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Eskom sees R20.9bn of extra diesel costs on coal outages

Indebted State-owned power utility expects running costs for its diesel-fed turbines, which are used to keep the lights on when coal-powered plants break down, to surge as it struggles to keep up with maintenance. Eskom Holdings sees about a third of its coal-fired capacity being unavailable at any one time under a most likely scenario, it said last week in a presentation to the National Economic Development and Labour Council, which groups business, government and labor union representatives. That would require it to spend R20.9-billion on fueling its open-cycle gas turbines in the 13 months through April next year, or almost three times what it spent in the financial year ended March last year.
March 17, 2022 by

Spark+ Africa Fund reaches first financial close

The Spark+ Africa Fund, which is an impact investment fund focused on financing the value chains of clean and modern cooking appliances and fuels to make them available to more people across sub-Saharan Africa, has raised more than $40-million in a first close. Clean cooking businesses face many challenges, including limited access to investment capital to increase their production and distribution capacity, high-risk perception and an insufficient return profile to attract commercial investment. Spark+ directly responds to these challenges and is a key component of development finance institution the African Development Bank’s (AfDB’s) actions in the area of clean cooking.
March 16, 2022 by

National Infrastructure Plan 2050 leans heavily on private sector to close R2tr finance gap

The first iteration of the updated National Infrastructure Plan 2050 (NIP 2050) points to a substantial finance gap of at least R2-trillion that will have to be closed if South Africa is to build the economic infrastructure required to deliver the growth and social objectives outlined in the National Development Plan (NDP). Gazetted last week by Public Works and Infrastructure Minister Patricia de Lille, the document focuses exclusively on energy, water, freight transport and digital communications infrastructure, with a second iteration to follow focusing on distributed infrastructure and related municipal services.
March 16, 2022 by

Investors need to rethink IPP funding to ensure sector sustainability – RMB

A deregulated electricity sector is an “enormous opportunity” for South Africa, bringing the country more in line with international best practice and helping it tackle generating deficits, as well as building in resilience, reports investment bank Rand Merchant Bank (RMB).

However, for private electricity producers to gain momentum in the market requires innovative funding solutions to make this power accessible to the market.

March 16, 2022 by

South Africa needs nuclear energy for net-zero energy, says Deputy Minister

Mineral Resources and Energy Deputy Minister Dr Nobuhle Nkabane has reaffirmed the government’s policy of building 2 500 MW of new nuclear energy capacity in the country, with the process starting in 2024. She was delivering the keynote address at the 2022 Nuclear Technology Imbizo (conference) on Wednesday. In her address, she particularly stressed the role of nuclear energy in achieving net-zero carbon emission energy generation, both locally and globally. “[W]e recognise that nuclear plays a pivotal role as one of the clean energy sources that are needed to achieve net-zero emissions by 2050,” she affirmed.
March 16, 2022 by

Standard Bank halts new coal-power funding, but backs gas as ‘transition fuel’

The Standard Bank Group has become the latest South African bank to confirm that it will no longer finance new coal-fired power plants or support the expansion of existing coal-fired power plants as part of its newly unveiled commitment to achieve net-zero carbon emissions from its portfolio of financed emissions by 2050. The group has also pledged, in a climate policy released by CEO Sim Tshabalala on March 16,  to achieving net zero carbon emissions from its own operations by 2040.
March 16, 2022 by

Gauteng SMEs invited to apply for green support incentive programme

The National Cleaner Production Centre South Africa (NCPC-SA) and the Gauteng Department of Economic Development invite local small and medium-sized enterprises (SMEs) to apply for the Green Support Incentive Programme. The programme is aimed at providing financial support for renewable energy implementation at the operations of SMEs affected by the economic downturn of the past two years.
March 15, 2022 by