As SA gears itself toward the independent power producer (IPP) market, the country is poised for economic growth and socioeconomic development.
Aside from bringing much-needed electrical power generation capacity, these projects will also facilitate job creation, social upliftment, and local industry development. However, delivering the skills required for these projects – particularly in the rural areas where the renewable generation plants are being developed – can prove to be a challenge.
In addition, there is the need to create long-term, sustainable economic development around projects that are temporary in nature. A temporary employment services (TES) provider can assist on both counts and help to bridge the skills gap to assist with the successful deployment of IPPs.
The renewable energy independent power producer procurement programme (REIPPPP) introduced designated local content, where 40% of an IPP project spend must be sourced locally. This ruling creates tremendous opportunity for our economy, including a significant positive impact on job creation, since the current REIPPPP bid window 5 is expected to create thousands of jobs, and future bid windows will bring further job opportunities.
However, it also creates challenges for the IPPs. One of the main challenges we face is a shortage of locally available skills, as renewable energy is still new to SA. While there are individuals with the necessary certifications and qualifications, they often do not have experience specifically within the energy and renewable energy sectors.
Furthermore, when it comes to engaging with ward councillors and community leaders, managing these relationships requires dedicated attention and a significant understanding of the SA market and labour force. Contentious issues like wage negotiations can increase the potential risk of strikes or unrest if they are not expertly and successfully managed, which could result in very costly delays.
In addition to these challenges is the fact that the construction phase of each site requires certain skills only on a temporary or project basis, which can be quite difficult for an IPP to manage when trying to source the right talent.
This includes civil, mechanical, electrical, and engineering skills, as well as new skills required to work with solar panels and inverters. A reputable TES provider can therefore be hugely beneficial in addressing these challenges.
A provider with experience in the energy sector as well as relationships in the communities can help IPPs to navigate and manage the intricacies of the relationships between the community and unions to mitigate any risks and concerns for the IPP.
In addition, a TES provider can manage the full recruitment process together with the payroll, human resources, and industrial relations, and provide a pool of skills to draw from at short notice.
As one of the current challenges is a skills and experience shortage in the renewable energy sector, it is imperative to give job opportunities to those with industry specific certifications and qualifications as it provides valuable "on the job" skills training and development together with sought-after work experience.
This approach will not only ensure we grow our existing labour force to meet our demand for a skilled and experienced workforce for our energy sector, but also to help these candidates maximise future employment opportunities. A reputable TES provider is well positioned to assist in this regard.
TES providers are committed to local economic development objectives and will continue to play a vital role in assisting IPPs to meet the local content target required by the REIPPPP. Success lies in partnering with a TES provider with a solid understanding of the renewable energy sector, the SA economic environment and local labour legislation. This enables IPPs to remain focused on their core function, which in turn ensures they can complete projects on time and within budget.
• Govender is sales director at Worldwide Staffing
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