President Cyril Ramaphosa announced on Thursday that the government was finalising a New Energy Vehicle (NEV) plan that would see the country subsidising both the manufacture and sale of electric and hybrid vehicles in South Africa.
Speaking at Naamsa’s SA Auto Week on Thursday, Ramahposa emphasised the need to create a greener future and to ensure that our manufacturing industry remains relevant to global export markets.
Although the latter point is most certainly valid, there are concerns about the country’s charging infrastructure and Eskom’s predominantly coal-powered grid.
Local charging station company Zero Carbon Charge (otherwise known as Charge) has welcomed Ramaphosa’s announcement, particularly in light of electric vehicles (EVs) currently facing a 25% import tax penalty in the country, versus 18% for internal combustion vehicles.
However, it stressed that in order for EVs to contribute towards a reduction in South Africa’s carbon emissions, they would need to be powered by eco-friendly energy sources.
Research conducted by Charge shows that an EV charged by Eskom’s grid indirectly emits 5.8 tonnes of CO2 per year, versus 4.4 tonnes for a petrol-powered car.
However there are many differing perspective on the true eco credentials of an EV, and there are numerous variables to take into account, such as the higher manufacturing footprint created by the batteries. The latter can be ‘paid off’ over a certain mileage as many international studies have highlighted.
Research undertaken by Reuters, using methodology from the Argonne University, showed that a Tesla Model 3 in the US, where the grid is 23% coal powered, would need to drive for 21,000km to achieve eco parity with a petrol-powered equivalent. But plugged into a grid powered entirely by coal, carbon parity would only happen after about 126,000km, Reuters said.
The only viable option
“The development of an off-grid, renewably powered EV charging network is the only viable option for South Africa to meet its carbon reduction goals. It will also play a vital part in meeting the Department of Transport’s target of net-zero transport by 2050,” said Joubert Roux, Executive Chairman of Charge.
Charge is currently developing a network of 120 solar-powered charging stations around the country, located primarily on major highways between cities, but Roux said that red tape was currently making it difficult for companies to execute such projects.
“Charge looks forward to hearing more details about the EV incentives to be introduced by President Ramaphosa. We hope that any government strategy to encourage a transition to EVs will prioritise the reduction of red tape currently hampering the development of off-grid EV charging stations on our roads.”
IOL