3W Power/AEG Power Solutions (AEG PS), a leading global manufacturer of power electronic systems and solutions for industrial power supplies and renewable energies, continues to advance their localisation programme with up to 65% of components sourced locally through South African manufacturers.

3W Power/AEG Power Solutions (AEG PS), a leading global manufacturer of power electronic systems and solutions for industrial power supplies and renewable energies, continues to advance their localisation programme with up to 65% of components sourced locally through South African manufacturers.

As a testament to the company‘s focus on meeting the Department of Energy's REIPPP (Renewable Energy Independent Power Producers Programme) localisation objectives, and South Africa's vision of becoming the solar generating hub of the continent, AEG PS has invested in a utility-scale solar inverter manufacturing facility in Cape Town.

The facility, based in Montague Park, Milnerton, was officially opened last September and is the first, and only in southern Africa to manufacture utility-scale solar inverters locally. The 3400 sqm facility is capable of producing at least 200 MW per annum. The South African company, which focuses primarily on Renewable Energy Solutions is registered and operating under the same name as the group's holding company - 3W Power and is trading under the AEG brand.

"In our commitment to maximise local content, we source up to 65% of components through local suppliers, offering clients a proudly South African product at global standards. There is significant potential in the renewable energy sector in South Africa. We are starting to see that through increased investment into local manufacturing and the local skills base that South Africans are reaping the benefits", says Trevor de Vries, Managing Director 3W Power South Africa.

The importance of South Africa's localisation efforts lies in job creation and global competitiveness. To achieve this, AEG PS has adopted the strategy of identifying certified and credible local partners, as well as constantly sourcing products that meet global quality standards and local market requirements. To illustrate this, certain individual components of the AEG Power Solutions' integrated TKS-C Container Solution have even attained a 99% local content score.

The local content requirement for solar electricity for the REIPPP tender, as prescribed by the Department of Energy, requires that by the date of the third bid submission, 65% of the total costs attributed to the Project must be local. This excludes finance charges and land mobilisation fees of the Operations Contractor and imported goods and services.

The commitment and continued efforts of leading global companies such as AEG Power Solutions to invest in South Africa and bolster local content is encouraging. The power lies in the fact that the local industry is able to tap into the global standards applied in each of these companies, thus up-skilling local service providers and the industry as a whole.