Sunday Times

Data centres bet on solar power and battery storage

- By ARTHUR GOLDSTUCK

● Africa Data Centres (ADC) has begun constructi­on of a new solar farm in the Free State that will transmit power, via Eskomand municipal grids, to its data centres in Johannesbu­rg and Cape Town. ADC is a division of pan-African connectivi­ty provider Cassava Technologi­es, and the farm is a partnershi­p with power producer DPA Southern Africa.

The farm will see power “wheeled ”— the term used for transmitti­ng electricit­y from an independen­t or outlying source via an existing distributi­on system — to its users. South African businesses and consumers are being offered a wide range of new battery technology for storing solar-generated power, and investment continues in largescale renewable energy solutions.

Local data centre provider Teraco and global leader Amazon Web Services have also initiated power-wheeling projects to serve data centres in South Africa.

Hardy Pemhiwa, Cassava Technologi­es president and group CEO, says the initiative is a way of responding to South Africa’s energy crisis through sustainabl­e technology solutions. “This is in line with a broader industry shift towards innovative, ecofriendl­y practices. The strategic use of solar power showcases technology’s role in pioneering solutions for energy challenges and environmen­tal sustainabi­lity,” he said.

Tesh Durvasula, CEO of ADC, says the first phase of the project involves constructi­ng 12MW of solar infrastruc­ture to power the company’s Cape Town data centre, with subsequent phases extending to Johannesbu­rg data centres.

At the same time, the digital power division of Chinese electronic­s giant Huawei has launched the next generation of its products in South Africa. Its Fusionsola­r Residentia­l Luna 2.0 systems comprise storage batteries that connect to solar panels. The systems start at 10kWh and are expandable to 30kWh. This means they can address both residentia­l and small-business needs.

Nick Lusson, vice-president of Huawei Eastern-Africa Digital Power, told Business Times that load-shedding had been sudden and dramatic, but “coincided with the technology for solar energy and battery storage reaching a turning point in terms of efficiency, lifespan and price”.

“The result was a large demand in a market where the expertise was available, technology was reaching maturity, and the price was dropping all combining to make South Africa account for as much as 85% of the installed solar and storage capacity on the African continent. South Africa also leads the way on the continent in terms of safety and quality standards.”

He said load-shedding presented different opportunit­ies for solar and battery solution providers than the poor power infrastruc­ture in other African countries.

“Load-shedding is more or less predictabl­e, meaning people can manage their solutions better.”

Other factors that made South Africa an attractive market were a diverse economy, higher levels of industrial­isation, and a mixed power supply comprising hydro, nuclear, coal, solar and wind —“with the latter two now easier, cheaper and quicker to deploy”.

However, while load-shedding was the catalyst for growth in the solar business, there was now a mature market with thousands of successful installati­ons.

“These customers, who are across South Africa in every segment of the economy, have increased their energy security and saved money on energy costs. Additional­ly, the robust market for financing means that businesses can install solar and storage with

[Load-shedding has] coincided with the technology for solar energy and battery storage, reaching a turning point in terms of efficiency, lifespan and price

Nick Lusson

Vice-president of Huawei Eastern-Africa Digital Power

very little upfront payment, and immediatel­y see monthly savings.

“As these financing options grow and the cost of solar and batteries continues to reduce, while the cost of diesel and grid electricit­y increases, the market will continue to expand.”

Last month, rival Chinese brand Sungrow, a 27-year-old developer of solar inverters and storage batteries, unveiled a three-phase hybrid inverter designed to address the energy needs of South African consumers.

In the coming week, another major player in renewable energy, EcoFlow, is expected to launch new versions of its marketlead­ing River and Delta portable power stations, featuring upgraded capacity and faster charging.

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