South Africa is well placed to become a hub for components and equipment manufacturing in the clean technology value chain, including battery technologies for energy storage, electric mobility, material handling and a range of other applications.

This is according to the Deputy Minister of Trade, Industry and Competition, Andrew Whitfield, who addressed the opening of the R150 million Balancell state-of-the-art Gigafactory in Cape Town.

Balancell is a future-focused, innovative technology business that develops smart batteries designed to manage and protect themselves, and report their use and condition remotely.

“The South African government is working closely with the industry to identify opportunities to deepen the battery technology value chain and to position South Africa as a manufacturing hub on the African continent.

“A recent benchmarking study, supported by the World Bank Group, shows that South Africa is a competitive manufacturing destination, and offers a compelling value proposition for companies in this sector, as demonstrated here,” Whitfield said.

To support these ambitions, Whitfield said there was a number of policies and incentives in place that will enable the growth of this key sector. He said Cabinet has already approved the New Energy Vehicle White paper, setting out the objectives for this sector.

“Being able to witness an investment from homegrown companies in this sector is truly inspiring. Balancell’s investment of R150 million in this factory is not only directly in line with the strategic priorities of the Government of National Unity, but also a demonstration of the innovative and entrepreneurial spirit that defines many South African businesses.

“We are motivated by the company’s prospects for growth and further job creation in the coming years. The 75 existing jobs created in this [Gigafactory], supporting more than 1 500 indirect jobs, is a clear indication of the multiplier effect that can be achieved by strengthening and growing the manufacturing sector,” Whitfield said.

A Gigafactory is a huge factory that produces very large numbers of batteries for electric vehicles.

Whitfield highlighted the importance of building a strong base of skilled South Africans.

“Expanding industry partnerships with leading universities and research institutions to enhance local research, development and testing of components is critical to the industry. I am, therefore, encouraged that you are already working with the Nelson Mandela and Stellenbosch Universities, as well as the Council for Scientific and Industrial Research,” the Deputy Minister said.

He described the opening of the Gigafactory as an affirmation of the importance of building industrial capacity and working together to achieve the shared vision of South Africa being a global player in the battery value chain.

He further said the investment is an example of South African resilience, innovation and entrepreneurship

Source: Nam News Network