Eaton Microgrid Solution Saves 40% in Energy Costs
Demand for power continues to rise globally, posing challenges to the availability and reliability of utility grids. An upward trend of extended outages due to aged equipment, increasing maximum demands, and a lack of grid connectivity impact significant portions of the population in sub-Saharan Africa, where the World Bank estimates 6 out of every 10 people does not have access to electricity.
Even in areas with grid power, high electricity tariffs and frequent power outages continue to impede productivity. In response to these challenges, many businesses and communities turn to diesel and natural gas generators to provide reliable power, but volatile fuel prices and harmful emissions still make this a suboptimal solution.
Microgrids provide a more cost-effective, reliable, and environmentally friendly solution to these electricity challenges.
Microgrids — stand-alone power generating, distribution, and storage systems that can be operated independently or connected to the primary grid — provide a reliable, efficient solution to unexpected power losses, effectively balancing variations in energy demand, optimizing energy usage for more reliable power, and reducing operating costs and carbon emissions.
Drivers for the growth in microgrids are the rapidly falling cost of solar and energy storage (in particular Lithium Ion batteries) coupled with the increased need for reliable and cost effective electricity supply. However, despite the falling costs of PV and battery storage, microgrid solutions have yet to take off in Africa. Utilities and businesses remain hesitant to invest in technology that is largely seen as unproven on the Africa continent and are often unaware of the economic fundamentals of microgrid solutions.
Addressing those concerns directly, Eaton Electric, a Power Africa partner, has turned talk into action and, earlier this year, commissioned the Eaton Microgrid Energy Solution on the company’s own manufacturing facility in Wadeville, Johannesburg, South Africa.
The Eaton Wadeville microgrid, the very first of its kind in South Africa, leverages rooftop solar PV and lithium-ion batteries to increase resilience, provide higher levels of energy independence, dramatically lower cost of electricity, and help support grid stability.
“Eaton believes we should not only have a role to help deliver access to reliable, sustainable energy, but that we should be demonstrating the benefits that our technology brings by using it ourselves,” said Seydou Kane, Managing Director for Eaton Africa.
And the results of the Wadeville microgrid so far have been significant. After the installation of the microgrid, the Wadeville plant has achieved an energy cost savings of 40% on average, including a 65% reduction in peak rate charges. The Eaton microgrid system is also capable of operating in islanded mode, which has allowed continuous operation of manufacturing even when load shedding (grid outages) have occurred. The system also improves the site’s power quality, resulting in better performance of manufacturing operations.
In Africa, where the World Bank Group Enterprise Surveys estimates that manufacturing firms are losing anywhere from 6 to 20 percent of sales revenues due to power outages, microgrids like the Eaton Wadeville installation are poised to significantly improve productivity and profits.
“The Wadeville microgrid system enables a more intelligent and cost-effective operation of our facility and serves as a concrete case for the application of this technology in both commercial and industrial use,” said Kane.
This microgrid is a tangible demonstration of how a simple, cost effective, modular microgrid system addresses the power challenges seen in most of sub-Saharan Africa, and offers a new tool to improve the economy of the region.
For more information, or to schedule a tour of the microgrid installation in Wadeville, please contact Elizabeth Doane at elizabethedoane@eaton.com.
About Eaton in Africa
Eaton has been in Africa since 1927 with offices in South Africa, Kenya, Ivory Coast, Morocco and Nigeria, with 200k ft².of manufacturing space located in South Africa and Morocco. A certified BBBEE Level 1 contributor in South Africa, Eaton offers a broad portfolio supplemented by “made for Africa” products and solutions. Eaton has over 700 employees and numerous distributors across the region, allowing us the opportunity to help our customers grow and provide sustainable economic benefits to the communities in which we operate. For more information visit www.eaton.com
About Eaton
Eaton is a power management company with 2017 sales of $20.4 billion. We provide energy-efficient solutions that help our customers effectively manage electrical, hydraulic and mechanical power more efficiently, safely and sustainably. Eaton is dedicated to improving the quality of life and the environment through the use of power management technologies and services. Eaton has approximately 96,000 employees and sells products to customers in more than 175 countries.
