LPG viewed as lever to expand energy access, clean cooking

Liquefied petroleum gas (LPG) could play a significant role in improving energy access, resilience and economic participation across Africa, particularly in regions where grid-based electricity infrastructure remains limited, highlights industry association World Liquid Gas Association (WLGA) CEO and MD James Rockall. He says that Africa continues to face deep structural energy deficits, with about 600-million people lacking access to electricity and roughly 80% of the population in sub-Saharan Africa without access to clean cooking fuels.
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Supply industry faces pivotal moment – association

The South African electricity supply industry is at a pivotal point, and the partial unbundling of State-owned power utility Eskom remains a key hurdle to boosting investor confidence, highlights South African Independent Power Producers Association (SAIPPA) chairperson Leoné Human. She adds that the introduction of the 100 MW exemption played a key role in addressing the country’s energy crisis, with independent power producer (IPP)  projects that had historically taken years to complete now being built much more quickly, providing private consumers with power and alleviating the electricity crisis.
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Reforms advance certainty, implementation risks remain

South Africa has made significant strides in establishing a clear electricity regulatory framework, but implementation threatens to undermine its impact, highlights law firm Sitef & Co director Mihlali Sitefane. In assessing whether South Africa has created enough certainty to sustain electricity law reform, Sitefane says the amendments to the Electricity Regulation Act provide much-needed clarity for private-sector investment; however, the progress may be curtailed if the amendments are not properly implemented.
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Competitive regulation key amid renewables disruption

Amid the technological ‘tsunami’ in renewable power technologies under way, African energy regulators need to have rules that are market friendly and that encourage competition, highlights University of the Witwatersrand Business School African Energy Leadership Centre visiting adjunct professor Dr Rod Crompton. With many African countries adding generation capacity, but struggling with weak, State-dominated power grids, Crompton says it would be helpful for professional, independent electricity regulators to determine cost-reflective tariffs for the use of electricity grids, with the ownership and operation of grids as separate, standalone entities, without any vertical integration, whether publicly or privately owned.
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Private capital reshaping renewable-energy investments

Private capital, expanding wheeling arrangements and the growing focus on transmission infrastructure are reshaping South Africa’s energy investment landscape, as the country moves to a more mature phase of renewable-energy development, says renewable energy investment company Revego Fund Managers CIO Ziyaad Sarang. Revego Fund Managers, which manages the Revego Africa Energy Fund, says the most bankable opportunities in South Africa are now concentrated in operational and late-stage renewable-energy assets where revenue certainty and operational resilience are “at their strongest”.
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Tackling South Africa’s big transmission challenge also holds big opportunities

South Africa’s transmission grid constraints are widely recognised, with a host of challenges and considerations that if properly leveraged also offer considerable opportunities. This was highlighted by speakers during a recent Creamer Media webinar, ‘Investing in South Africa’s Electricity Transmission Grid’, the second of a two-part Energy Outlook series featuring a practical discussion on the country’s electricity transmission infrastructure.
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Engineering-led renewables gaining ground

Engineering-led delivery models are gaining traction in Africa’s renewable-energy sector as developers seek lower-cost projects despite rising electricity demand, grid constraints and increased pressure to accelerate energy project deployment, highlights India-headquartered renewable-energy consultant SgurrEnergy director Arif Aga. He says independent engineering consultancies are increasingly supporting utility-scale renewables projects across Africa, particularly in markets where reliance on full engineering, procurement and construction (EPC) contracting has contributed to elevated project costs.
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The next frontier for African energy companies is capital, communities and cross-border growth

Africa’s energy deficit is often framed, in terms of scale, by how many megawatts are required, how quickly they can be delivered and how efficiently capital can be mobilised. While these questions remain critical, they are no longer sufficient. As African energy companies mature, the next frontier is not only cross-border growth, but how that growth is pursued, with whom, under what governance frameworks and to whose long-term benefit, says renewable-energy company Pele Energy Group director of sustainability and cofounder Fumani Mthembi. “For developers operating on the continent, expansion beyond national borders requires a shift in mindset. It demands moving beyond a narrow infrastructure-delivery model towards one that integrates power generation with development, capability building and energy sovereignty.”
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