Green Economy Journal Issue 62

MOBILITY
SA’s automotive manufacturing
industry is seriously at risk if the
country does not transition.
“The world does need to make this change to a greener future. But
it’s not as simple as it sounds to say, ‘Well, we’ll have a just transition,
so there’ll be no losers,’” Patel acknowledges.
“What do you do with the more than 100 000 service station
attendants and mechanics? Because we don’t control technological
development and it may be then everybody ends up charging the
cars at home.
“You have got to be able to navigate with a lot of thought and
that is really what the White Paper does – and that is why it has
taken a bit of time to get all of those things on the table to balance
them carefully.”
Battery energy
storage powered
by renewable energy
is the future, and it
is feasible in South
Africa right now!
Sodium-sulphur batteries (NAS ® Batteries),
produced by NGK Insulators Ltd., and
distributed by BASF, with almost 5 GWh
of installed capacity worldwide, is the
perfect choice for large-capacity stationary
energy storage.
Dr Norman Lamprecht, the executive manager of trade, research
and exports for Naamsa, says that one of the inhibitors is the price
differential between a battery electric vehicle and an ICEV is around
52%, with no demand side-support in place to address this.
“In many other countries in the world the governments provide
an incentive such as cash grants or tax benefits to reduce the price
gap in order to stimulate sales of EVs,” Lamprecht says.
The lack of policy incentives from the government has been a big
reason for South Africa losing the EV race and is one of the reasons
this White Paper (which was meant to come out in 2021) is such a
big deal.
Patel says they expected the price differential to come down in
the next eight or so years, adding, “It may be quicker. Technology
always surprises everybody.”
The cost-benefit assumption of the just transition
Electrifying South Africa’s transport sector will contribute to the
country’s global decarbonisation goals.
THOUGHT [ECO]NOMY
ELECTRIC VEHICLES WHITE PAPER | Department of Trade, Industry and Competition (dtic) |
[November 2023]
A key characteristic of NAS ® Batteries is the
long discharge duration (+6 hours), which
makes the technology ideal for daily cycling
to convert intermittent power from renewable
energy into stable on-demand electricity.
NAS ® Battery is a containerised solution,
with a design life of 7300 equivalent cycles
or 20 years, backed with an operations and
maintenance contract, factory warranties, and
performance guarantees.
Superior safety, function and performance are
made possible by decades of data monitoring
from multiple operational installations across
the world. NAS ® Battery track record is
unmatched by any other manufacturer.
READ REPORT
greeneconomy/report recycle
Adoption of EVs has increased globally, driven in part by greater government incentives such as tax breaks
and targeted subsidies for producers and consumers as well as demand trends. Several regulators have
also decided to ban the sale of new Internal Combustion Energy (ICE) vehicles within the next 12 years as
part of their contribution to achieving net zero emissions by 2050, including markets like the EU and UK.
These global trends will have a significant impact on South Africa and its economy. Not only is South
Africa the largest automotive manufacturing hub on the African continent, but it is also highly integrated
into global supply chain that draws components from across the world, including the SADC region, and
exports the final consumer product to more than 150 countries worldwide. As a larger number of countries
transition both their consumer and production markets to EVs, the impacts will be significant for South
African producers. The effective bans on ICE vehicles in key markets like the EU and UK will be profound, as
they absorb half of South African auto production.
Allowing the South African automotive industry to decline without the appropriate support is thus not
an option for government. The automotive industry contributes significantly to the South African economy,
ranking as the fourth largest in terms of output across all manufacturing sectors and contributing materially
to export revenues; they account for a significant part of the regional development in provinces like Eastern
Cape, Gauteng, and KwaZulu-Natal; and the industry creates and sustains large numbers of jobs and
promotes skills development.
This White Paper sets out the policy goals and actions which will be taken to support the transition
towards a broader new energy vehicle production and consumption in South Africa, with an immediate
focus on EVs.
Provide for your energy needs from renewable
energy coupled with a NAS ® Battery.
Contact us right away for a complimentary
pre-feasibility modelling exercise to find
out how a NAS ® Battery solution can
address your energy challenges!
info@altum.energy
www.altum.energy
Altum Energy:
BASF NAS ® Battery Storage Business
Development Partner – Southern Africa
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