ABB SA
ABB SA
African Power House
Boosts Growth Through GeoExpansion Strategy PRODUCTION: Manelesi Dumasi
Global electrical engineering and technology giant, ABB, is committed to servicing the needs of Southern Africa. This is a conglomerate that is future-proofing itself and its customers as the world’s view on power sources continues to change.
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Global technology organisation, ABB, is entering an exciting period in its history as it becomes recognised as the world’s foremost partner for utility, industry, transport and infrastructure customers. Starting life in Switzerland in 1988, ABB is the product of a merger between Swedish business ASEA and Swiss company BBC Brown Boveri, both world-leading engineering and electrification concerns. Before the merger, both ASEA and BBC were represented in South Africa but the company officially entered the country as ABB in 1992. Realising the potential of the South African market as it approached democracy, and taking
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into account the obvious vast potential of the local mineral resources and infrastructure development industries, ABB’s decision to move into Southern Africa was rewarded as the company brought its global clout to the region, quickly gaining large contracts and investing heavily in local capacity. Today, the company employs more than 2000 people across Southern Africa, and 5000 on the continent in total, holding some of the region’s most significant electrical engineering projects in its portfolio. Headquartered in Longmeadow, Johannesburg, ABB’s site is a 96,000 m2 shining example of a green building produced with the very latest environmental concepts
and technology. The company moved into its R500 million Longmeadow site in 2009 and has been lauded for the visionary approach to innovation taken with design of the building. More recently, in August 2017, the group opened a new office in Namibia, further entrenching its commitment to Southern Africa. The 2200 m2 facility in Windhoek is an amalgamation of two smaller offices that were previously servicing the area. Now, ABB hopes to supply, maintain and service products to the local market and neighbouring countries such as Zambia and Angola. ABB’s Managing Director, South and Southern Africa, Leon Viljoen said of the new office: “Namibia is
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INDUSTRY FOCUS: POWER & AUTOMATION
// NAMIBIA IS AN IMPORTANT MARKET FOR ABB, AS IT IS THE SECOND LARGEST CONTRIBUTOR IN THE REGION TO OUR REVENUE AFTER SOUTH AFRICA // an important market for ABB, as it is the second largest contributor in the region to our revenue after South Africa. We have been in the country since the early 90‘s, and this investment is part of our commitment to the region to enable the offering of more services and products. The new facility will also help us to better service the neighbouring markets of Angola and Zambia from here, further improving our penetration into those countries.”
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TRANSFORMING SA RAIL Alongside expansion in Namibia, ABB has also been investing into a new factory in Johannesburg for the production of traction transformers. After winning a contract from Bombardier back in 2014 to supply traction transformers for use in 240 locomotives, the company has invested in a facility, alongside its existing Longmeadow site. Traction transformers are used to power trains and will assist in the ongoing drive towards growing South Africa’s passenger and freight rail network. When the facility opened in May last year, the company said it aimed for 60 people to be employed by the end of the year. The 2450 m2 factory will also produce associated products as the rail expansion programme continues to gather pace. “ABB is proud of this new traction transformer facility in South Africa, reiterating our philosophy of locating manufacturing units close to our
customers,” said Ulrich Spiesshofer, CEO of ABB, speaking at the inauguration event. “It reinforces our Next Level strategy focus on strengthening our presence in Africa and supports our ongoing commitment to sustainable mobility.” He added that the goal for the business is to be close to its customers and, with Bombardier producing 240 locomotives locally, the traction transformer facility fits in line with strategy. ABB has a long history working in the rail industry with its traction transformers already powering more than half the world’s electric locomotives and train sets. It has worked with Bombardier for many years and has developed a great relationship. POWERING AFRICA Away from its Namibian expansion, ABB stakeholders were excited last year when the company secured a $30 million contract with Société nationale d’électricité (SNEL) of the DRC. The contract involves a partial upgrade of
ABB SA
// ABB IS PROUD OF THIS NEW TRACTION TRANSFORMER FACILITY IN SOUTH AFRICA, REITERATING OUR PHILOSOPHY OF LOCATING MANUFACTURING UNITS CLOSE TO OUR CUSTOMERS // service business and our growth drive in Africa. It also reinforces our position as a partner of choice for enabling a stronger, smarter and greener grid.” The upgrade will almost double transmission capacity from 520 to 1000 MW. ABB sees large opportunities in the DRC, a country which is greatly under-electrified and sources most of its estimated 2500 MW from hydropower sources. It is estimated that the country utilises just 2% of its 100,000 MW
