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03The Current Status Quo

The system, exactly as engineered

The detailed design fixes the sizing against 368 days of half-hourly metering data. Each scenario uses two PV arrays — one to displace Standard energy and one to self-fund the battery — paired with a BESS sized either for the full Peak period (Scenario B) or the Evening Peak only (Scenario C).

Phase 1 — what we have already achieved

The first phase is live. Commissioned under Schedule 2 of the Electricity Regulation Act, it already delivers real, measurable monthly savings.

Phase 1 · Delivered

First generation online — saving R765,000 every month

By leveraging the Surplus and Pure Generation options under Schedule 2 of the Electricity Regulation Act, the programme has commissioned 2 MWp of PV for Standard-time displacement plus a 4 MWh BESS targeting the Evening Peak — proving the model before scaling.

Schedule 2 · Surplus & Pure Generation4.48 GWh/yr displaced from expensive periods
Phase 1 installation at Dr Beyers Naudé Municipality: battery energy storage cabinets mounted on concrete plinths beneath a solar PV carport canopy, with the Karoo hillside behind.
Commissioned PV + BESS installation — Dr Beyers Naudé Municipality
R765K
Saved every month
R9.19M per year at current tariffs
2 MWp
PV — Standard displacement
3.31 GWh/yr displaced
4 MWh
BESS — Evening Peak
1.17 GWh/yr shifted off Peak

How the monthly saving is calculated

Using the verified Eskom MunicFlex tariffs and the same algorithms as the engineering design — PV displaces Standard energy at the Standard tariff, while the BESS captures the Peak-to-Off-Peak arbitrage spread across both the High- and Low-Demand Seasons.

PV · Standard displacement

2 MWp solar array

S_PV = E_Std × R_Std (per design eq. 10)

Standard energy displaced (2 MWp)
3.31 GWh/yr
High-Demand share · 0.782 GWh × R1.6186
R1.27M
Low-Demand share · 2.531 GWh × R1.5107
R3.82M

Annual saving

R5.09M/yr

R424K/mo

BESS · Evening Peak arbitrage

4 MWh battery

S_BESS = E_Peak × (R_Peak − R_OffPeak) (eq. 11)

Usable storage (4 MWh × 80% DoD)
3.2 MWh/day
High-Demand · 0.586 GWh × R5.3953 spread
R3.16M
Low-Demand · 0.582 GWh × R1.6078 spread
R0.94M

Annual saving

R4.10M/yr

R341K/mo

Combined Phase 1 saving

PV R5.09M + BESS R4.10M, at current tariff rates

R9.19M/yr

≈ R765K per month

Figures use current Eskom MunicFlex rates (Standard R1.5107–R1.6186/kWh, Peak R2.6868–R6.4743/kWh, Off-Peak R1.0790/kWh) and a 90% round-trip efficiency / 80% depth-of-discharge battery. Annual tariff escalation of 12–15% p.a. increases these savings materially over time.

As-designed sizing — Scenarios A, B & C

Two PV arrays (Displacement + Extra), the BESS capacity, and the resulting bill reduction for each scenario.

Scenario A

Baseline — Full Eskom

No PV, no BESS. All bulk energy bought from Eskom under MunicFlex.

Solar PV — two arrays
Displacement PV (Standard)
0 MWp
Extra PV (self-funds BESS)
0 MWp
Total PV
0 MWp
Battery Storage
0 MWhNo storage
Annual bulk cost
R 212.83M/yr
PV saving
BESS saving
Total Annual SavingR 0
Bill reduction vs Eskom0%

The status quo the design replaces.

Scenario B

PV (All Std) + BESS (All Peak)

PV displaces all Standard energy; BESS displaces the entire Peak period.

Solar PV — two arrays
Displacement PV (Standard)
28.8 MWp
Extra PV (self-funds BESS)
683.1 MWp
Total PV
711.9 MWp
Battery Storage
126.5 MWh18.5 MW · all Peak
Annual bulk cost
R 156.19M/yr
PV saving
R 14.71M/yr
BESS saving
R 41.93M/yr
Total Annual SavingR 56.65M/yr
Bill reduction vs Eskom26.6%

Recommended — maximum financial benefit.

Scenario C

PV (All Std) + BESS (Evening Peak)

Same PV; a smaller BESS displaces only the 18:00–20:00 Evening Peak.

Solar PV — two arrays
Displacement PV (Standard)
28.8 MWp
Extra PV (self-funds BESS)
291.6 MWp
Total PV
320.4 MWp
Battery Storage
54.0 MWhEvening Peak only
Annual bulk cost
R 184.37M/yr
PV saving
R 14.71M/yr
BESS saving
R 13.75M/yr
Total Annual SavingR 28.46M/yr
Bill reduction vs Eskom13.4%

Lower-capital phased entry point.

In both Scenario B and C the BESS lease (R155,000/MWh/month) is ring-fenced and fully settled by the dedicated Extra PV array — so every Rand of arbitrage saving stays with the municipality.

Reading the design

Scenario A · Baseline

The municipality buys all bulk energy from Eskom under MunicFlex at R212.83M/yr. This is the status quo every scenario is measured against — no PV, no storage.

Scenario B · Full Peak BESS

28.8 MWp Displacement PV + 683.1 MWp Extra PV (711.9 MWp total) and a 126.5 MWh / 18.5 MW BESS displace all Peak energy — a R56.65M/yr saving (26.6%). The recommended design.

Scenario C · Evening Peak BESS

Identical PV for Standard displacement with 291.6 MWp Extra PV (320.4 MWp total) and a smaller 54.0 MWh BESS covering only 18:00–20:00 — a R28.46M/yr saving (13.4%) at under half the storage.