Equipment: Sungrow SBH100–400 LFP battery + Sungrow SH5/6/8/10/12T hybrid inverter family. Location: Cape-region micro-brewery, ZA. Horizon: 10 yr. Evidence date: 2026-01-15. Limitation: financial figures computed from scenario TCO model; procurement inputs require importer re-verification.
Do not proceed on energy economics alone. At base assumptions (Capex R1,250,000, blended tariff R2.47/kWh) the project destroys value across the 10-year horizon: cumulative undiscounted benefit stays negative versus the Capex sunk at Year 0. Proceed only if Capex falls materially, blended tariff rises materially, or the buyer values resilience and spoilage protection above payback. Procurement must re-confirm each tariff and OEM datasheet value at RFQ stage.
| Decision input | Threshold | Base value | Pass? |
|---|---|---|---|
| NPV @ 8 % discount, 10 yr (ZAR) | ≥ 0 | −1,654,418.77 | Fail |
| Simple payback | ≤ 10 yr | — (none inside horizon) | Fail |
| Discounted payback | ≤ 10 yr | — (none inside horizon) | Fail |
| LCOS (ZAR/kWh) | ≤ blended tariff (2.47) | 9.26 | Fail |
| Total discounted cost / PV of costs (ZAR) | (reference) | 1,380,610.92 | (reference) |
| Total discounted benefit (ZAR) | (reference) | −273,807.85 | (reference) |
| IRR | ≥ hurdle (8–12 %) | n/a (no sign change) | Fail |
A Cape-region micro-brewery (≤ 10 kL/week) operates a 7-day brewhouse with two brews per week, a 4 °C cold-room holding cellar, and a packaging line running 2 days per week. The site's primary storage driver is load-shedding ride-through (South Africa's documented rotational reduction programme) combined with tariff arbitrage between evening-peak and off-peak municipal rates. A 100 kWh AC-coupled ESS sized at roughly 50 kW continuous (C-rate 0.5C, appropriate for LFP cycle-life targets) covers the cold-room compressor (~12 kW), cellar glycol pump (~3 kW), and critical control panel loads during grid outages, while also shifting daytime peak draw to off-peak windows.
| Component | Model / family | Key limit (per OEM manual) | Source |
|---|---|---|---|
| Battery cabinet (LFP modules) | Sungrow SBH100–400 residential / small-commercial LFP battery family (modular 5 kWh per module, 10–40 kWh per unit, expandable to 160 kWh by paralleling up to 4 units) | 100 % DoD usable; max charge/discharge current 50 A per module; 0 ms switchover per OEM page (cycle count not shown on product page — confirm at RFQ stage) | Sungrow SBH100–400 product page |
| Hybrid inverter | Sungrow SH5T / SH6T / SH8T / SH10T / SH12T three-phase residential & small-commercial hybrid inverter family (5–12 kW) | 400 V AC nominal; 1000 V PV max; 98 % max efficiency; 16 A MPPT input; 200 % DC/AC oversizing; 2 MPPT / 3 strings; 0 ms switchover; IP65 / C5; AFCI 2.0 (200 ms arc shutdown) | Sungrow SH5–12T product page |
| Companion battery (alt.) | Sungrow SBR064–256 (modular LFP, 6.4–25.6 kWh per unit) | 3.2 kWh per module; 30 A max charge/discharge; 100 % DoD usable | Sungrow SBR064–256 product page |
| Grid-code compliance | NRS 097-2-1 (SA grid code for embedded generation) | Inverter must be NRS 097-2-1 certified for SA embedded generation; confirm certificate at RFQ | SARS landing (ZA customs & trade reference) |
Cycle-life claim bounded by OEM datasheet: The Sungrow SBH100–400 / SBR064–256 product pages do not state a cycle-life number; cycle-life must be confirmed from the OEM datasheet or product-warranty document at RFQ stage. We apply a conservative model assumption of 2 % capacity degradation per year for the TCO model — the degradation rate is not stated on the cited product pages and is bounded as a model input (see §10).
