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Green Economy Journal Issue 62

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MOBILITY<br />

MOBILITY<br />

Rapid shift to<br />

RENEWABLE ENERGY<br />

vital for<br />

EV transition<br />

“This has been a successful contributor to South Africa’s GDP and<br />

manufacturing output and employment, and we want it to have a<br />

sustainable future in South Africa.”<br />

How would South Africa transition to EVs when it can barely<br />

keep the lights on?<br />

Patel says that the pace of South Africa’s transport transition would<br />

be influenced by several factors, including the fact that the country<br />

was battling with an energy shortage (he adds that South Africa<br />

would need to “avoid a sharp rise in energy demand on the grid from<br />

electric vehicles while the grid capacity is being rebuilt”), its energy<br />

mix was dominated by coal (which means charging an EV wouldn’t<br />

be as green as it is in other countries), and it was still in the early<br />

stages of rolling out charging infrastructure. As a result, the Electric<br />

Vehicles White Paper argues that the transition to EVs is dependent<br />

on the national energy mix shifting to renewable energy.<br />

“If our grid remains coal-based, the climate change value to<br />

domestic consumers will be lower,” Patel adds. “So, we are backing<br />

a green dash to try to get greater levels of renewable energy on the<br />

national grid.”<br />

PHASE 1. BUILDING PRODUCTION CAPABILITY<br />

South Africa doesn’t manufacture EVs locally – this not only means<br />

buying one in South Africa would be expensive (as it would be<br />

imported), but the local automotive manufacturing industry (which<br />

serves some 500 000 jobs) is seriously at risk – 66% of South Africa’s<br />

light vehicle production is exported overseas, with most of those<br />

cars going to countries that are planning on banning ICEVs soon.<br />

The first phase of the White Paper focuses on building production<br />

capability for electric vehicles.<br />

“We don’t want to be relegated to being only an ICEV producer,”<br />

Patel says, warning that if the transition to EVs was poorly managed,<br />

South Africa would have to import EVs, and because it is reliant on<br />

exports, by 2030 South Africa would have a declining asset base.<br />

The transition to EVs is<br />

dependent on the national<br />

energy mix shifting to<br />

renewable energy.<br />

SA’s long-awaited Electric Vehicles White Paper was released at the end of 2023, with Minister<br />

Patel emphasising that the value of SA’s electric vehicle market will be realised only if our<br />

national energy mix seriously accelerates our renewable energy capacity.<br />

The Electric Vehicles White Paper provides the long-term strategy<br />

for South Africa to transition to electric vehicles, and makes<br />

the argument for a strong shift to more renewable energy,<br />

Trade, Industry and Competition Minister Ebrahim Patel says.<br />

“The grid has to become greener, not only for purposes of<br />

general climate change and to ensure a wider source of energy,<br />

but also because the value of the domestic market transitioning to<br />

electric vehicles (EVs) will only demonstrate itself if the charging<br />

infrastructure can pull energy that is a lot more renewable than<br />

currently is the case,” says Patel.<br />

The Electric Vehicles White Paper, which was approved by the<br />

Cabinet last year, aims to ensure South Africa becomes part of the<br />

global shift from internal combustion engine vehicles (ICEVs) to<br />

new-technology vehicles (which include battery EVs and hybrids).<br />

South Africa’s transport sector is the second biggest polluter<br />

after the power industry – accounting for 13% of the country’s<br />

CO2 emissions, with road transport accounting for 91.2% of these<br />

transport emissions.<br />

In addition, South Africa’s automotive manufacturing industry<br />

is seriously at risk if the country does not transition. The National<br />

Association of Automobile Manufacturers of South Africa (Naamsa)<br />

reported that three out of every four vehicles exported were destined<br />

for the EU and the UK, which have set bans on the sale of new ICEVs<br />

from 2035.<br />

“We’ve got to make this transition for climate change purposes.<br />

But also, for industrial policy purposes,” Patel says.<br />

Article courtesy Daily Maverick<br />

Does the grid have the capacity to support EVs?<br />

MJ Booysen, an engineering professor at Stellenbosch University<br />

whose research and projects focus on electrifying the transport<br />

sector, says, “The answer is … it’s a negative number.”<br />

However, there are private companies that provide off-the-grid<br />

charging stations.<br />

As of mid-2023, South Africa had about 350 public EV charging<br />

stations, and many companies plan to expand.<br />

Patel says that while off-the-grid charging is part of the solution<br />

and should be encouraged, “We see it still being useful for early<br />

adopters and at a modest scale. If you want to move significantly,<br />

you’re going to have to integrate it into a stable infrastructure that<br />

can take a high load factor.”<br />

Patel emphasises that this meant dealing with grid constraints, and<br />

while this White Paper is not South Africa’s Integrated Resource Plan<br />

(which lays out the future of the country’s energy mix), it “makes the<br />

argument for a strong shift to more renewable energy”.<br />

Mike Mabasa, the CEO of Naamsa, said many original equipment<br />

manufacturers were looking at technology that recharged the battery<br />

as the vehicle moved. Some EVs have replaceable batteries, “So you<br />

drive into a charging station and instead of waiting for two hours to<br />

have the battery charged, you have it swapped for another.”<br />

PHASE 2. STIMULATING DEMAND FOR EVS<br />

Mabasa says, “We are very pleased to note that the White Paper<br />

takes into account stimulation for demand in Phase 2 … because<br />

we recognise the fact that the government is managing a number<br />

of competing – both social and also economic – challenges.”<br />

South Africa has only about 2 300 EVs among some two-million<br />

passenger vehicles, which is a far cry from the rest of the world, with<br />

14% of all cars sold worldwide in 2022 (amounting to 10-million)<br />

being electric.<br />

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