Why is battery storage important in South Africa?

In South Africa, battery storage is increasingly seen as a key pillar to help provide grid stability and integrate variable renewables given its ageing coal-fired power fleet and grid.

How can South Africa develop a sustainable and competitive battery storage industry?

Addressing this gap is crucial for the development of a sustainable and competitive domestic industry. Competition: The global battery storage industry is already dominated by established players, particularly in Asian countries. South Africa needs to develop a strong value proposition to attract investments and compete effectively.

Can South Africa become a global player in battery storage?

The energy transition presents a unique opportunity for South Africa to not only address its internal challenges, but also become a global player in the battery storage industry.

Could South Africa's battery industry become a $3 billion industry?

One of the key opportunities in South Africa’s battery sector is the integration of local mining activities into the global supply chain. According to Mohale, “the World Bank estimates that the potential of South Africa’s battery value chain could become a $3 billion industry, creating 40,000-50,000 jobs.”

What is the largest battery energy storage system in Africa?

Unveiled in 2023, thanks to $195 million from the International Bank for Reconstruction and Development (IBRD) and $220 million from AfDB, this flagship project represents the largest battery energy storage system (BESS) on the African continent.

How can South Africa tackle battery storage challenges?

To overcome these challenges and unlock the potential within the battery storage sector, South Africa needs a multi-pronged approach that must include: investment in refining and processing infrastructure; focusing on existing strengths; fostering collaboration; developing attractive investment incentives; and embracing innovation.