Loadshedding, rolling blackouts and power outages are words that South Africans have become accustomed to but don’t like as the incompetency of utility provider, Eskom, is exposed as it supposedly continues with efforts to maintain and repair infrastructure. However, unplanned unit breakdowns, criminal sabotage, and corruption are likely to continue to hamper efforts to rehabilitate the national grid. Power cuts could possibly last for up to 12 hours and above during major supply shortage periods.
The result is that many South Africans are choosing to end or reduce their dependence on the national electricity grid. The approaches people are taking are still evolving. Some are choosing to cut off their reliance on local government, which is responsible for local electricity distribution and reticulation. Others are opting to add solar and battery power while retaining municipal power for backup.
However, for businesses using equipment to perform engineering and manufacturing services, solar and renewable energy sources generally do not cater or have the capacity to support these activities. Back-up power produced by petrol and diesel generators has become popular, especially among businesses. South African households and businesses are using these generators to keep the power on and keeping the machines productive amid the country’s worsening loadshedding crisis.
Loadshedding, rolling blackouts and power outages are words that South Africans have become accustomed to but don’t like. The result is that many South Africans are choosing to end or reduce their dependence on the national electricity grid. Diesel generators are one of the most popular options in developing countries. New Way Power is a South African company that provides this vital service
Diesel generators are one of the most popular options in developing countries. In Sub-Saharan Africa, generators provide nine per cent of electricity consumed annually; in Western Africa, it rises to 40 per cent.
New Way Power is a South African company that provides this vital service. Established in 1983, it initially sold and supported diesel engines. But then a clear crisis started to appear in the state-owned infrastructure in terms of power supply and access to the grid in about 2008, where the infrastructure showed serious stress.
New Way Power could see it happening a year or two in advance. It was a natural transition from supplying diesel engines to manufacturing and assembling diesel generators, with the largest component being the engine.
New Way Power now designs, manufactures and packages power solutions for the manufacturing, construction, mining, engineering, IT, agricultural, retail, hospitality, and medical sectors. Associated services include project management, installation and aftersales, rental of temporary power, renewable energy (solar and storage), parts and maintenance, ensuring an end-to-end solution in all markets.
New Way Power now designs, manufactures and packages power solutions for the manufacturing, construction, mining, engineering, IT, agricultural, retail, hospitality, and medical sectors
The company offers full turnkey solutions of diesel generators, services and after-sales, as well as remote monitoring and service level agreements and a dedicated 24-hour technical field service, installation and a diesel delivery service across the country.
The company’s sound attenuation division builds attenuators and soundproof canopies and containers.
New Way Power’s headquarters are located at 30 Jacobs Street, Alberton North, Gauteng, with regional offices in Cape Town and KwaZulu-Natal. The factory, which was built in 2010, houses the company’s state-of-the-art manufacturing facility and covers 30 000m², of which 15 400m² is under cover. At this facility, they are able to design and build to the highest quality standards, from application of product technology to final on-site commissioning.
New Way comprises of three business units and two separate legal entities. The first is New Way Power, which designs, manufacturers, delivers and installs generators – this constitutes between 65 to 75 per cent of its business offering. There is a division within the company, Genmatics, which is a temporary power company, offering both short- and long-term rentals, predominantly operating within the events industry. This normally makes up around 15 per cent of revenue.
The company is going through a process of upgrading its manufacturing equipment. New Way Power have recently installed a JFY TPR8 150 press brake, supplied by Puma Machine Tools
The company has also purchased a JFY BFC+ 6kW fibre laser, also supplied by Puma Machine Tools
The third business entity is Power 02, which focuses in on the selling and distribution of diesel engines such as John Deere G Drive, Moteurs Baudouin and Mitsubishi, and comprises 10 per cent of revenue.
In 2010 the company was acquired by the enX Group. enX Group Limited, formerly Austro Group Limited, has been listed in the JSE’s “Industrial Engineering” sector, “Industrial Machinery” sub-sector since 2007. Austro’s name originated from the woodworking machinery business, Austro Proprietary Limited, its sole asset at the time of listing in 2007.
The group then acquired two industrial businesses being New Way Power (generator business) and Centlube (an oil lubricant business which represents Mobil in Sub-Saharan Africa). Following these major changes in the composition of the group, the board elected to change the name of the group to better reflect the group’s new composition and the direction in which it is heading. The name enX is an acronym for Energy Exchange and it highlights the board’s intention to refocus enX as an energy and industrial supplies company servicing Sub-Saharan Africa.
Existing equipment includes Durma press brakes and a Durma guillotine
On the laser side the company still makes use of its Trumpf Trulaser 1030
enX continued to expand its diversified industrial offering by acquiring West African Group (a plastics, polymers, rubber and associated chemicals distributor) and lastly Eqstra Fleet Management (a passenger and commercial vehicle leasing and related services business) and EIE Group (an industrial equipment business).
The enX Group is a diversified industrial group that provides quality branded industrial, petrochemical, and fleet management and logistics products and services.
During 2020 the group disposed of its United Kingdom forklift operations. On 1 April 2022 enX effectively disposed of its EIE SA operations and on 30 June 2022 of Austro.
“When we build a generator, we will use Moteurs Baudouin, John Deere or Mitsubishi engines. If a customer specifies another brand, we will endeavour to accommodate them, but our strongest focus is to push our brands,” explained New Way Power’s current Production Manager Nick Silver who previously headed up sales and services in Cape Town.
The company has a strong footing in South Africa and employs around XXX staff nationwide. Its largest client base comes from the data centre space, followed by the retail sector, facilities management, property, healthcare and agriculture.
