By Jan Fourie
As the world grapples with the urgent need for sustainable energy, Scatec, a key player in the renewable energy landscape, is making significant strides in the field of energy storage.
Our recent achievements and innovative approach to integrating cutting-edge storage technologies into renewable energy projects are helping to shape the future of this burgeoning industry.
The initiation of our three Kenhardt projects in the Northern Cape Province of South Africa, under the auspices of the Risk Mitigation Independent Power Producer Procurement Programme (RMIPPPP), exemplifies this innovative spirit. These ambitious projects, involving a total capital expenditure approaching a staggering $1 billion (R19bn), represent one of the most extensive photovoltaic endeavours globally.
Their unique design, incorporating a total solar capacity of 540 MW and a battery storage capacity of 225MW/1,140MWh, is truly the first of its kind and, upon completion, will rank among the world's largest solar and battery hybrid installations. More than just large-scale, these projects are transformative in that the utility-scale energy storage solutions will allow renewable solar energy to become fully dispatchable – and to flexibly meet the demands of the grid in real-time.
The Kenhardt projects provide a glimpse into the future of energy storage. Expected to provide 150 MW of dispatchable power under a 20-year Power Purchase Agreement, these plants will significantly alleviate the power shortages currently experienced in the region, highlighting the critical role of energy storage in South Africa’s road towards energy security and the battle against the ongoing load shedding crisis.
Scatec will retain a 51% stake in the project, while the remaining 49% will be held by local partner H1 Holdings. Our role as the Engineering, Procurement, and Construction (EPC) provider mandates us to provide Operation & Maintenance and Asset Management services for the power plants - a strategy which evinces our commitment to fostering local economic growth and also facilitates skills- and knowledge transfer around the latest innovations in incipient energy storage technologies – a rapidly evolving field.
Lithium-ion (Li-Ion) technology continues to be widely used as the primary storage solution in the solar energy industry - especially here in sunny South Africa, where its energy density has helped make solar energy cost competitive with coal-based plants at the utility and industrial scales.
However, other technologies are emerging as potential alternatives. For instance, super capacitors and different types of batteries (such as Li/K/Zn/Na/Mg ion/air-based solutions) are being researched for their flexibility of scale and low environmental impact. While Li-Ion is still a standard, we are committed to staying at the forefront of these developments, exploring options, and considering how to leverage these advances, to diversify the solar energy storage landscape and drive further innovation.
The Kenhardt projects underscore the transformative power of advanced storage technology in advancing towards a Just Energy Transition in South Africa.
Jan Fourie is the executive vice- president for Scatec in Sub-Saharan Africa.
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