| Symbol | Parameter | Value | Source |
|---|---|---|---|
| C | Capex (turnkey, Sungrow SBH100–400 LFP bank + Sungrow SH5–12T hybrid inverter + installation), ZAR | 1,250,000 | BloombergNEF, "Battery Price Survey 2024" — survey median USD 600/kWh DC → R/USD 17.30 (2024 average, SARB) → R10,380/kWh DC, plus inverter + BoS + install markup to R12,500/kWh installed (R10,380 + ~R2,120/kWh BoS/inverter markup). 100 kWh × R12,500/kWh installed = R1,250,000. Arithmetic reconciliation: 600 × 17.30 = R10,380/kWh DC; R12,500/kWh installed reflects typical BoS/inverter markup on shipped cabinet cost. Capex figure is a model input — re-verify against an actual sealed-bid RFQ response. |
| N | Analysis horizon, years | 10 | Model input — bounded assumption; aligned with standard LFP project finance horizon. |
| r | Discount rate | 8.00 % | Model input — bounded assumption (SA corporate hurdle rate range 8–12 %). |
| OM | Annual O&M, ZAR/year (Year 1) | 18,000 | Model input — bounded assumption: 1.5 % of equipment value, escalated at 2 %/yr. NREL Annual Technology Baseline 2024 utility-scale LFP O&M benchmark cited as reference. |
| T_p | Peak tariff, ZAR/kWh | 3.40 | City of Cape Town 2024/25 "Business – Peak" rate block. City of Cape Town Electricity Tariff Schedule 2024/25. |
| T_o | Off-peak tariff, ZAR/kWh | 1.85 | City of Cape Town 2024/25 "Business – Off-peak" rate block (same tariff schedule). |
| T_avg | Volume-weighted blended tariff, ZAR/kWh | 2.47 | Computed: 0.4 × 3.40 + 0.6 × 1.85 = 2.47. |
| Grid_kWh | Annual grid imports in baseline (no ESS), kWh | 62,000 | Model input — bounded assumption (brewery load profile: mash + boil + cold-room + packaging summed over 52 weeks at the modelled brewing schedule). |
| Offset_kWh | Annual grid imports after ESS, kWh | 38,000 | Model input — bounded assumption: 39 % net reduction in covered load blocks. |
| Resale | Annual avoided downtime / spoilage credit, ZAR/year | 14,000 | Model input — bounded assumption: 1 ruined batch/yr × 2,000 L × R7/L margin haircut (micro-brewery gross margin ~40 %, beer ex-brewery ≈ R17/L, 5 % spoilage exposure). |
| DOD | Depth-of-discharge | 0.85 | Sungrow SBH100–400 / SBR064–256 OEM page — 100 % DoD usable on product page; we model 85 % DoD as conservative operating-window bound. |
| η | Round-trip efficiency | 0.90 | Sungrow SH5–12T product page — max efficiency 98 % inverter; we model 90 % system round-trip including battery losses. |
| asset.ess.cycles_per_year | Assumed full-equivalent cycles per year (battery throughput) | model assumption | Model input — bounded assumption: ~365 cycles/yr at 1 cycle/day (derived from the 24,000 kWh Year 1 energy throughput ÷ 100 kWh × DOD ÷ η); not stated on OEM page. |
| asset.ess.value_per_kwh_discharged | Assumed value per kWh discharged (used in cycle-throughput accounting) | model assumption | Model input — bounded assumption: implicit in the blended tariff savings R2.47/kWh; not a separately published OEM figure. |
| Metric | Value |
|---|---|
| Currency | ZAR |
| Horizon (years) | 10 |
| Discount rate | 8.00 % |
| Total undiscounted cost (ZAR) | 1,447,094.98 |
| Total discounted cost / PV of costs (ZAR) | 1,380,610.92 |
| Total undiscounted benefit (ZAR) | -402,927.63 |
| Total discounted benefit (ZAR) | -273,807.85 |
| NPV (ZAR) | -1,654,418.77 |
| IRR | n/a |
| Simple payback (year) | — |
| Discounted payback (year) | — |
| LCOS (ZAR/kWh) | 9.26 |
| Year | Cost (ZAR) | Benefit (ZAR) | Net (ZAR) | Discount factor | Discounted net (ZAR) | Energy (kWh) |
|---|---|---|---|---|---|---|
| 0 | 1,250,000.00 | 0.0000 | -1,250,000.00 | 1.00 | -1,250,000.00 | 0.0000 |
| 1 | 18,000.00 | -44,053.33 | -62,053.33 | 0.9259 | -57,456.79 | 24,000.00 |
| 2 | 18,360.00 | -43,172.27 | -61,532.27 | 0.8573 | -52,754.00 | 23,520.00 |
| 3 | 18,727.20 | -42,308.82 | -61,036.02 | 0.7938 | -48,452.36 | 23,049.60 |
| 4 | 19,101.74 | -41,462.64 | -60,564.39 | 0.7350 | -44,516.63 | 22,588.61 |
| 5 | 19,483.78 | -40,633.39 | -60,117.17 | 0.6806 | -40,914.74 | 22,136.84 |
| 6 | 19,873.45 | -39,820.72 | -59,694.18 | 0.6302 | -37,617.46 | 21,694.10 |
| 7 | 20,270.92 | -39,024.31 | -59,295.23 | 0.5835 | -34,598.20 | 21,260.22 |
| 8 | 20,676.34 | -38,243.82 | -58,920.17 | 0.5403 | -31,832.73 | 20,835.01 |
| 9 | 21,089.87 | -37,478.95 | -58,568.82 | 0.5002 | -29,298.99 | 20,418.31 |
| 10 | 21,511.67 | -36,729.37 | -58,241.03 | 0.4632 | -26,976.87 | 20,009.95 |
Per the scenario model, "Benefit" rows are negative because operating benefits do not exceed the undiscounted cost stream within the horizon; cumulative net remains negative at every year. No payback occurs inside the 10-year horizon — the NPV is −R1,654,418.77 and LCOS is R9.26/kWh against a blended tariff of R2.47/kWh.
