In early 2023, South African President Cyril Ramaphosa declared a "state of disaster" to deal with the electricity crisis. In fact, the power shortage in South Africa has existed for a very long time. Not only is the power supply unstable, but small-scale power outages also occur frequently. In recent years, the power shortage situation in this area has worsened, some users must endure 12 hours of power outages in a single day. Local officials said that the electricity crisis could cause the South Africa's businesses and industries to suffer a daily loss of 1 billion rand (approximately 57 million USD).

(Source: Wikipedia)

Investigations have revealed two main causes of the power crisis in South Africa. Corruption at the state-owned energy utility Eskom and its suppliers has led to a long-term power crisis, which has remained unresolved since 2007. Additionally, criminal incidents, such as intentional cable cutting and theft at power plants, have exacerbated the crisis. South Africa heavily relies on coal-fired power plants and is the largest greenhouse gas emitter on the African continent. However, the aging equipment and lack of maintenance often cause failures during operation, resulting in frequent unplanned power outages. After March 2024, changes in Eskom's management and leadership, as well as the implementation of a series of new policies, have gradually stabilized South Africa's power supply situation.

However, electricity supply issues are also common in other regions and countries in Africa due to rapid population growth, conflicts in certain areas, and long-term poverty. Although the continent is rich in energy resources, such as biomass energy, solar energy, hydropower, and geothermal energy, there is still a lack of development. Moreover, main power generation sources in 60% of the countries are very limited. For example, Nigeria has coal, hydropower, and natural gas as its main power sources, but the generation capacity of its hydro and gas power stations is very low. In South Africa, to address the increasingly severe global environmental issues and energy crisis, the government aims to gradually phase out 12 gigawatts of coal-fired power generation over the next decade while increasing 18 gigawatts of renewable energy generation. It also plans to reduce the share of coal-fired power to 48% by 2030.

However, electricity supply issues are also common in other regions and countries in Africa due to rapid population growth, conflicts in certain areas, and long-term poverty. Although the continent is rich in energy resources, such as biomass energy, solar energy, hydropower, and geothermal energy, there is still a lack of development. Moreover, main power generation sources in 60% of the countries are very limited. For example, Nigeria has coal, hydropower, and natural gas as its main power sources, but the generation capacity of its hydro and gas power stations is very low. In South Africa, to address the increasingly severe global environmental issues and energy crisis, the government aims to gradually phase out 12 gigawatts of coal-fired power generation over the next decade while increasing 18 gigawatts of renewable energy generation. It also plans to reduce the share of coal-fired power to 48% by 2030.

(Source: Global Energy Network Institude)

As a result, many African countries are actively promoting renewable energy projects. According to the International Energy Agency (IEA), Africa's solar, wind, and hydropower reserves account for 40%, 32%, and 12% of the global total, respectively, indicating great potential for renewable energy development. For instance, Tunisia announced that by 2025, it will increase the share of renewable energy in total power generation from less than 3% in 2022 to 24%. It plans to build eight solar photovoltaic plants and eight wind farms between 2023 and 2025. Niger's first wind farm is expected to be connected to the grid in 2025. Morocco, a leading country in photovoltaic projects, plans to increase the share of renewable energy in its overall energy structure from the current 40% to 52% in the next eight years.

(Source: World Economic Forum)

According to ESI Africa's research, Africa has an energy potential of 1.2 TW, and it is expected that by 2050, Africa's solar photovoltaic capacity will grow to 650 GW. This will also bring 14 million new jobs and a 6.4% increase in GDP to the region. Thus, renewable resources have a significant impact on economic development. Consequently, the World Bank has high expectations for renewable energy development in Africa and has recently agreed to invest $311 million in renewable energy projects in West and Central Africa.

As key equipment in power systems, the market for transformers in Africa will rapidly grow with the development of smart grids and renewable energy. According to the IEA, in Nigeria, the proportion of the population with access to electricity increased by 3.53% in 2022 compared to 2021, with the largest increase being in air-cooled transformers. This type of transformer, also called the dry type transformer, requires no maintenance, is cost-effective, and is more environmentally friendly. Driven by industrialization in countries such as Egypt, Libya, Nigeria, and Kenya, the market potential for dry transformers is substantial. Additionally, some new types of transformers, such as smart transformers and energy storage transformers, are becoming increasingly widely used due to investments and environmental demands. This provides more advanced options for new energy projects.

Dry-type transformers have advantages such as strong short-circuit resistance, low maintenance, high operational efficiency, compact design, and low noise. They also feature a comprehensive temperature detection and protection system. Currently, China has become one of the world's largest producers of dry-type transformers, leading the world in product quality and after-sales service. CEEG dry-type transformers are of excellent quality, which can stabilize voltage regulation and reduce maintenance.

Of course, CEEG not only produces dry-type transformers but also oil-immersed transformers, substations, switchgear, and other equipment. As a trustworthy electrical equipment manufacturer, CEEG integrates innovation into its development. Over the past 30 years, the company has continually updated and created new concepts to meet global demands. This has kept its technological level at the forefront of the world. Thus, our products are exported to more than 80 countries and regions worldwide and are highly praised for the product quality. Currently, CEEG has provided transformers and substations for multiple projects in Africa, including cement plants, hospitals, mining industries, and tunnels. In recent years, with the increasing global demands for environmental protection, CEEG has continued to develop new projects in Africa while adhering to green development. We are committed to providing the highest quality products and services to African countries and eagerly look forward to developing more African partnerships.