Close Menu
TechCentralTechCentral

    Subscribe to the newsletter

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Facebook X (Twitter) YouTube LinkedIn
    WhatsApp Facebook X (Twitter) LinkedIn YouTube
    TechCentralTechCentral
    • News
      Eskom has a R1.20/kWh offer for bitcoin miners

      Eskom has a R1.20/kWh offer for bitcoin miners

      2 October 2026
      Meta's smart glasses are officially coming to South Africa - Mark Zuckerberg

      Meta’s smart glasses are officially coming to South Africa

      2 October 2026
      Usaasa consults on universal access as its abolition stalls

      Usaasa consults on universal access as its abolition stalls

      2 October 2026
      Frogfoot plots acquisitions as Octotel and MetroFibre weigh a merger - Shane Chorley

      Frogfoot plots acquisitions as Octotel and MetroFibre weigh a merger

      2 October 2026
      Home affairs pulls the plug on the green ID book - Leon Schreiber

      Home affairs pulls the plug on the green ID book

      1 October 2026
    • World
      BMW restructuring plan bets on AI and new models

      BMW restructuring plan bets on AI and new models

      1 October 2026
      OpenAI's rogue agent problem keeps getting bigger - Sam Altman

      OpenAI’s rogue agent problem keeps getting bigger

      28 September 2026
      The new battle over the desktop

      The new battle over the desktop

      23 September 2026
      AMD is now worth a trillion dollars - Lisa Su

      AMD is now worth a trillion dollars

      22 September 2026
      Anthropic weighs new model launch to blunt OpenAI's Astra surge - Anthropic CEO Dario Amodei and OpenAI CEO Sam Altman

      Anthropic weighs new model launch to blunt OpenAI’s Astra surge

      21 September 2026
    • In-depth

      10 days that changed the course of AI

      21 September 2026
      Meta to the AI industry: slow down without us - Mark Zuckerberg

      Meta to the AI industry: slow down without us

      16 September 2026
      Google DeepMind CEO Demis Hassabis. Image: John Sears

      The plan to stop AI from breaking the world

      16 July 2026
      The internet has a Strait of Hormuz problem

      The internet has a Strait of Hormuz problem

      15 July 2026
      AI boom sparks rally, frenzy and fear

      AI boom sparks rally, frenzy and fear

      11 June 2026
    • TCS
      Lexi Novitske, general partner at Norrsken22, on the TechCentral Show

      TCS | Norrsken22’s Lexi Novitske on how China is winning African tech

      1 October 2026
      TCS | Dominic White and Adam Ely on AI agents going rogue

      TCS | Dominic White and Adam Ely on AI agents going rogue

      29 September 2026
      TCS | Octotel's Trevor van Zyl on the fibre merger question

      TCS | Octotel’s Trevor van Zyl on the MetroFibre merger question

      16 September 2026
      Meet the CIO | Shoprite's Chris Shortt on what a supermarket becomes

      Meet the CIO | Shoprite’s Chris Shortt on what a supermarket becomes

      9 September 2026
      Rubicon's EV charging network is profitable - and growing fast - Watts & Wheels

      W&W | Rubicon’s EV charging network is profitable – and growing fast

      8 September 2026
    • Opinion
      South Africa's next energy crisis is in the accounts department - Craig Holmes

      South Africa’s next energy crisis is in the accounts department

      29 September 2026
      The steam engine lesson AI doomsayers keep missing - Sam Clarke

      The steam engine lesson AI doomsayers keep missing

      28 September 2026
      Regulating AI: apply the laws we have first - Dirk de Vos

      Regulating AI: apply the laws we have first

      21 September 2026
      What Revolut can and cannot take from South Africa's banks - Pambos Soteriades

      What Revolut can and cannot take from South Africa’s banks

      15 September 2026
      The end is nigh, and the shares go on sale in October - Duncan McLeod

      The end is nigh, and the shares go on sale in October

      14 September 2026
    • Company Hubs
      • 1Stream
      • Africa Data Centres
      • AfriGIS
      • Altron Digital Business
      • Altron Document Solutions
      • Altron Group
      • Arctic Wolf
      • Ascent Technology
      • AvertITD
      • BBD
      • Braintree
      • CallMiner
      • CambriLearn
      • CM.com
      • Contactable
      • CYBER1 Solutions
      • Digicloud Africa
      • Digimune
      • Domains.co.za
      • ESET
      • Euphoria Telecom
      • HOSTAFRICA
      • Incredible Business
      • iONLINE
      • IQbusiness
      • Iris Network Systems
      • Kaspersky
      • LSD Open
      • Mitel
      • NEC XON
      • Netstar
      • Network Platforms
      • Next DLP
      • Ovations
      • Paracon
      • Paratus
      • Publishared
      • Q-KON
      • SevenC
      • SkyWire
      • Solid8 Technologies
      • Telit Cinterion
      • Telviva
      • Tenable
      • Vertiv
      • Videri Digital
      • Vodacom Business
      • Vox
      • Wipro
      • Workday
      • XLink
    • Sections
      • AI and machine learning
      • Banking
      • Broadcasting and Media
      • Cloud services
      • Contact centres and CX
      • Cryptocurrencies
      • Education and skills
      • Electronics and hardware
      • Energy and sustainability
      • Enterprise software
      • Financial services
      • HealthTech
      • Information security
      • Internet and connectivity
      • Internet of Things
      • Investment
      • IT services
      • Lifestyle
      • Policy and regulation
      • Public sector
      • Retail and e-commerce
      • Satellite communications
      • Science
      • SMEs and start-ups
      • Social media
      • Talent and leadership
      • Telecoms
      • Watts & Wheels
    • Events
    • Advertise
    TechCentralTechCentral
    Home » Opinion » Trevor Hill » How to electrify SA’s automotive industry

