South Africa Battery Market Size
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2020 - 2022 |
| CAGR | > 8.00 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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South Africa Battery Market Analysis
The South African battery market is expected to grow at a CAGR of more than 8% during the forecast period.
The market was negatively impacted by COVID-19 in 2020. Presently the market has reached pre-pandemic levels.
- Over the long term, factors like the emergence of new and exciting markets, i.e., electric vehicles and energy storage projects, are expected to drive the market.
- On the other hand, a mismatch in the supply and demand of raw materials is a significant restraint hindering the market's growth.
- Nevertheless, the increasing demand for electronic equipment and electric vehicles is expected to create enormous opportunities for the South Africa battery market.
South Africa Battery Market Trends
This section covers the major market trends shaping the South Africa Battery Market according to our research experts:
The Lithium-ion Segment to Witness Significant Growth in the Market
- Lithium-ion batteries are rechargeable batteries most commonly utilized in electronic devices and energy vehicles. These batteries also store energy from renewable energy sources such as solar and wind. Lithium-ion batteries have broad applications in automotive and energy storage industries as they provide 25-50% higher capacity than other batteries, are maintenance-free, and offer lightweight, making cars lighter and using less power.
- The price of lithium-ion batteries declined steeply over the last decade. In 2021, a lithium-ion battery's cost was approximately USD 123 per kWh. The price fell continuously over the past few years and decreased by more than 85% in 2021 compared to 2010. The decline in average lithium-ion battery prices is expected to continue, making it much more cost-competitive with other battery types.
- Lithium-ion battery systems propel plug-in hybrid and electric vehicles. Due to their fast recharge, high energy density, and high discharge power, lithium-ion batteries are the only available technology capable of meeting OEM standards for car driving range and charging time. Because of their lower specific energy and heavier weight, lead-based traction batteries are not competitive in total hybrid electric vehicles or electric vehicles.
- According to the International Energy Agency, the BEV(Battery Electric Vehicles) stock in South Africa has steadily increased, from just 34 units in 2013 to 896 units in 2021.
- In January 2022, the South African government initiated the uYilo kickstart fund to foster innovation in the electric vehicles sector. The RAND 1 million funds for the EV project were a part of the National uYilo e-mobilprogramamme launched in the country in the year 2013. The South African government hinted at positioning a local value chain to manufacture lithium batteries, particularly for the EV sector.
- Such developments are expected to drive the lithium-ion batteries market in the study period.
Energy Storage Projects Expected to Drive the Market
- The South African government is keen on increasing the sources of power generation and energy security in the country, thus many energy storage projects are lined up with the joint cooperation of the state-owned and private organizations.
- In June 2021, Scatec, the Norway-based energy company, was awarded 540MW of solar projects with 225MW / 1,140MWh of battery storage through a government tender in South Africa. The company's participation in the project was a part of the Risk Mitigation Power Procurement Programme (RMPPP), which aims at increasing the sources to dispatch energy in times of variable requirements.
- The most preferred battery technology in energy storage projects is lithium-ion battery technology, due to its falling prices and technical advantages. Not only South Africa, but other countries too have recently witnessed a downfall in lithium battery prices. As of 2020, the global lithium battery share in energy storage projects was around 93%.
- The South African government initiative," Renewable Energy Independent Power Producer Procurement Programme (REIPPPP)" is largely responsible for the growth of energy storage projects in the country. In November 2021, the Battery Energy Storage Systems (BESS) project was planned at various renewable energy plants owned by Eskom, the state-owned utility of South Africa, which involves development of 360MW storage system at these sites.
- Considering such developments, the South African battery market is expected to show a remarkable progress in the near future.
South Africa Battery Industry Overview
The South Africa battery market is moderately consolidated. Some of the major players in the market (in no particular order) include Duracell Inc., Eveready (Pty) Ltd., Probe Group, Energizer Holdings Inc., and First National Battery.
South Africa Battery Market Leaders
Duracell Inc.
Eveready (Pty) Ltd.
Probe Group
First National Battery
Energizer Holdings Inc.