the Inga-Kolwezi high-voltage direct current (HVDC) power transmission link. The upgrade will involve a boost in transmission capacity and supply clean hydro power while strengthening grid reliability in the country. The IngaKolwezi HVDC power transmission link sees power transferred from the Inga hydropower station on the Congo River to the mining town of Katanga and Southern African Power Pool countries. ABB installed the link in 1982 and, at the time, it was the world’s longest transmission line. In 2009, ABB upgraded the line and installed new thyristor valves, high-voltage apparatus and a MACHTM control and protection system. “We are pleased to continue our long association with the IngaKolwezi HVDC Link and contribute to the strengthening of the DRC’s power infrastructure. This upgrade will boost supply of clean hydropower to industrial and domestic customers,” said Claudio Facchin, President of ABB’s Power Grids division. “This order reiterates our leading HVDC position, strategic focus on the
hydroelectric potential. CLEAN ENERGY FUTURE In another clean energy initiative, ABB has been heavily involved with the much discussed solar microgrid project at Robben Island. Famously home to the prison which held Mandela for 18 years, the island has long been viewed as a symbol of hope, and with this project displaying how effective microgrids can be, it looks as though Robben Island is now an example of good for an altogether
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INDUSTRY FOCUS: POWER & AUTOMATION
different reason. Utilising renewable energy from a small solar farm on the southeast coast of the island, ABB wireless technology is helping reduce the use of fossil fuels from diesel generators. Robben Island is a World Heritage Site and sits nine kilometres off the coast of Cape Town. It is home to a small community and power sources have long been a concern thanks to the positioning of the island, surrounded by strong currents and at the mercy of the Atlantic Ocean weather. The microgrid captures the sun’s rays and through photovoltaic panels, covering an area the size of a football pitch, generating peak capacity of 667 kw. The 12 onsite inverters convert DC from the panels to AC power for use on the island. A battery bank stores around seven hours of power for use after the African sun goes down. The power needs of the island equate to those of a small village, including the working harbour and lighthouse. Previously, the island burnt 600,000 litres of diesel
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fuel each year and the new system is much more energy efficient, reducing carbon emissions by around 75%. ABB’s wireless technology allows the entire system to be controlled remotely from Cape Town through ABB AbilityTM. The system is already greatly benefiting the island’s more than 300,000 visitors each
year by creating a cleaner environment for everyone, including wildlife and the natural environment. “Microgrids are a key element of the grids of the future,” said Facchin. “What we are implementing as a technology at Robben Island is definitely one of the benchmarks of
ABB SA
how we can support to enable stronger, smarter and greener grids. “The project is bringing substantial cost efficiencies and supporting the Department of Tourism’s efforts to keep the heritage and spirit of this world renowned island alive,” he added. Reminding the wider global community of its clean energy credentials, ABB recently partnered with the Formula E motorsport series to champion e-mobility. Formula E is basically Formula 1 for electric cars but on street circuits. In January, ABB signed up as the main sponsor of the series, now known as the ABB FIA Formula E Championship. Both parties see the relationship as a chance to further research, develop and enhance electrical motor technology. Globally, ABB is the unquestioned industry leader in fast-charging EV stations. While electric vehicles are yet to hit the mainstream in South Africa, it seems to be only a matter of time as the globe moves towards a future using less carbon
// WE ARE PLEASED TO CONTINUE OUR LONG ASSOCIATION WITH THE INGAKOLWEZI HVDC LINK AND CONTRIBUTE TO THE STRENGTHENING OF THE DRC’S POWER INFRASTRUCTURE // emitting fuel sources. “We are extremely excited to partner with Formula E in writing the future of e-mobility,” said Spiesshofer. “Two pioneers are uniting. ABB and Formula E are a natural fit at the forefront of the latest electrification and digital technologies. Together, we will write the next phase of this exciting sports activity and foster high-performance teams. Together, we will write the future – one electrifying race at a time.”
Alejandro Agag, founder and CEO of Formula E, said: “This is a historic day for Formula E and I’m honoured to welcome the global technology leader ABB as the title partner of Formula E, with its background and expertise in the field of electrification and digital technologies. Our two companies are synonymous with pushing the boundaries of what is possible. Together, as partners, we will showcase breakthrough technology on a global scale to fans and consumers who follow the ABB FIA Formula E Championship.” So, ABB continues on its growth path, both locally and internationally, and with its name now becoming synonymous with e-mobility sport, perhaps now is the start of an exciting new period for the company that has achieved so much in the past three decades.
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February 2018
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