Cabinet has approved the Just Transition Framework, which was published by the Presidential Climate Commission in July following extensive consultation, for implementation and has indicated that a detailed implementation plan will be developed for integration into government planning and budgeting. The framework includes an estimate that South Africa will require at least $250-billion over the next three decades to transform its energy system and at least $10-billion to support workers and communities with compensation, retraining, relocation, and rehabilitation of regions and communities.
The recently launched Umoja Incubator programme on renewable energy held a roadshow in Cape Town on August 31, to share information about the programme and encourage local renewable energy project developers to apply. This forms part of a series of roadshows held across the continent. Serengeti Energy Operations communications and events manager Austin Ouma told Engineering News that, since the launch of the programme in June, roadshows have also been held in, for example, Kigali, Rwanda and Côte d’Ivoire.
About 80% of the-billions of dollars pledged by rich nations for South Africa’s shift away from coal will be loans, not grants, and some may be hard to unlock due to national rules protecting domestic jobs, an official familiar with the matter said. Last year the United States, European Union, Britain, France and Germany committed to investing $8.5-billion over three to five years to help South Africa reduce its carbon emissions, which are among the world’s highest because it depends on coal for 80% of its electricity.
The Italian development finance institution Cassa Depositi e Prestiti (CDP) has agreed a debut €100-million loan for African infrastructure solutions provider Africa Finance Corporation (AFC), to facilitate investments in renewable power, energy efficient projects and climate-resilient infrastructure. CDP is providing the bilateral loan to support AFC projects that it says are urgently needed to transform African infrastructure to help combat and adapt to global warming, as well as catalyse industrialisation, create jobs and reduce poverty.
Engineering and contracting group Murray & Roberts (M&R) says its Southern African-focused business platform, which has shrunk materially and has been lossmaking for a number of years, is at the point of a “breakthrough”, underpinned by South African renewables and transmission activities that are starting to gain momentum. Known as the power, industrial and water platform, the unit is the smallest of the JSE-listed group’s three platforms by far and is also the only one leveraged entirely to project activity in M&R’s home market of South Africa and to the Southern African region.
Renewable energy solutions provider Scatec and the Botswana Power Corporation (BPC) have signed a binding 25-year power purchase agreement (PPA) for the construction of a solar photovoltaic (PV) facility with a contracted capacity of 50 MW at Selebi Phikwe. Scatec owns 100% of the project and will be the designated engineering, procurement and construction company (EPC), asset manager and operations and maintenance contractor.
A Memorandum of Understanding (MoU) has been signed between the predominantly (70%) State-owned Kenya Electricity Generating Company (KenGen) and Toshiba Energy Systems & Solutions Corporation (Toshiba ESS) of Japan, as a precursor to the creation of a partnership between the two groups in the area of geothermal power. The intent is to combine the expertise of the two companies and provide operation and maintenance services for geothermal power plants in developing countries, initially in East Africa. “Geothermal energy provides sustainable power supply,” highlighted KenGen MD and CEO Rebecca Miano. “It is a resource we have in abundance in Kenya, an advantage that has enabled us to build a considerable wealth of expertise in its exploration and development. This we have done for more than 50 years.”
South Africa’s energy minister dismissed the notion that renewable electricity can bring an end to years of rolling blackouts, pointing to Europe’s pivot back to the use of fossil fuels as evidence of the constraints of using green energy. Solar and wind plants could be used to supplement coal, gas and nuclear power generation, but had limitations when it came to meeting South Africa’s needs, such as supplying mines, Mineral Resources and Energy Minister Gwede Mantashe said.
South Africa’s energy conundrum will require a concerted effort by both industry and government, the Minerals Council South Africa said. Speaking to Mining Weekly Online on the sidelines of Paydirt’s Africa Downunder conference, in Perth, Minerals Council CEO Roger Baxter said that the solution to solving South Africa’s energy crisis is unlocking ‘massive’ private sector investment.