From Global Consensus to Local Action: South Africa’s Next Step in the Energy Transition
By Murray Crow, Managing Director, Kwikot
When South Africa handed over the Business 20 (B20) policy recommendations to the G20 in early September, it marked a defining moment in the continent’s evolving role in the global economy. For the first time, an African-led B20 shaped the business community’s contribution to the G20 agenda, one grounded in inclusive growth, sustainability and shared prosperity.
But that achievement is just the start. The next challenge lies in converting these high-level recommendations into tangible local impact, through measurable investment, accelerated technology adoption and job creation across Africa’s emerging green economy.
In this in-depth guide, we explore how South Africa’s energy transition is moving from global policy to local progress, turning climate commitments into measurable results through energy efficiency, innovation and inclusive economic growth.
When South Africa handed over the Business 20 (B20) policy recommendations to the G20 in early September, it marked a defining moment in the continent’s evolving role in the global economy. For the first time, an African-led B20 shaped the business community’s contribution to the G20 agenda, one grounded in inclusive growth, sustainability and shared prosperity.
But that achievement is just the start. The next challenge lies in converting these high-level recommendations into tangible local impact, through measurable investment, accelerated technology adoption and job creation across Africa’s emerging green economy.
In this in-depth guide, we explore how South Africa’s energy transition is moving from global policy to local progress, turning climate commitments into measurable results through energy efficiency, innovation and inclusive economic growth.
Why Policy Implementation Matters for South Africa’s Energy Transition
The 2025 B20 cycle produced 30 recommendations developed by more than 3 000 business leaders across eight task forces, among them the Energy Mix and Just Transition group. Its emphasis now is on execution: turning ambitious sustainability targets into practical actions backed by finance, skills and verified impact.
Three clear insights have emerged:
1. Credibility equals implementation. The true value of international policy lies in what nations build, retrofit and finance.
2. Energy efficiency is the first fuel. Reducing demand is the fastest and most inclusive way to cut emissions.
3. Inclusion must be intentional. Women, youth and small businesses must be integrated into energy-transition value chains from the outset.
According to the International Energy Agency’s World Energy Outlook 2023, emerging economies must increase clean-energy investment sixfold by 2030 to stay on a net-zero pathway. That scale of capital will only flow where policy certainty and measurable outcomes exist.
Energy Efficiency: South Africa’s Fastest Route to Impact
In South Africa, residential water heating accounts for up to 60 percent of household electricity use (Saving Energy SA, 2024). Cutting that single category of demand could permanently shift peak-load pressure and ease grid strain faster and more cost-effectively, than bringing new generation capacity online.
Efficiency might not sound glamorous, but it is the most democratic part of the energy story. It creates local jobs for technicians and installers, reduces monthly costs for households and SMEs and frees up scarce supply for industrial use.
For the government, it provides fast, visible proof that climate ambition can deliver economic inclusion at the same time.
Efficiency might not sound glamorous, but it is the most democratic part of the energy story. It creates local jobs for technicians and installers, reduces monthly costs for households and SMEs and frees up scarce supply for industrial use.
For the government, it provides fast, visible proof that climate ambition can deliver economic inclusion at the same time.
The B20 South Africa Call to Action for a Sustainable Energy Transition
The B20’s Energy Mix and Just Transition Task Force highlights four priorities for governments and industry alike:
Set enforceable standards
Progress requires phased efficiency and safety standards that are aligned with local manufacturing capacity. Such standards give consumers and investors the confidence to adopt new technologies.
Adopt performance-based finance
Blended-finance tools and guarantee schemes are critical for de-risking small-scale renewable and efficiency projects. This unlocks private capital for community-level solutions.
Invest in skills and training
South Africa’s technical and vocational programmes must scale up to produce the artisans, auditors and installers needed to deliver projects at pace.
Measure and verify impact
Robust measurement and verification (M&V) frameworks build both public trust and investor confidence. Transparency around outcomes converts sustainability talk into trackable results.
Together, these measures form the ecosystem where clean technologies shift from aspirational to bankable and where the transition delivers shared value.
Together, these measures form the ecosystem where clean technologies shift from aspirational to bankable and where the transition delivers shared value.
