The Deputy Minister of Trade, Industry and Competition, Andrew Whitfield, says South Africa is poised to become a hub for manufacturing in the clean technology space.
This will include battery technologies for energy storage, electric mobility, material handling and a range of other applications.
Whitfield made these comments at the opening of the R150 million Balancell Gigafactory in Cape Town.
The factory will produce batteries for electric vehicles at a large scale.
“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,” the minister explained.
“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,” Whitfield said.
He said that government is looking to support this new industry and will implement a number of policies and incentives that will enable the growth of this key sector.
Whitfield emphasised that lawmakers 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 (GNU), but also a demonstration of the innovative and entrepreneurial spirit that defines many South African businesses,” he added.
“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 noted.
“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”.
Whitfield concluded that the Balancell opening was is an example of South African resilience, innovation and entrepreneurship.
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