*Disclaimer: Major Players sorted in no particular order
South Africa Battery Market News
- In December 2022, South Africa's leading utility and grid operator Eskom announced the start of construction of its first battery energy storage system (BESS) with Hyosung Heavy Industries. The facility will have a capacity of 8MW, equivalent to 32MWh of distributed electricity. The BESS project will utilize large-scale utility batteries with a capacity of 1,440MWh per day and a 60MW PV capacity. It will be one of the largest BESS projects to be developed and implemented in South Africa.
- In August 2022, South African electricity supplier Eskom announced the details of 343 MW of battery energy storage deployments. The rollout is expected to serve as a proof of concept for the country's most significant delivering battery storage projects. The buildout will include large-scale batteries with capacities of 1,440 MWh per day and 60 MW of solar, which will be implemented in two phases across 12 sites in South Africa.
South Africa Battery Market Report - Table of Contents
1. INTRODUCTION
1.1 Scope of the Study
1.2 Market Definition
1.3 Study Assumptions
2. EXECUTIVE SUMMARY
3. RESEARCH METHODOLOGY
4. MARKET OVERVIEW
4.1 Introduction
4.2 Market Size & Demand Forecast in USD billion, till 2028
4.3 Recent Trends and Developments
4.4 Government Policies and Regulations
4.5 Market Dynamics
4.5.1 Drivers
4.5.2 Restraints
4.6 Supply Chain Analysis
4.7 PESTLE Analysis
5. MARKET SEGMENTATION
5.1 Technology
5.1.1 Li-ion Battery
5.1.2 Lead-Acid Battery
5.1.3 Nickel Battery
5.1.4 Others
5.2 Application
5.2.1 Industrial
5.2.2 Telecommunication
5.2.3 Uninterruptible Power Supply (UPS)
5.2.4 Energy Storage Systems(ESS)
5.2.5 Consumer Electronics
5.2.6 Automotive Industry
5.2.7 Defence
5.2.8 Others
6. COMPETITIVE LANDSCAPE
6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements
6.2 Strategies Adopted by Leading Players
6.3 Company Profiles
6.3.1 Duracell Inc.
6.3.2 Eveready(Pty) Ltd.
6.3.3 Probe Group
6.3.4 First National Battery
6.3.5 Exide Industries ltd
6.3.6 Energizer Holdings Inc.
6.3.7 Potensa (Pty) Ltd.
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
South Africa Battery Industry Segmentation
A battery can be defined as an electrochemical device (consisting of one or more electrochemical cells) that can be charged with an electric current and discharged whenever required. Batteries are widely employed to power small electric devices such as mobile phones, remotes, and flashlights. Batteries are primarily classified based on technology by the underlying technology upon which they work. A battery contains fundamentally three parts, two electrodes and an electrolyte. A battery works by undergoing a chemical reaction, an oxidation reaction at the cathode, and a reduction reaction at the anode that completes the circuit and maintains charge neutrality. The chemical reaction at the electrode changes when the materials used are different and subsequently gives rise to different battery types.
The South African battery market is segmented by technology and application. By technology, the market is segmented into Li-ion Battery, Lead-acid Batteries, Nickel Battery, and Others. By application, the market is segmented into Industrial, Telecommunication, Uninterruptible Power Supply (UPS), Energy Storage Systems (ESS), Consumer Electronics, Automotive Industries, Defence, and Others. For each segment, the market sizing and forecasts have been done based on revenue (USD Billions) for all the above segments.
| Technology | |
| Li-ion Battery | |
| Lead-Acid Battery | |
| Nickel Battery | |
| Others |
| Application | |
| Industrial | |
| Telecommunication | |
| Uninterruptible Power Supply (UPS) | |
| Energy Storage Systems(ESS) | |
| Consumer Electronics | |
| Automotive Industry | |
| Defence | |
| Others |
South Africa Battery Market Research FAQs
What is the current South Africa Battery Market size?
The South Africa Battery Market is projected to register a CAGR of greater than 8% during the forecast period (2024-2029)
Who are the key players in South Africa Battery Market?
Duracell Inc., Eveready (Pty) Ltd., Probe Group, First National Battery and Energizer Holdings Inc. are the major companies operating in the South Africa Battery Market.
What years does this South Africa Battery Market cover?
The report covers the South Africa Battery Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the South Africa Battery Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
South Africa Battery Industry Report
Statistics for the 2024 South Africa Battery market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. South Africa Battery analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