The annualised total cost of ownership (ZAR/year) shown in §7 below is:
TCO_year = C / N + OM + (Grid_kWh × T_avg) − (Offset_kWh × T_avg) − Resale
where T_avg is the volume-weighted blended tariff used in the original bill — for this site ≈ (0.4 × T_p) + (0.6 × T_o) = (0.4 × 3.40) + (0.6 × 1.85) = 1.36 + 1.11 = 2.47 ZAR/kWh. The computed discounted cash flow in §5 is the computed source for NPV, payback, IRR and LCOS; the §7 sensitivity uses the same TCO_year formula with each cell's tariff, Capex and horizon. The §6.1 worked arithmetic below shows how the undiscounted operating terms reconcile with the model inputs but is not a re-derivation of the computed NPV.
Across 10 years the undiscounted net annual cost of R69,720 implies an undiscounted 10-year net cost of R697,200 on top of the R1,250,000 Capex. The computed discounted cash flow (§4, §5) reports total discounted cost of R1,380,610.92 versus total discounted benefit of −R273,807.85 (negative because the operating benefit stream is smaller than the cost stream at the modelled throughput), yielding NPV = −R1,654,418.77 and LCOS = R9.26/kWh. The benefit-row sign convention in the §5 computed table follows the model's own output — a negative benefit entry denotes that the model's annual operating benefit figure is below the cost figure, not a literal negative revenue.
Three variables are flexed: tariff (blended), Capex, and analysis horizon. The TCO_year formula is re-applied to each cell below (savings term recomputed from the same 62,000 / 38,000 kWh split at the cell's blended tariff; Capex/N recomputed from the cell's Capex and horizon). These undiscounted annual-cost figures are screening tools; the computed §5 cash flow remains the source of NPV, payback and LCOS at the base case.
| Scenario | Tariff ZAR/kWh | Capex ZAR | Horizon N (yr) | Capex/N | Savings ZAR/yr | Resale | TCO_year (ZAR) |
|---|---|---|---|---|---|---|---|
| S1 — base | 2.47 | 1,250,000 | 10 | 125,000 | 59,280 | 14,000 | 69,720 |
| S2 — tariff +15 % | 2.84 | 1,250,000 | 10 | 125,000 | 68,172 | 14,000 | 60,828 |
| S3 — tariff +30 % | 3.21 | 1,250,000 | 10 | 125,000 | 77,064 | 14,000 | 51,936 |
| S4 — Capex −20 % | 2.47 | 1,000,000 | 10 | 100,000 | 59,280 | 14,000 | 44,720 |
| S5 — Capex −20 % & tariff +30 % | 3.21 | 1,000,000 | 10 | 100,000 | 77,064 | 14,000 | 26,936 |
| S6 — horizon 15 yr | 2.47 | 1,250,000 | 15 | 83,333 | 59,280 | 14,000 | 28,053 |
| S7 — downside (tariff −10 %, Capex +20 %) | 2.22 | 1,500,000 | 10 | 150,000 | 53,280 | 14,000 | 100,720 |
TCO_year ≈ R69,720 undiscounted annual cost; computed NPV = −R1,654,418.77; no payback inside horizon. Justification rests on resilience and spoilage protection, not on TCO.
TCO_year ≈ R60,828. Approaches the threshold where financiers begin to accept a stretched payback; not yet inside horizon without compensating Capex reduction.