Smart Technology and Renewable Innovation Powering South Africa’s Energy Future
Technology now exists to meet this policy moment.
Modern connected, solar-ready appliances and intelligent control systems allow users to manage demand in real time. They also generate the reliable data that financiers and utilities require to verify energy savings.
As standards evolve, these “smart-ready” systems could become the backbone of national load-shifting and demand-response programmes, making small adjustments at scale that collectively stabilise the grid.
Modern connected, solar-ready appliances and intelligent control systems allow users to manage demand in real time. They also generate the reliable data that financiers and utilities require to verify energy savings.
As standards evolve, these “smart-ready” systems could become the backbone of national load-shifting and demand-response programmes, making small adjustments at scale that collectively stabilise the grid.
Local Innovation and Renewable Manufacturing in South Africa
Local manufacturers are already aligning innovation with global energy priorities.
In the water-heating segment, for example, smart and solar-compatible systems developed by South African companies can cut household electricity use by up to 30 percent, according to field data by Power Optimal.
Scaled across 1 000 installations, that equates to annual savings of roughly 500 MWh, enough to power 200 homes and avoids 450 tonnes of CO₂ emissions.
These are the measurable, evidence-based results that attract investors, development finance institutions and policymakers alike.
In the water-heating segment, for example, smart and solar-compatible systems developed by South African companies can cut household electricity use by up to 30 percent, according to field data by Power Optimal.
Scaled across 1 000 installations, that equates to annual savings of roughly 500 MWh, enough to power 200 homes and avoids 450 tonnes of CO₂ emissions.
These are the measurable, evidence-based results that attract investors, development finance institutions and policymakers alike.
Building Skills, Inclusion and Energy Awareness Across South Africa
For Africa’s energy transition to succeed, it must also be inclusive by design.
Women and youth-led enterprises, as well as small and medium-sized contractors, should play a direct role in manufacturing, installation, maintenance and innovation.
Such inclusion does not just fulfil a social imperative; it expands the country’s skilled workforce, drives entrepreneurship and ensures that economic growth mirrors environmental progress.
Women and youth-led enterprises, as well as small and medium-sized contractors, should play a direct role in manufacturing, installation, maintenance and innovation.
Such inclusion does not just fulfil a social imperative; it expands the country’s skilled workforce, drives entrepreneurship and ensures that economic growth mirrors environmental progress.
Leadership and Consistency: Sustaining South Africa’s Global Energy Role
As the United States prepares to assume the G20 and B20 presidencies in 2026, South Africa’s credibility as the first African host will depend on what it achieves before then.
Key milestones include:
● Efficiency standards formally adopted and enforced
● Pilot projects demonstrating verified energy savings
● Blended-finance mechanisms active in retrofitting public facilities
● Documented participation of local SMEs and women technicians in delivery
If these milestones are met, Africa’s presidency will be remembered not as symbolic but as catalytic proof that policy ambition can yield practical transformation.
Key milestones include:
● Efficiency standards formally adopted and enforced
● Pilot projects demonstrating verified energy savings
● Blended-finance mechanisms active in retrofitting public facilities
● Documented participation of local SMEs and women technicians in delivery
If these milestones are met, Africa’s presidency will be remembered not as symbolic but as catalytic proof that policy ambition can yield practical transformation.
From Global Advocacy to Local Action: Delivering Real Impact in South Africa
Policy, by itself, cannot power a lightbulb. Real progress happens when governments, financiers and industry act in concert, aligning regulation, capital and skills.
As Murray Crow, Managing Director at Kwikot, explains:
“Policy only matters when it changes the way people live and work. South Africa helped shape the B20 agenda; now we must show how to deliver it.”
Over the next 18 months, South Africa has the opportunity to transform its global advocacy into local action. Success will depend on continuity, collaboration and measurable impact, not just commitments on paper.
As Murray Crow, Managing Director at Kwikot, explains:
“Policy only matters when it changes the way people live and work. South Africa helped shape the B20 agenda; now we must show how to deliver it.”
Over the next 18 months, South Africa has the opportunity to transform its global advocacy into local action. Success will depend on continuity, collaboration and measurable impact, not just commitments on paper.
The Road Ahead for South Africa’s Energy Transition
The transition to clean energy is not a distant ideal; it is an immediate development opportunity.
