South Africa’s energy narrative is evolving. Where it was once focused on deploying new renewable power plants to address generation deficits, the conversation has now shifted toward flexibility; the ability to store, shift and dispatch electricity when and where it is needed most, says Pele Green Energy (PGE) GM Nicolas Lecomte.

“As renewable-energy capacity grows across the country, maintaining grid stability despite intermittency has become essential. With South Africa moving toward a more decentralised and decarbonised energy system, battery energy storage systems (BESSes), particularly those using lithium-ion technology, are emerging as one of the most critical enablers of this new era.”

Storage is central to PGE’s growth strategy. Of the 10 GW of renewables capacity the company is working at deploying in the next ten years, around 3 GW will include BESS. It is not simply a technical decision; it is an economic one. The cost of storage has dropped significantly over the past 15 years and when combined with solar PV, batteries provide reliable, clean power at crucial times of the day.

They have also become increasingly competitive against traditional peaking solutions such as carbon-emitting gas. Looking ahead over the next few decades, PGE envisages that South Africa’s energy mix will be vastly dominated by renewables combined with storage that allows the country to balance cost, reliability and sustainability.

“Battery storage goes far beyond simply storing energy. It enables a reliable, resilient and stable grid by providing critical services that keep the system balanced. Twenty years ago, renewables were seen as expensive and impractical yet, over this time, they have become the most affordable source of electricity. Today, the remaining challenge, the next frontier, lies in addressing intermittency and achieving balance between power generation and consumption. BESS makes this synchronicity possible, with batteries capable of responding in less than a microsecond,” explains Lecomte.

For PGE, this technological shift is also an economic opportunity for the country. The energy transition should not just be about importing technology but about building industries and value chains in Africa. PGE is deeply committed to fostering local participation throughout the renewable energy value chain, from manufacturing and assembly to operations and maintenance.

“Our sister company, Knowledge Pele, plays an important role in this. Through investment in skills and enterprise development in the communities in which we operate, we are ensuring that the benefits of the energy transition extend well beyond electricity generation, helping to stimulate local economies and create sustainable employment,” says Lecomte.

The company’s procurement team is deeply focused on understanding how battery manufacturing and assembly can be progressively localised, provided there is coordinated support from suppliers, financiers and government partners.

It is vitally important that storage systems perform effectively over the long term. Battery projects are designed with augmentation strategies that add new capacity over time to offset natural degradation and sustain performance. Modern battery technologies are already achieving longer lifespans and greater efficiency, enabling predictable operation and consistent returns over decades. This balance of financial discipline, operational rigour and technological innovation defines PGE’s approach to creating lasting value.

Lithium-ion batteries, now commonly used for power storage in South Africa, depend on extracted raw materials for their manufacturing. Enhancing their performance and advancing research and development to improve recyclability and strengthen the recycling process, across the entire recycling value chain, at end of life, are key priorities to ensure their sustainable use.

“Moving forward, it is essential that we work towards establishing a true circular economy around these batteries, where materials are continuously recovered, reused and repurposed to reduce environmental impact,” states Lecomte.

Another challenge the world may face as early as 2030 is the inability of existing and emerging supply chains to meet the soaring global demand for batteries. This reality needs to be factored into long-term planning, ensuring that complementary and alternative forms of energy storage receive the attention they deserve. Among these, long-duration storage technologies, such as green hydrogen, will play a vital, complementary role. Together, these solutions can form the backbone of a broader, cleaner and more resilient African energy ecosystem.

Recent regulatory changes are also ramping up the rate of change. With the introduction of the time-of-use reconciliation for power consumers in South Africa, businesses can now fully realise the savings and flexibility that come with combining solar and storage.

With cost competitive power storage today, using lithium-ion batteries, the applications are numerous.

“Batteries can be installed behind the meter to create a ‘power buffer’, helping commercial and industrial sites reduce peak demand when tariffs are high or keep operations running during outages. The combination of solar PV and BESS is also transforming access to energy in rural communities, providing reliable, affordable power to places that have never had it before and, in doing so, changing lives and enabling new economic opportunities,” advances Lecomte.

Most importantly, he says, storage is a key enabler of the Just Energy Transition. By making renewable energy dispatchable and affordable, batteries unlock access to clean, reliable power for the communities that need it most.

“Through our development model, which integrates infrastructure, human development and local enterprise, we aim to ensure that the energy transition is not only about changing how we generate power, but also about transforming how that power changes lives.”

Africa’s destiny will not be measured in megawatts alone, but in inclusion, innovation and resilience, emphasises Lecomte.

“With its abundant renewable resources and growing base of technical expertise, the continent is poised not to follow, but to lead. At PGE, we are working to realise that vision today, committing to build a cleaner, stronger and more sustainable future. BESS will serve as the bridge connecting energy security to shared prosperity,” he concludes.