Sustainable Growth

24 February 2023

South Africa’s New Energy Vehicle Transitional Roadmap: The Route to the White Paper

  • Year: 2023
  • Organisation: naamsa | The Automotive Business Council ; TIPS B&M Analysts
  • Countries and Regions: South Africa

South Africa’s New Energy Vehicle Transitional Roadmap - Thought Leader Discussion Document: The Route to the White Paper

naamsa | The Automotive Business Council has released its electric vehicles strategy, which calls for clear signals from government. 

Dowload a copy of read online: 

The report builds directly on work by Trade & Industrial Policy Strategies (TIPS) and Benchmarking and Manufacturing Analysts (B&M Analysts) for the Department of Trade, Industry and Competition (the dtic) and naamsa.
 
Recommendations to Advance South Africa's New Energy Vehicle Market and Domestic Supply Chain
 
The recommendations in this report are underpinned by the fact that almost all vehicle production and consumption in South Africa is Internal Combustion Engine (ICE) based. Yet, the majority of South African vehicle and related automotive component production is exported, with the primary export markets being the European Union and the United Kingdom. Combined, these two markets consume the vast majority of South African vehicle and component exports; and yet governments in the EU and the UK have both announced timeframes within which they will phase out ICE consumption in their markets, and shift to New Energy Vehicles (NEVs). These shifts in South Africa’s major export markets represent a potentially existential threat to the South African automotive industry.
 
 
South African New Energy Vehicle Research Report
 
The findings in this report suggest that the transition to NEV consumption and production in South Africa is inevitable. However, driving an earlier and more meaningful NEV transition in South Africa will require a careful balance between incentivising a sustained shift in domestic market demand to NEVs; establishing an appropriately aligned, renewable energy-based charging infrastructure; and supporting a shift in South African vehicle production, away from ICE vehicles to a mix of Hybrid Electric Vehicles (HEVs), Plug-in Hybrid Electric Vehicles (PHEVs), and Battery Electric Vehicles (BEVs). Balancing these factors is key to successfully transitioning the South African vehicle industry to an ultra-low carbon future, while simultaneously ensuring it remains a major contributor to the industrial development of the domestic economy, as per the objectives of the South African Automotive Master Plan.
 
Dowload a copy of the report of read online: South African New Energy Vehicle Research Report
 
Both reports compiled by the New Energy Vehicle Project Team: Justin Barnes, B&M Analysts; Gaylor Montmasson-Clair, TIPS; Lesego Moshikaro, TIPS; and Mbongeni Ndlovu, B&M Analysts.