By focusing on energy efficiency, smart standards, inclusive value chains and reliable verification, South Africa can prove that climate responsibility and economic growth are not mutually exclusive.
The momentum built during its B20 leadership should not dissipate. Instead, it must drive domestic implementation, creating a model for how African economies can lead global sustainability agendas while delivering tangible local benefits.
The energy transition is no longer about rhetoric or pledges. It is about results.
And those results begin not in international conference halls, but in the homes, factories and public facilities where real change takes shape.
By focusing on energy efficiency, smart standards, inclusive value chains and reliable verification, South Africa can prove that climate responsibility and economic growth are not mutually exclusive.
The momentum built during its B20 leadership should not dissipate. Instead, it must drive domestic implementation, creating a model for how African economies can lead global sustainability agendas while delivering tangible local benefits.
The energy transition is no longer about rhetoric or pledges. It is about results.
And those results begin not in international conference halls, but in the homes, factories and public facilities where real change takes shape.
Frequently Asked Questions on South Africa’s Energy Transition
The Business 20 (B20) is the official dialogue forum for the global business community within the G20 process. For South Africa, hosting the B20 allows the continent to shape global economic priorities, particularly around sustainable growth and energy transition.
The 2025 B20 South Africa theme, “Inclusive Growth and Prosperity through Global Cooperation,” serves as the cornerstone of this mission. It underscores the importance of collaboration in addressing shared global challenges and ensuring that growth benefits all segments of society. This theme reflects South Africa’s belief that meaningful economic progress can only be achieved when inclusivity, sustainability and cooperation work hand in hand.
Efficiency reduces national energy demand, lowers household costs and creates local jobs in manufacturing and installation. It offers the fastest, most cost-effective way to stabilise the power grid while driving inclusive economic growth.
In South Africa, where electricity tariffs have risen by more than 300 percent over the past decade and continue to climb with no sign of slowing, energy efficiency is no longer optional, it is essential. Load shedding remains a persistent concern because the grid is overloaded and generation capacity struggles to meet demand. This makes every unit of saved electricity count.
As South Africans, we have always been known for our resilience and ingenuity. By being more resourceful and self-sufficient in our homes; whether through solar water heating, efficient appliances or smart energy management, we can save money in the long run, reduce our dependence on the grid and contribute to a more stable, sustainable energy future for the country.
But participation is not just about production; it is also about education. As an industry, we have a responsibility to help consumers understand why energy-efficient products are the right choice, not only for their households but for the country as a whole. Educating clients about the long-term savings, reliability and environmental benefits of sustainable technologies empowers them to make informed choices that contribute to national energy stability and lower carbon emissions.
When people see efficiency as more than just a purchase, as an investment in South Africa’s future, we move closer to a truly inclusive and sustainable energy transition.
If efficiency standards, pilot projects and blended-finance mechanisms are implemented within the next 18 months, measurable impact could be demonstrated before the 2026 G20 presidency handover.
The Bottom Line: Turning Policy into Power for South Africa’s Future
From global consensus to local action, South Africa’s energy transition now hinges on execution and inclusivity. The frameworks are in place, the technologies exist and the investment appetite is growing. The task ahead is to deliver, visibly, verifiably and at scale.
If South Africa succeeds, its leadership within the B20 will stand as a turning point for Africa’s green industrial revolution, proving that policy, when matched with action, can power not just homes, but hope.
About the author: Murray Crow is the Managing Director of Kwikot, one of South Africa’s leading manufacturers of energy-efficient water-heating systems and a Silver-Tier Sponsor of B20 South Africa 2025. The views expressed are his own and align with the B20 theme of “Inclusive Growth and Prosperity through Global Co-operation.”
If South Africa succeeds, its leadership within the B20 will stand as a turning point for Africa’s green industrial revolution, proving that policy, when matched with action, can power not just homes, but hope.
About the author: Murray Crow is the Managing Director of Kwikot, one of South Africa’s leading manufacturers of energy-efficient water-heating systems and a Silver-Tier Sponsor of B20 South Africa 2025. The views expressed are his own and align with the B20 theme of “Inclusive Growth and Prosperity through Global Co-operation.”