An assessment of the factors that influence the successes and failures of independent power producer projects

Abstract

The progression of the renewable energy independent power producer procurement programme (REIP) in South Africa is under enormous risk owing to regulatory frameworks. A literature search is conducted to establish international best practice for renewable energy (RE) project implementation. A mixed methods research study is conducted to quantify factors that have an influence on performance of REIP. This knowledge is adopted to evaluate a relative status of the South African REIP initiatives. Secondary data is analysed for the five years of the renewable energy programme's existence in South Africa, comparing leading and follower countries. This paper provides a review of the progress with renewable energy programme. The research also provide recommendations for continuous improvement in order for independent power producers (IPP's) to enhance competitiveness. According to this analysis and South Africa's gross domestic product (GDP), the investment in renewable energy programme is close to parity with leading economies such as Germany.