    How to electrify SA’s automotive industry

    By Trevor Hill12 October 2017
    Twitter LinkedIn Facebook WhatsApp Email Telegram Copy Link
    Get breaking news on WhatsApp

    In 2016, the National Energy Development Institute’s cleaner mobility programme reported that electric vehicles in South Africa amount to a mere 500 of the roughly seven million cars on our roads. These are bleak numbers, but the harsh reality is that just over half a year later, we still have not finalised a structured approach to the future of mobility (including a policy framework for electrification) in this country, so it remains unlikely that this will change.

    We know — and truly appreciate — that this cannot happen overnight, but this is by no means a proxy for not happening at all.

    Key to this is a programme that balances the very real fiscal needs of most South Africans today, with a policy framework that truly unlocks the value of a long-term mobility plan for a more mobile population, a more competitive and growing economy, and a more responsible footprint in how to move people and services around.

    The harsh reality is that just over half a year later, we still have not finalised a structured approach to the future of mobility, including a policy framework for electrification

    It is this focus on a shared value model that will bring together the automotive industry, big businesses and government to enable a programme that will without a doubt make South Africa a more competitive and attractive investment destination. It is just that. Innovation today is shared value tomorrow. With buy-in from both the private and public sector, we could see positive results, fast.

    Innovation in technology and business models as well as climate change, have pushed vehicle manufacturing companies to electric vehicles (EVs), and as the wider economy moves to meet environmental obligations, the need for the electrification of the automotive sector is becoming increasingly important.

    Critically, government already acknowledges that technological innovation, dubbed the Fourth Industrial Revolution, will reshape the future of work, industrial production and social interaction, and that the rise of artificial intelligence will have a profound impact on the country. But to move forward, we need to be honest about where we are in the EV market and re-look government’s current policy around it. It is imperative that we start planning now for the necessary technologies, costs, infrastructure partners and business models.

    Window of opportunity

    This presents a window of opportunity for South Africa to stimulate industrial development while reducing reliance on oil imports, saving foreign exchange and creating jobs. We can also simultaneously improve air quality in cities and tackle climate change. Most importantly, we can create innovative and sustainable future mobility models that allow us to leapfrog the rest of the world in this space.

    Key focus areas of this plan would be as follows:

    1. Sustainable infrastructure development
    The limited availability of charging infrastructure is one of the biggest obstacles to the widespread adoption of EVs. More needs to be done to plan and implement an infrastructure roadmap that enables electrification in a scalable way.

    2. Sustainable funding models
    To start, we need to identify sources of funding (both government and private sector) and future skills requirements that enable the legroom to innovate. We appreciate that we need to plan a funding model that makes allowance for progress and the fiscal demands of today’s society.

    3. Sustainable policy landscape
    Automotive companies can identify which policies are important to the EV market and assess the effectiveness of the programmes and policies in all departments that have a vested interest in the EV market. We need to come together to map a policy framework that delivers on collective needs but also creates a north star we can all aim for. Married with this is our environmental approach. In this area, our approach should be characterised by substantial increased investment in green sectors, supported by enabling policy reforms. Growing economic activity (which leads to investment, jobs and competitiveness) in the green industry sector and a shift in the economy towards cleaner industries should all be factored into our national planning.

    Author Trevor Hill, of Audi South Africa, argues that the country can be a world leader in electro-mobility

    4. Sustainable delivery through appropriate education
    The skills shortages in science, technology, engineering and mathematics careers remain dire. The burgeoning youth population must be trained in sectors that meet the demands of the new millennium in sectors like the EV market, which means that we need education to compete on the global stage. Failure to educate the youth in technology has widespread implications, economically, politically and socially.

    Indeed, there is a dire need for such skills, as research by McKinsey & Company Home Automotive & Assembly shows that the high speed of innovation, especially in software-based systems, will require cars to be upgradable. As mobility solutions with shorter lifecycles become more common, consumers will be constantly aware of technological advances, likely to spur the creation of secondary industry to support component demand and development. It is vital we have the skills needed to fill the potential jobs created.

