Investing in renewable energy could be a cost-effective solution according to a World Wildlife Fund report.  With abundant sunlight and wind, solar, thermal and wind energy technologies could be most promising possibilities.

WWF Climate Change Program Manager Richard Worthington said South Africa could loose the credibility it has earned for being the most active amongst developing countries in combating climate change if it did not follow through on targets.

With South Africa dependent on coal for more than 90 percent of its power generation Worthington said, “We risk having to live with ever-increasing fuel prices and the possibility of international penalties or trade barriers for SA exports manufactured with dirty energy.

Eskom, SA’s utlitiy, has been rationing electricity since the national grid almost collapsed early last year due to a rise in the demand and lack of investment in new power generating capacity.

Eskom has subsequently launched a 343 billion rand new power investment program with two 4 800 MW coal-fired power plants due to start up in 2015 and 2016.

Eskom has taken the stance that coal is the cheapest and fastest way to add new mega watts to the grid while analysts and think tanks say that renewable energies would be more sustainable and the cheaper option in the long run.

Worthington said that in addition to international funding and subsidies, South Africa could use a feed-in tariff and tradable renewable energy certificates to make it affordable.

When coupled with efficiency measures, it would help save money, thereby cutting electricity costs to 18 percent below the cost of a coal-fired plant.

“We have so much potential we just need to count the costs to see why and how we can mobilize investments,” said Worthington.

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