The company has its own painting and coating facilities
New Way Power processes, fabricates and assembles most of its own products including double-walled fuel tanks to provide an added level of safety in case of leaks
They manufacture standalone generator sets from 15kVA up to 2 500kVA and if required will supply higher powered generators that will be powered by engines from Mitsuibishi.
“Besides occupying private homes with the smaller 15 to 20kVA version generators and in many industrial applications with 150kVA plus generators, typically you will also find our generators in data centres, shopping centres, hospitals, clinics and universities.”
Some of New Way Power’s major contracts include the supply of standby power units to the Mall of Rosebank and two 2 200kVA synched units at a data centre in Johannesburg, with an additional two 2 200kVA units to follow at a second premises. They have also supplied 15 units to a KwaZulu-Natal educational institution.
New Way Power also entered into a supply agreement with one of the largest data centres in South Africa; a project spread over Gauteng, Western Cape and KwaZulu Natal. It has, so far, powered five or six energy centres in those three regions.
“With the giant tech companies looking for reliable backup power should their data centres lose connection to the grid for any reason, they need generators to prevent stops in data transmission and storage. Videos need to be streamed. Emails need to be sent. Social media feeds need to be updated. For that to happen, the data centres need to keep operating – and cooled – even when powered by backup generators.”
The assembly of a generator
The company refurbishes, renovates and redesigns 20 foot and 40 foot containers for the 750kVA to 2 500kVA generators. There is plenty of design and accessories that go into these containers and New Way Power will make all the inlets, ventilation ducts and panels, for example
“It has been a learning curve. Within the data space there is a big push on advancing technologically year on year, improving cost efficiencies on the power backup supply. Their business model is constantly innovating and changing and so we have to follow suit. It’s been a huge project for us.”
“There are only one or two other players in South Africa that would be able to design and build these generators and integrate them with some of the other onsite infrastructures, such as diesel reticulation systems and BMS systems. It’s quite a complex design philosophy, which is where New Way’s strength comes in. It’s not just putting the generator together, it’s making sure the design is fit for purpose, based on the customer’s continually advancing requirements.”
Over the past few years New Way Power has installed c200GW of backup power across multiple industrial sectors.
“We can proudly say that we have ABSA, Dimension Data, Internet Solutions, DSV, Netcare, WBHO, Lancet Laboratories, Murray & Roberts, Pick n Pay and Airports Company South Africa as some of our clients.”
“The Baudouin generators do lead the sales but in the agriculture industry the farmer wants the John Deere generator. Nothing and nobody can persuade him otherwise.”
Fabrication
“Although our main business is selling generators you could regard us as a fabricator as well. Except there is a big difference to us as compared to most fabricators. They are usually dealing with clients and fabricating the many different projects, products, equipment and other assemblies. Some might have regular production type work.”
“Whereas we are solely concentrated on fabricating components and product for our own use on our generator sets or converted containers.”
“The Baudouin generators do lead the sales but in the agriculture industry the farmer wants the John Deere generator. Nothing and nobody can persuade him otherwise.”
The electronic enclosures are also manufactured and fabricated by New Way Power
“We do all our own cutting, bending and forming for our canopies and whatever is needed when converting a container to house a generator. For generators from 20kVA to 650kVA we use a canopy. You could say it is an enclosure but with a lot more than an enclosure that is used for a general electrical box. It is not a simple sheet metal box around the generator. For example, they require insulation to minimise noise when the generators are engaged, and they needed double-walled fuel tanks to provide an added level of safety in case of leaks.”
“You also have to take into consideration temperatures so you put in air-conditioning as well as lighting, control panels and many other accessories and monitoring equipment for efficient use.”
“You also have to adhere to municipal by-laws of the noise being below 65dBA. It is interesting to note that these laws are only enforced in Cape Town. Inspectors visit sites with sound meters to make sure you are complying.”
“We will make the attenuation boxes, silencers and mufflers to aid with noise pollution. Our canopies are weatherproof and environmentally clean and there are many different designs. They depend on client requirements.”
Some of the bigger generators in the assembly line
“We also refurbish, renovate and redesign 20 foot and 40 foot containers for the 750kVA to 2 500kVA generators. Again, there is plenty of design and accessories that go into these containers and we will make all the inlets, ventilation ducts and panels, for example. They also have to be fireproof and rodent proof as best possible.”
New equipment: JFY fibre laser and press brake
“Like all fabricators we need machines that are versatile and can handle multiple applications. The equipment should facilitate a fabricator’s ability to grow and expand his business by enabling him to take on new jobs and new applications. We do have to have services done outside but in the main we do everything inhouse and this is the way we like it.”
“We are going through a process of upgrading our processing equipment and have recently installed a JFY 6kW fibre laser and a JFY TPR8 150 press brake.”
“All of this new manufacturing equipment will contribute to productivity and capacity. Although we have existing cutting and bending equipment the new laser cutting machine and press brake will take us to another level.”
The company has a welding department for fabrication and assembly
“Scaling up to stay on top of the work coming our way has required big planning. Some of the data centre customers seeking its metal fabricating services for the enclosures and turnkey delivery of the generators are also scaling up so we have to match them and not play catch-up.”
When asked if automation could help to offset the glaring need for welders, Silver said that robotics isn’t much help for New Way Power. “For something like the double-walled fuel tanks, which are large and bulky, welders can lay their beads in almost the same time that it would take to get something that large placed into a fixture for robots to do their jobs.”
Solar power
“Loadshedding is not going away in the near future. South Africans are fed up and as usual are making alternative plans like solar power. We are at an advanced stage to enter this market as we have the manufacturing ability and we are in the alternative power generation industry.”
For further details contact New Way Power on TEL: 010 216 2600 or visit www.newway.co.za
