In recent years, the global mining industry has faced increasing pressure to adopt more sustainable practices. South Africa, with its rich mineral resources, is not immune to these demands, especially with the introduction of the 2019 Carbon Tax. But how has this tax influenced the shift towards electric and hybrid equipment in the mining sector?
Alistair Bennett, Managing Director, and Keith Freel, Sales Manager at SkyJacks, discuss how this tax is influencing the shift towards electric and hybrid equipment in the sector.
When asked about the impact of the 2019 Carbon Tax on the demand for electric and hybrid equipment, Bennett noted that the effects have been slow to materialize.
“I don’t think it’s had a direct impact yet,” he said. “As our customers become more aware of the implications of the tax, we’ll likely start to see that impact trickle down to us.”
Although the transition has been gradual, the company he represents is preparing for an inevitable shift. “We are positioned very well to offer our customers choice when it comes to full electric or hybrid machines going forward,” Bennett added, highlighting their strategic foresight.
“I don’t think it’s a trend,” Bennett emphasised on whether the increase in electric technology a trend or a more profound phenomenon is merely.
“South Africa is following the regulatory and customer demands that we’re seeing in Europe and other developed countries.”
“In Europe, Original Equipment Manufacturers (OEMs) have already begun to produce electric equipment to meet stringent regulatory standards. South Africa, while a few years behind, is on the same trajectory. The shift is driven not only by sustainability concerns but also by practical benefits such as noise reduction, lower maintenance costs, and the ability to operate in urban areas.
“Electric machines offer options in terms of reduced emissions and noise, which is important for both environmental and operational reasons,” he explained.
These advantages make the transition from fossil fuel to electric technology not just desirable but necessary to comply with emerging environmental regulations.
So how exactly can electric and hybrid equipment help mining companies meet regulatory standards? According to Bennett, it’s all about reducing their carbon footprint.
“The more electric options they have, the fewer diesel-engine machines they’ll have on-site,” he said. However, he cautioned that the shift toward reduced emissions is not a one-size-fits-all solution. “It’s a combination of many small steps.”
The company has taken these steps seriously, positioning itself as a leader in offering sustainable equipment options. “We’ve embraced electric technology by giving our customers choice,” said Freel, noting that the introduction of powerful electric alternatives to traditional diesel machines is a game changer for the industry.
Another crucial aspect of embracing electric technology is its appeal to sustainability-focused investors and customers. “It’s about offering choice,” Freel emphasised.
“In the past, larger machines were only available with diesel engines because of the power requirements. But with advancements in lithium battery technology, we can now offer the same power and performance in electric and hybrid options.”
This shift towards offering sustainable options is key to attracting investors who are increasingly looking for companies committed to reducing their environmental impact.
“As pressure from shareholders increases, more and more companies are asking us what we’re doing to reduce emissions,” he further explained.
Long-term benefits of electric machines
The benefits of adopting electric and hybrid equipment extend far beyond regulatory compliance. One of the most significant advantages is reduced maintenance costs.
Bennett said it’s a more efficient item to keep in your fleet,” he said, citing advancements in lithium battery technology that have made electric equipment more practical.
“Electric machines are much quieter than diesel engines, which is important from a noise regulation perspective. This makes them ideal for use in both urban and rural settings where noise levels can be a concern,” he added.
Bennett noted that although South Africa lags behind in the uptake of electric and hybrid machinery, this is for the most part due to high capital costs upfront.
“It’s early days still. South Africans are still getting their heads around moving towards fully electric machines,” he said.
“However, we’re seeing the OEMs working hard to bring the costs down, and in a few years, I think we’ll see a big shift,” he said.
He also highlighted the importance of choosing OEMs that prioritise sustainability and innovation, ensuring that the company remains competitive in the long term.
“Our strategy is to position ourselves with OEMs that have this technology and are focused on more sustainable solutions,” he added.
The long-term advantages of lower emissions, lower costs, and increased operating efficiency make electrification a reasonable investment for the future of South Africa’s mining industry, notwithstanding the slow pace of the transition.
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