    5. Taxation that promotes growth and development
    In South Africa, we penalise aspirant EV owners with a 43% tax: 25% import tax and 18% ad valorem (according to value) which puts electric mobility out of reach. This doesn’t align with government’s own commitment to clean energy, green transport and development of new industrial sectors. The right incentives need to flow from the sensible alignment of policy by departments responsible for energy, transport, cities and industry. The absence of industrial and consumer incentives is significantly responsible for South Africa’s slow adoption of EVs. A more favourable taxation policy is urgently needed, including priority support for local industries, which create mobility systems adapted to South African conditions.

    Taxation

    Key to this are viable alternatives in the taxation of electric vehicles. To date, government has never entertained a direct tax benefit for consumers of EVs. Rather they increase carbon tax on higher carbon emitters. Another way to entice consumers would be direct cash-back incentives or incentives that reduce the cost of ownership over time, such as making EVs exempt from e-tolling or an annual income tax green rebate.

    Policymakers must demonstrate the viability of the technology and promote EVs. In the 2017 budget speech, it was announced that R3.9bn was being allocated to the CSIR. We need to interrogate this opportunity to include research into new technologies and the electrification of the automotive industry, triggers to macro growth and development of the automotive sector, as well as what improved mobility means for the South African population.

    We know that electro-mobility will change the way we move and once South Africans embrace this technology it will lay the foundation for the EV market and our country will become a world player in this sector.

    • Trevor Hill is head of Audi South Africa
    Add TechCentral as a preferred source on GoogleFollow TechCentral on Google NewsGet breaking news on WhatsApp


    Audi Audi South Africa top Trevor Hill
    WhatsApp YouTube
    Share. Facebook Twitter LinkedIn WhatsApp Telegram Email Copy Link
    Previous ArticleCartrack delivers solid interim growth
    Next Article Ominous signs for Apple on iPhone 8 sales

    Related Posts

    Why South Africa's EV market is going nowhere slowly

    Why South Africa’s EV market is going nowhere slowly

    9 April 2026
    BYD shuns price war in South Africa

    Every electric car you can buy in South Africa in early 2026, ranked by price

    6 February 2026
    How Chinese EV tech is reshaping the global car industry

    How Chinese EV tech is reshaping the global car industry

    11 September 2025
    Company News
    Huawei sets out its vision for intelligent government at GovTech 2026

    Huawei sets out its vision for intelligent government at GovTech 2026

    2 October 2026
    A simple guide to modern laptop processors for small businesses - Incredible

    A simple guide to modern laptop processors for small businesses

    2 October 2026
    Cloud and AI won't deliver value on their own, executives warn

    Cloud and AI won’t deliver value on their own, executives warn

    1 October 2026
    Opinion
    South Africa's next energy crisis is in the accounts department - Craig Holmes

    South Africa’s next energy crisis is in the accounts department

    29 September 2026
    The steam engine lesson AI doomsayers keep missing - Sam Clarke

    The steam engine lesson AI doomsayers keep missing

    28 September 2026
    Regulating AI: apply the laws we have first - Dirk de Vos

    Regulating AI: apply the laws we have first

    21 September 2026

    Subscribe to Updates

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Latest Posts
    Eskom has a R1.20/kWh offer for bitcoin miners

    Eskom has a R1.20/kWh offer for bitcoin miners

    2 October 2026
    Huawei sets out its vision for intelligent government at GovTech 2026

    Huawei sets out its vision for intelligent government at GovTech 2026

    2 October 2026
    A simple guide to modern laptop processors for small businesses - Incredible

    A simple guide to modern laptop processors for small businesses

    2 October 2026
    Meta's smart glasses are officially coming to South Africa - Mark Zuckerberg

    Meta’s smart glasses are officially coming to South Africa

    2 October 2026
    © 2009 - 2026 NewsCentral Media
    Built and maintained by Chronon
    • Cookie policy (ZA)
    • TechCentral – privacy and Popia

    Type above and press Enter to search. Press Esc to cancel.

    Manage consent

    TechCentral uses cookies to enhance its offerings. Consenting to these technologies allows us to serve you better. Not consenting or withdrawing consent may adversely affect certain features and functions of the website.

    Functional Always active
    The technical storage or access is strictly necessary for the legitimate purpose of enabling the use of a specific service explicitly requested by the subscriber or user, or for the sole purpose of carrying out the transmission of a communication over an electronic communications network.
    Preferences
    The technical storage or access is necessary for the legitimate purpose of storing preferences that are not requested by the subscriber or user.
    Statistics
    The technical storage or access that is used exclusively for statistical purposes. The technical storage or access that is used exclusively for anonymous statistical purposes. Without a subpoena, voluntary compliance on the part of your Internet Service Provider, or additional records from a third party, information stored or retrieved for this purpose alone cannot usually be used to identify you.
    Marketing
    The technical storage or access is required to create user profiles to send advertising, or to track the user on a website or across several websites for similar marketing purposes.
    • Manage options
    • Manage services
    • Manage {vendor_count} vendors
    • Read more about these purposes
    View preferences
    • {title}
    • {title}
    • {title}
    🇿🇦 Sign up to the TechCentral newsletter