The Key Action Programme for solar water heating (South Africa)

The Key Action Programme for solar water heating is the roll-out of a national SWH programme and manufacturing and installation capacity, through a phased approach to SWH production to increase the local market size and allow long enough lead times for manufacturers to upscale. Picture by: Bloomberg News

The DTI’s SWH milestones are:
• By the second quarter of the 2010/11 financial year (ending March 31, 2011), the DoE will introduce a subsidy programme covering one-million units by 2014.
• By the end of December 2010, the DTI and the National Regulator for Compulsory Specifications will publish amended national building regulations to make it compulsory for new buildings and upgrades to homes to install SWHs and other energy efficiency building requirements, from March 2011.
• By the end of September 2010, the DTI will ensure that legislation is enacted to make it compulsory to install a SWH when an existing geyser is replaced.
• Between 2010/11 and 2012/13, DTI incentives and Industrial Development Corporation (IDC) industrial financing will be leveraged to support investment and increasing manufacturing and installation capacity in the SWH value chain.
With regard to increasing manufacturing capability, Tudor-Jones warns against premature investment until the demand has been created to justify significant investment, but adds that once the demand is visible, he is “fully behind” incentives to increase manufacturing capability.
The programme hopes to increase SWH installation from 35 000 to 250 000 units a year over the next three years, and to increase manufacturing from 20 000 to 200 000 units a year.
The DTI also recognises that poor-quality products could give the entire industry a bad name, thus the requirement for clear standards for the industry, and the need to unblock the South African Bureau of Standards (SABS) testing bottlenecks is vital.