Tariff reversal threatens investment

Business Day Online
8 August 2011: Your list of obstacles to foreign direct investment (Obstacles to FDI only getting worse, July 28) omitted a recent development in energy infrastructure investment: what appears to be a campaign by some officials to reverse a policy commitment to feed- in tariffs for electricity from renewable resources (Refit).
Not that we should rely entirely on foreign investment to achieve the job creation benefits (not to mention the environmental and portfolio risk management benefits) of transforming to a sustainable electricity supply, but certainly the number of investors and project developers recently setting up shop in SA should be welcomed.
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Market Segment
System Size
Total Capacity
0 - 30 kWp
Commercial and Industrial (C&I) - SSEG
30kWp - 1MWp
C&I Large Scale and utility scale
1MWP - 50MWp
Utility Scale
> 50MWp