Electrical Power & Protection


Energising South Africa

August 2024 Electrical Power & Protection

With South Africa facing a critical juncture in its energy transition – needing to meet rising demand while reducing emissions – energy storage is key, promising stable grids and integrating renewables. However, when discussing South Africa’s energy transition and the role of energy storage, it is crucial to differentiate between two distinct segments – in-front-of-the-meter systems and behind-the-meter systems. These segments have different timelines, approaches and resource pools, but both are equally important for the country’s transition.

Behind-the-meter (BTM) systems are typically smaller and usually fall into the private sector space such as residential, commercial, and industrial systems. These systems are quicker and easier (although still complex) to install, and could have a faster impact on South Africa’s transition. This impact of distributed systems has already been seen over the past three years with the proliferation of solar PV installations, mainly by small businesses and residential users.

In-front-of-the-meter (FTM) systems are bigger utility-scale projects that will be driven by Eskom or other power utilities, or independent power producers (IPPs) and Eskom. These are typically long-term projects and solutions that could take four to six years or more to complete.

While both are crucial to South Africa’s energy transition, behind-the-meter solutions provide immediate relief to the country’s energy constraints. In-front-of-the-meter projects are key to meeting actual energy transition targets and reducing emissions. These are typically large sustainable projects that will enhance the larger grid infrastructure utilisation, and ultimately assist to reduce the reliance on coal power stations.

Energy goals

Energy storage is considered crucial for South Africa’s energy goals, particularly in ensuring stable grids and integrating renewables. This is because, while the country has great renewable energy sources, the problem is its load profile that does not align with the renewable energy generation profile.

Hence, we need energy storage solutions to store energy during peak generation time, when there is lower demand. Excess energy produced during peak generation periods should be stored in energy storage systems and dispatched during high-demand periods, which will ensure a more efficient energy network.

Yet, this is where we have a problem in South Africa because in areas of the highest solar irradiance, where solar PV projects are most economical, we have grid capacity constraints and a lack of energy storage solutions. Currently, projects are underway to implement large battery energy storage systems in strategic locations, so that excess energy is not lost; but these projects take time.

To have a sustainable electricity network, energy storage is a crucial part of the system. While technology is likely to evolve and change in the future, there must be some sort of storage system as part of the long-term solution for the country’s energy transition.

Unfortunately, various factors have contributed to the slow adoption of energy storage in South Africa. With the rapid advancement of technology over the past few years, it has been difficult for investors to align with and invest in a specific technology and solution for local production, without knowing whether it will still be viable in a few years. The lack of a sufficient regulatory framework also added uncertainties to the industry.

It’s not just about loadshedding

Loadshedding has forced the country to transition very quickly to accepting energy storage solutions in behind-the-meter applications. However, it has been a far harder sell when it comes to commercial and industrial consumers because, depending on the type of load and the number of hours of backup they need, the return on investment can be between five and eight years, with solar PV included.

Encouragingly, people are starting to understand all the benefits of energy storage. Along with the maturity of solutions and the energy environment, various measures can be implemented to accelerate energy storage adoption in South Africa. For example, a significant driver is the tax relief provided through Section 12B of the Income Tax Act, which offers favourable tax incentives to consumers that invest in renewable energy, specifically for systems coupled to solar PV installations. It will be beneficial if this relief is extended past the date of 28 February 2025, and is expanded to include battery energy storage systems with or without being coupled to solar PV systems.

Additionally, proper financial structures and frameworks should be developed by all utilities for selling excess energy back into the grid. From a residential, commercial, and industrial point of view, this would also make the adoption of energy storage solutions a lot easier. Finally, energy wheeling and trading through municipal infrastructure, some of which already have proper fee structures and frameworks in place, could be implemented.

Other than merely sidestepping loadshedding, there are many other benefits to energy storage solutions, which people should understand and use to make informed decisions. Users should get an experienced partner that is qualified to provide them with the best advice and technical solutions for their specific needs.


Credit(s)



Share this article:
Share via emailShare via LinkedInPrint this page

Further reading:

Overcoming the bottling industry’s fragmented visibility
Schneider Electric South Africa IT in Manufacturing Electrical Power & Protection
Beverage bottling facilities are among manufacturing’s most energy-intensive environments, yet many still operate without granular insight into where that energy goes. Rezolia Muller-Potluri of Schneider Electric explains how tiered metering architecture and advanced

Read more...
Schneider Electric introduces next-generation BlokSeT switchboard
Schneider Electric South Africa Electrical Power & Protection
Schneider Electric has launched its next-generation BlokSeT low-voltage switchboard in West Africa, offering high reliability, predictive maintenance capability and digital integration for critical infrastructure and industrial applications.

Read more...
Powering South Africa’s renewable energy expansion
Electrical Power & Protection
ACTOM Distribution Transformers, the sole NECRT contract holder for Eskom, is powering South Africa’s renewable energy expansion through robust neutral earthing transformer solutions deployed across solar and wind projects in southern Africa.

Read more...
You can’t digitise a blackout
Schneider Electric South Africa Electrical Power & Protection
Across East Africa, smart meters and AI promise cleaner, more reliable power, but digital tools cannot optimise a grid too weak to carry the load. Schneider Electric’s Symphrose Ochieng sets out why operators should strengthen physical infrastructure first, then add digital capability in phases.

Read more...
Battery energy storage is key to powering South Africa’s manufacturing sector
Electrical Power & Protection
South Africa’s shift to renewables is creating a significant opportunity in battery energy storage, but local manufacturers face an uphill battle against cheap imports and stop-start demand. Richard van Moltke of ACTOM Static Power examines what it will take to build a sustainable local battery storage industry.

Read more...
Decarbonisation is reshaping mining strategy in Africa
Schneider Electric South Africa IT in Manufacturing Electrical Power & Protection
Mining companies across Africa are embedding decarbonisation into operational strategy, driven by investor, regulatory and customer pressure to reduce emissions while improving resilience.

Read more...
How to tell whether your mini-substation is new or refurbished
Electrical Power & Protection
Cosmetically refurbished mini-substations are being misrepresented as new equipment and sold back into the market, posing serious reliability and safety risks for mining, industrial and commercial operations. Trafo Power Solutions explains what to look for and what questions to ask before purchasing.

Read more...
Optimising energy reliability for African manufacturing
Electrical Power & Protection IT in Manufacturing
Unreliable power can cost African manufacturers as much as 31% in sales. Behind-the-meter power offers manufacturers in sub-Saharan Africa control, visibility and resilience in their energy provisioning.

Read more...
Electrical solutions for FMCG manufacturing giant
Electrical Power & Protection
An electrical upgrade at a leading fast-moving consumer goods facility demonstrates how ACTOM Kenya turned a fragile, reactive power infrastructure into a resilient, data-driven backbone for production. The project is also a case study in bridging legacy equipment with modern automation without disrupting operations.

Read more...
Real-time monitoring and predictive maintenance in African data centres
ACTOM Electrical Machines IT in Manufacturing
Running a data centre in Africa brings many challenges. Traditional maintenance strategies struggle to keep up with these realities. Predictive maintenance offers a different approach.

Read more...









While every effort has been made to ensure the accuracy of the information contained herein, the publisher and its agents cannot be held responsible for any errors contained, or any loss incurred as a result. Articles published do not necessarily reflect the views of the publishers. The editor reserves the right to alter or cut copy. Articles submitted are deemed to have been cleared for publication. Advertisements and company contact details are published as provided by the advertiser. Technews Publishing (Pty) Ltd cannot be held responsible for the accuracy or veracity of supplied material.




© Technews Publishing (Pty) Ltd | All Rights Reserved