South Africa is one of the fastest-growing economies in the African continent, thanks to its natural resources and an increasing number of dynamic sectors, like transport and finance. A relatively new sector, renewable energy, despite being less than 20 years since the start, is gradually evolving into a cluster. South Africa’s overwhelming production of carbon dioxide (CO2), about 1.49% of
... [Show full abstract] global CO2 emissions, had pushed the government to engage in a long-term commitment to the development of a renewable energy sector. The aim of this chapter is to provide an analysis of the evolution of the South African renewable energy cluster, focusing at first on the country’s overall economic performance and its current business environment. Further, it carries out a detailed analysis of the cluster itself, from its inception to its current situation and its undeniably remarkable achievements. Finally, it outlines the sector’s current strategic issues, while also proposing possible solutions.