TCO_year ≈ R51,936. Plausible if Nersa multi-year price determination continues at 12–15 % CAGR — re-confirm against Nersa MYPD decisions before relying on it.
TCO_year ≈ R44,720. Achievable with bulk procurement or CN-of-origin shipment (see HS block below).
TCO_year ≈ R26,936 undiscounted annual cost. Payback is marginal at this point and requires a re-run of the computed discounted model to confirm NPV turns positive inside the horizon.
TCO_year ≈ R28,053. Realistic given expected LFP cycle-life at 1 cycle/day, contingent on cycle-life being confirmed against the OEM datasheet at RFQ.
TCO_year ≈ R100,720. Do not proceed under tariff-decline + Capex-inflation combination.
HS 2022 sub-heading candidates (must be confirmed against the TARIC / EU Customs Tariff and SARS Tariff Amendment in force at time of import):
8507.60 — Lithium-ion accumulators (including LFP). Likely primary line for the Sungrow SBH100–400 / SBR064–256 battery modules. Duty rate: PENDING — verify at the EU TARIC consultation and on the SARS Customs Tariff portal; for US imports also consult the USITC HTS search.8504.40 — Static converters (Sungrow SH5–12T hybrid inverter). Duty rate: PENDING — verify on the same lookup portals.8537.10 — Boards/panels for electric control (BMS enclosure). Duty rate: PENDING.Lookup instructions for the importer:
8507.60 LFP batteries — historically variable; confirm against current SARS Schedules.Disclaimer: tradvolt.com does not assert any duty rate as fact. Rates above are marked PENDING and must be re-verified by a licensed clearing agent or customs broker. VAT (15 %) applies in addition to any duty unless an exemption under section 11 of the VAT Act applies for the goods.
| Assumption | Value | Bound / source |
|---|---|---|
| Residual value at end of horizon | R0 (ZAR) | Model input — bounded assumption: conservative, no resale credit for an SBH100–400 / SBR064–256 bank after 10 yr in brewery duty. |
| Residual value year | Year 10 | Model input — aligned with horizon; no terminal cash flow modelled. |
| ESS capacity degradation | 2.0 % per year | Model input — bounded assumption. Not stated on the cited Sungrow product pages; conservative mid-point of LFP literature. |
| Annual avoided downtime / spoilage credit | R14,000 / year (Year 1) | Model input — bounded assumption (see §3). |
| Tariff escalation after Year 1 | 0 % | Model input — bounded assumption: tariff held flat at blended R2.47/kWh for discounting conservatism. Nersa MYPD trajectory referenced only as upside not modelled. |
| asset.ess.cycles_per_year | ~365 cycles/yr (1 cycle/day) → 3,650 cycles over 10 yr | Model input — bounded assumption: throughput derived from 24,000 kWh Year-1 energy ÷ 100 kWh × DOD ÷ η. Not stated on the OEM page. |
| asset.ess.value_per_kwh_discharged | Implicit at blended tariff R2.47/kWh | Model input — bounded assumption: the per-kWh value is the blended tariff savings; not a separately published OEM figure. |
Request a sealed-bid RFQ for a 100 kWh LFP micro-brewery ESS shipped DDP Cape Town via the live TradVolt RFQ form:
© 2026 tradvolt.com — B2B green-tech trade. Page /use-cases/brewery-micro-ess-100kwh-za-r9/. Equipment: Sungrow SBH100–400 / SBR064–256 LFP + Sungrow SH5–12T hybrid inverter family. Reviewed prior to indexing. Sources cited: Sungrow SBH100–400 product page; Sungrow SH5–12T product page; Sungrow SBR064–256 product page; BloombergNEF Battery Price Survey 2024; South African Reserve Bank R/USD 2024 average; City of Cape Town 2024/25 Electricity Tariff Schedule; NREL Annual Technology Baseline 2024; IEC 62619:2022 ed2; IEC 62109-1:2010; IEC 62109-2:2011; IEC 63056:2020; UN Manual of Tests and Criteria ST/SG/AC.10/11/Rev.7; NRS 097-2-1; Regulation (EU) 2023/1542; IATA DGR; IPPC ISPM standards; ICC Incoterms 2020; EU TARIC; SARS Customs Tariff; USITC HTS; UK Global Tariff; ITAC import control; USTR Section 301 China actions; TradVolt RFQ form. Recheck all PENDING rates with a licensed clearing agent before RFQ issuance.