Chomp ‘n charge — Company plugs gaps in electric vehicle network with off-grid top-up

The components of the new charging stations, including solar panels, back-up power and battering storage units. Supplied

By Tony Carnie

1 Dec 2024

‘Bietjie koffee en spek to go with your EV top-up?’ The firm says all of its charging stations will offer a farm stall for motorists while they wait for their cars to charge.

South Africa’s tortoise-like transition to the electric vehicle (EV) revolution has gained some traction with the launch of the CHARGE group’s first EV charging station, powered by carbon-free renewable energy.

The company, set up two years ago by Western Cape businessmen Joubert Roux and Andries Malherbe, is hoping to build at least 120 off-grid charging stations nationwide over the next year or so – located roughly 150km apart along all major routes, mainly in rural areas.

Oddly, perhaps, the first CHARGE station is pretty much in the middle of nowhere, next to a farmstall in Wolmaransstad, a small agricultural town in North West, about 250km southeast of Johannesburg.

Speaking at the opening ceremony last week (Thursday, 28 November), Roux emphasised the need to reduce South Africa’s transport-related carbon emissions, by switching away from charging EVs through Eskom’s largely coal-powered national grid.

To do this, his company hopes to lease land from farmers along busy national highways where there is also sufficient land available to install dedicated solar-power farms to feed the charging stations. Farmers will be offered a 5% share of the revenue generated from stations on their land, along with excess solar power for farming operations.

Daily Maverick asked Roux whether it makes more business sense to locate the new stations at existing refuelling stops that already have retail, restaurant and refreshment infrastructure?

Roux replies that there are only 378 EV charging points across South Africa, mostly with single-unit chargers due to electrical capacity constraints and limited space at forecourts.

EV charge CHARGE plans to establish more than 120 charger stations along all major national routes over the next year or so. (Map: Supplied)

“At the beginning of the project we did approach many large petroleum brands to collaborate, however it was not seen as a necessity and we were turned down.”

So, is CHARGE taking a huge gamble by building more than 100 charging stations from scratch when Big Petro is seemingly hanging on to its turf and there are still so few EVs on South African roads? And where will the money come from to build new facilities?

Only 4,674 electric vehicles were sold in South Africa in 2022 (about 0.9% of new vehicle sales).

More recent statistics from the National Association of Automobile Manufacturers of South Africa (Naamsa) suggest that sales of new electric vehicles rose to nearly 11,000 over the first nine months of this year (now comprising more than 2% of total vehicle sales).

But that’s still way behind global trends. According to the International Energy Agency, nearly one in five cars sold in 2023 was electric, mostly in China, Europe and the US. All told, the agency reports that there are nearly 40 million EVs on the world’s roads.

Roux says: “CHARGE will be investing R2.3-billion to develop its network of 120 electric passenger vehicle charging stations across the country. We are well under way in raising this funding through private investors.”

CHARGE co-founder Joubert Roux. (Photo: Supplied)

He did not elaborate on funding sources, but confirmed that new charging and battery storage equipment was being supplied by two China-based companies, Greencore Energy Solutions and Shanghai Magic Power.

He also suggests that CHARGE’s off-grid solar farms may enjoy a cost advantage if Eskom prices rise sharply.

“Should Eskom’s proposed tariff increases – a 36.15% hike during the 2026 financial year, 11.81% in 2027 and 9.10% in 2028 – come into effect, these increases will likely be shifted to motorists charging their vehicles at these charging points.”

The company acknowledges that charging speeds vary based on individual EV models, but says its ultra-fast charging systems would typically enable motorists to boost their batteries from 10% to 80% in about 25 minutes.

“In many cases motorists stopping at fuel stations on national highways already spend around 15 to 20 minutes – using ablution facilities and ordering or purchasing food.

“Most EV motorists stopping at our charging stations will only be topping up their vehicles (with the majority of vehicles being fully charged overnight) so will likely not require a full 25-minute wait.

A car refuels on electricity at the first off-grid charging station in Wolmaransstad, North West. (Photo: Supplied)

The new charging station and refreshment stop in Wolmaransstad. (Photo: Supplied)

“All our charging stations will offer a farm stall where motorists will be able to enjoy a cup of coffee and a bite to eat, while they wait for their EV to be charged. They will also be able to enjoy the free WIFI available at all our facilities, so they will be able to access emails or enjoy using their phones without data costs.”

While current EV numbers are low, Roux estimates that there will be just more than 700,000 on local roads by 2030.

“The increased demand that will be created by the mass charging of EVs will create a new challenge for our struggling national electricity network. Government’s own Integrated Resource Plan 2023 acknowledges that our predominantly coal-fired grid will not be able to cope with the future growth of EVs.”

The company said it was encouraged by President Cyril Ramaphosa’s recent announcement that the government plans to introduce incentives to encourage more South Africans to buy EVs, and for more affordable EVs to enter the market.

According to the government’s December 2023 White Paper on Electric Vehicles, the global automotive industry is undergoing one of the most seismic shifts in its nearly 150-year history.

At a local level, 46% of vehicles produced in South Africa are exported to the UK and European Union, where governments have made commitments to ban the sale of new fossil-fuelled internal combustion engine (ICE) vehicles by 2035.

It also notes that nearly 70% of the country’s local ICE component exports are also at risk due to a projected decline in demand for ICE components.

The paper sets a primary goal of transitioning to a dual-platform industry by 2025, where both EVs and ICE vehicles are manufactured in tandem.

The components of the new charging stations, including solar panels, back-up power and battering storage units. (Graphic: Supplied)

To support this transition the government would have to consider a temporary reduction of import duties for EV batteries, while also scaling up investment in national charging infrastructure.

It warns that a failure to transition timeously could lead to a decline in the local automotive industry, which accounts for nearly 10% of total manufacturing output and nearly 3% of South Africa’s GDP.

The affordability of EVs also required significant attention as the current range of electric vehicles cost anywhere between 20% to 50% more than equivalent ICE models – but government subsidies to potential EV buyers were currently seen as “unaffordable”.

The transition would also have a ripple effect on petrol station owners and their employees. While some stations would be in a position to preserve their business by shifting to or incorporating EV charging points, the prevalence of home and office charging could lead to a reduction in the number of service stations countrywide.

“Without adequate preparation, a notable share of the approximately 140,000 people working in petrol stations stand to lose their jobs between now and the final shift to EVs.”

Further ripple effects are expected for a wide range of workers, including mechanics, whose skills are still focussed on repairing ICE vehicles. DM

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