The factory closure is a major blow to various local initiatives to promote green energy, particularly in the Western Cape, which is setting up a green technology special economic zone.
Ironically the factory to be closed was officially opened by Deputy Minister of Trade and Industry Mzwandile Masina.
The DTI now stands accused of paying lip service to growing the green economy.
News of the closure prompted harsh words yesterday from Economic Opportunities MEC Alan Winde who has been championing a provincial green energy hub.
In a strongly worded letter to Trade and Industry Minister Rob Davies, SMA yesterday slammed the government's lack of commitment to their renewable energy independent power producer procurement programme (REIPP).
"SMA and its shareholders fail to see a commitment from the South African government to create a sustainable business environment and promote foreign direct investment," said Thorsten Ronge, general manager of SMA's sub-Sahara division.