Expected ROI of enterprise ESS system project in South Africa 2026

What is ESS & how does it work?

ESS plays a crucial role in the energy sector, providing solutions for intermittency issues associated with renewable energy sources. These systems store excess energy produced during peak production times for use during periods of high demand or low production.

What is the demand for high-performance energy storage (ESS)?

The demand for high-performance ESS is increasing, as the adoption of electric vehicles increases across the globe. Furthermore, advancements in technology are leading to the development of efficient and cost-effective energy storage solutions, further propelling the market.

Why is the US a leader in the implementation of ESS?

The US, in particular, is a frontrunner in the implementation of ESS due to its well-established energy infrastructure and the presence of major market players. The commitment of the country to reducing carbon emissions and its focus on enhancing grid stability contribute to the market growth in the region.

Are SMME programmes affecting South Africa's entrepreneurial capacity and capabilities?

However, despite a variety of measures having been put in place to develop the SMME sector in South Africa and ESD programmes being valued at between R20 billion and R30 billion per annum, the impact of such programmes in terms of developing the country’s entrepreneurial capacity and capabilities remains uncertain.

How will the OASIS project work in South Africa?

The Oasis projects will operate under a 15-year Power Purchase Agreement with Eskom, South Africa's public utility. Those projects are crucial to the South African electricity infrastructure as the system needs more flexibility to improve the grid stability.

How can ESD help smmes achieve broad-based economic development?

Effective ESD programmes can catalyse broad-based economic development in emerging economies by enabling SMMEs to access procurement opportunities, grow their businesses, and create jobs (Davidson et al., 2024; B-BBEE Commission, 2022).