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Demand for Remote RE Systems Propels the Power Storage Market in Sub-Saharan Africa, says Frost & Sullivan

2018-01-11 22:17

Remote power systems and mobile connectivity will drive the uptake of battery energy storage systems

CAPE TOWN, South Africa, Jan. 11, 2018 /PRNewswire/ -- The drive to integrate renewable energy into the grid whilst at the same time supply constant, reliable power for industry activities is one of the key factors driving the power storage market in Sub-Saharan Africa (SSA). Similarly, more residential consumers and rural communities are relying on RE technologies to meet their daily power requirements. While demand for diesel generators is decreasing, the development of remote power systems and micro grids is driving the uptake of battery energy storage systems.

Frost & Sullivan's new analysis, Future and Impact of Power Storage in Sub-Saharan Africa, 2017, provides an assessment of the current state of battery storage technology in SSA. It reviews the various system applications across residential, commercial, industrial, and off-grid consumer categories with a focus on the medium- to long-term impact of battery technology. Case studies on the choice of system, associated configuration, and applications sought by consumers are also provided.

To access more information on this analysis, please visit: 

"The adoption of large-scale, grid-tied storage systems is riddled by high initial investment, which utilities might not commit to in the short term. However, with declining technology costs and increasing RE penetration, battery storage systems will become imperative for grid operators," said Frost & Sullivan energy storage industry analyst Neeraj Sanjay Mense. "Initially, the focus should be on providing small-scale systems that meet the needs of communities and institutions situated away from the grid."

Some of the growth opportunities identified in SSA's power storage market include:

  • Micro-grids are playing a major role in developing rural electrification as regulators make it easy for penetration. This will also be accelerated as more private companies enter into the field, generating storage technologies that improve the commercial viability of projects;
  • Large-scale penetration of RE in East and South Africa is creating new markets for power storage;
  • The Electrification of remote locations due to a growing need for mobile and data connectivity;
  • Partnerships between renewable project developers and diesel generator suppliers will be a critical contributor to growth. Diesel generators will continue to provide backup power for most off-grid solutions that employ RE and storage.

"The development of mini-grids is one of the key drivers for the adoption of battery storage systems in SSA. This does, however, present its own set of challenges," noted Mense. "To make mini-grids truly successful, they have to be backed by adequate power storage capabilities. Only then can the targets of universal access and electrification be achieved. Battery storage is still an expensive proposition that adds an incremental cost to the development of mini-grids."

Future and Impact of Power Storage in Sub-Saharan Africa, 2017 is part of Frost & Sullivan's global Energy Storage program.

About Frost & Sullivan
Frost & Sullivan, the Growth Partnership Company, works in collaboration with clients to leverage visionary innovation that addresses the global challenges and related growth opportunities that will make or break today's market participants. For more than 50 years, we have been developing growth strategies for the global 1000, emerging businesses, the public sector and the investment community. Contact us: Start the discussion

Future and Impact of Power Storage in Sub-Saharan Africa, 2017

Samantha James
Corporate Communications – Africa
P: +27 21 680 3574
F: +27 21 680 3296

Source: Frost & Sullivan
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