Page 21 - EngineerIT June July 2025
P. 21

ENERGY


        Plugging in power: South Africa’s BES boom


        amid plunging battery power prices



        By Chris Yelland                     relieve transmission bottlenecks     global price shifts are vital. Unit
                                             and enhance grid stability upon      pricing reductions make utility-scale
             outh Africa is taking steps     completion in 2027. Only a month     BES projects more economically
             towards an era of greater grid   earlier, EEBI reported on South     viable in South Africa, enhancing
        Sresilience with the 153 MW /        Africa becoming a significant BESS   renewables integration and helping
        612 MWh Red Sands Battery Energy     destination on the global stage, with   combat load-shedding.
        Storage (BES) project achieving      preferred bidders announced for a
        financial close, marking Africa’s    total of 615 MW / 2460 MWh under     The NTCSA and Eskom stand to benefit
        largest standalone BES system to date.   Bid Window 3 of the Battery Energy   from competitive capital costs,
        The joint venture initiative between   Storage IPP Procurement Programme   especially as long-duration storage
        Globeleq and African Rainbow Energy   (BESIPPPP) of the IPP Office, cementing   becomes a backbone of dispatchable
        secured R5.4bn debt financing from   the role of BES in supporting Eskom's   power. Together, BESIPPPP, Red Sands
        Absa and Standard Bank.              grid. This local progress aligns     and declining battery prices signal a
                                             with global trends as battery costs   turning point in South Africa’s energy
        The achievement was inked in a       continue to plummet.                 landscape – pointing to a future
        15-year power purchase agreement                                          where clean, dependable and cost-
        signed with the National Transmission   In China, a monumental auction    effective storage underwrites a stable,
        Company South Africa (NTCSA) and     for 25 GWh of lithium-ion battery    cleaner grid.
        procured by the IPP Office of the    modules yielded bids as low as
        Department of Energy & Electricity.   US$51.6/kWh for four-hour storage   To see an archive of all energy and
        The system, located near Upington    systems – about 30% below last       electricity sector roundups to date,
        in the Northern Cape province, will   year’s average. Domestically, these   visit: www.eebi.co.za/news






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                                                                                          CONTACT
                                                                               Tel: +27 (0)11 454 6025
                                                                       email: sales@h3isquared.com
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