for a spot in South Africa’s burgeoning market.
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