Power Shift: How Mulilo and Scatec Are Charging Up South Africa’s Energy Future

If you live in South Africa, chances are you’ve spent more time in the dark than you’d care to admit. Load shedding has gone from an occasional inconvenience to a daily hurdle. But now, there’s finally a flicker of hope—and it’s coming from a powerful new alliance between South African company Mulilo and Norwegian clean energy leader Scatec.

In a move that could shift the entire dynamic of South Africa’s energy grid, Minister of Electricity and Energy Kgosientsho Ramokgopa announced these two companies as the preferred bidders in the country’s third bid window for its ambitious battery energy storage program. With a price tag of R9.5 billion, this project is more than just a financial investment. It’s a vote of confidence in the power of innovation and collaboration.

Why This Program Matters More Than Ever

South Africa’s aging electricity grid is buckling under the weight of increasing demand and an ever-growing supply of renewable energy, especially from the sun-drenched Northern and Western Cape provinces. The challenge? There’s no effective way to store the surplus solar energy generated during the day for use when people actually need it—during morning and evening peaks.

This is where the new battery storage program, launched in March 2024, steps in. Its mission is straightforward yet vital: capture and store renewable energy during off-peak times and distribute it when the grid is under pressure. It’s about time energy worked on our schedule.

Homegrown and Global Expertise Unite

At a recent press briefing, Ramokgopa shared the lineup. Norwegian firm Scatec will lead development at the Lienda substation, while South African heavyweight Mulilo will spearhead projects across Theseus, Everest, Harvard, and Merapi.

It’s not just about technology—it’s about representation. Ramokgopa pointed out that the inclusion of a domestic player like Mulilo in such a major project signals a broader trend: South African companies are becoming serious contenders in the global renewable energy space.

“This round is significant,” Ramokgopa said. “More and more South African companies are raising their hands—and they’re proving to be highly competitive.”

Boosting the Economy While Powering the Grid

This isn’t just a green energy initiative. It’s an economic one too. The R9.5 billion project is expected to bring 616 megawatts of battery storage capacity online across five sites in the Free State by January 2028.

And with R3.7 billion allocated to local content, the program is set to create jobs, support black-owned enterprises, and inject fresh energy—literally and figuratively—into the economy.

Ramokgopa emphasized the knock-on effects: “Bringing down the cost of electricity means fewer tariff hikes for households, and better global competitiveness for South African industries.”

Striking a Balance: Renewable Energy Meets Coal Reality

While battery storage might sound like a futuristic fix, it’s part of a grounded, hybrid approach. South Africa isn’t ditching coal just yet—but it is laying down a path to a cleaner, more flexible energy future. The plan is to blend coal with rising renewable energy capacity, and battery storage plays a key role in making that possible.

The Minister summed it up with cautious optimism: “We are making steady progress toward energy security and a greener future.”

The Bigger Picture and Your Role in It

This moment isn’t just about big companies, government briefings, or billion-rand budgets. It’s about the people who’ve been waiting for reliable electricity—students trying to study, small businesses trying to survive, and families tired of cooking by candlelight.

South Africa’s energy story is changing, and it’s one where innovation, collaboration, and local talent take center stage.

Join the Charge Toward Change

South Africa is at a crossroads. With bold moves like this battery storage initiative, there’s a real opportunity to leave load shedding behind and power a future built on clean, reliable, and inclusive energy.

{Source: IOL}

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