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South Africa’s Green Energy Boom Created 6,000 Permanent Jobs, Analysts See Upside

South Africa’s Green Energy Boom Created 6,000 Permanent Jobs, Analysts See Upside
Tuesday, 25 November 2025 13:07
  • Green energy growth in South Africa has not boosted net job creation
  • Most jobs are short-term; only 6,000 permanent roles created in renewables
  • Coal dominance, grid limits, and weak industry base hinder job expansion

South Africa’s surge in green investment has yet to translate into net job gains, despite a wave of solar and wind projects, according to official data.

Statistics South Africa’s Quarterly Labour Force Survey for 2023 and 2024 shows employment in the “electricity, gas and water” category holding steady at around 119,000 jobs. The stagnation contrasts with projections released on Nov. 17, 2025, by the Public Investment Corporation and the University of Oxford, which estimate that large-scale green investments could generate around 70,000 jobs a year.

A comparison with data from the Renewable Energy Independent Power Producer Procurement Programme (REIPPPP) highlights the gap. Reports from the Independent Power Producer Office show that most employment created since the first bidding window has come from construction work. These workers are hired for installation phases that typically last six months to under two years, according to available data. Permanent positions in operations and maintenance remain limited. In more than a decade of implementation, the REIPPPP has created just over 6,000 permanent jobs, far fewer than the temporary construction contracts.

Coal’s long-standing dominance in South Africa’s power system helps explain the pattern. Eskom’s 2023 annual report notes that more than 80% of the country’s electricity still comes from coal-fired plants. The Minerals Council South Africa, which represents mining companies, reports that the coal sector provides about 90,000 direct jobs and more than 200,000 indirect jobs, reinforcing its weight in the labour market.

These structural factors curb the role of renewables in national energy employment. The sector also lacks a strong industrial base capable of supporting large-scale green job creation.

Grid constraints further limit job growth tied to new renewable capacity. Eskom’s 2023 Transmission Development Plan indicates that transmission capacity is already fully used in parts of the Northern Cape, Western Cape, and Eastern Cape, preventing the immediate connection of new solar and wind facilities.

Official planning documents nonetheless point to elements that could expand renewable-energy employment over the medium and long term. Eskom’s 2022–2031 Transmission Development Plan includes new lines and transformers intended to increase grid capacity and support future connections.

On the employment side, a 2024 analysis by the South African Photovoltaic Industry Association estimates between 98,000 short-term direct jobs and nearly 460,000 positions under a scenario of rapid solar and wind deployment.

Abdel-Latif Boureima

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