Entries by

‘Necom 2.0’ to focus on system-wide constraints to electricity security and affordability

Amid waning loadshedding, government and business have agreed to begin “repurposing” the National Energy Crisis Committee (Necom) to shift focus from interventions aimed at arresting the operational crisis at Eskom’s coal stations to addressing system-wide pressures, including growing concern over electricity affordability. Speaking following the first meeting between members of the Cabinet and senior business leaders since the formation of the Government of National Unity, Energy Council of South Africa CEO James Mackay said there was agreement that it remained urgent to accelerate the market reforms initiated under the Energy Action Plan to facilitate the competition required for a least-cost system outcome.
August 14, 2024 by

Rising prices are deepening the electricity divide in South Africa

Late last year, residents of Yeoville and Bellevue — crumbling inner city areas of Johannesburg — went without power for four weeks after a 63-year-old cable broke. For several months after, power to the electricity supply was rotated between the two areas in four-hour blocks. Then the cuts were reduced to two hours a day as the city’s ageing infrastructure grappled with overloading. And yet, on July 1 electricity costs for some of South Africa’s poorest people, including in Yeoville and Bellevue, went up as much as 60%.
August 14, 2024 by

DBSA urged to play leading role in fixing municipalities during next phase of Operation Vulindlela

Deputy Finance Minister David Masondo has called on the Development Bank of Southern Africa (DBSA), which is a major lender to local government, to play a leading role in supporting the Government of National Unity’s plan to fix municipalities as part of the second phase of Operation Vulindlela. Addressing the development finance institution’s results presentation, Masondo acknowledged that more reform progress was still required to fully address the supply-side problems of electricity and water supply, freight logistics and costly digital infrastructure, which had been prioritised during the first phase of Operation Vulindlela.
August 13, 2024 by

Botswana Power awards 100 MW solar deal to Chinese group

A group of Chinese companies led by China Harbour Engineering Co has won a contract to build a 100 MW solar plant in Botswana, the country’s second utility-scale renewables facility. China Harbour is partnering with China Water and Electric Development Co and local investors for the project which is due to be commissioned in the second quarter of 2026. Zhitong Finance put the value of the contract at $78.3-million. President Mokgweetsi Masisi attended the contract signing Monday in Jwaneng, a diamond mining town 200 km west of the capital, Gaborone.
August 13, 2024 by

Golden Arrow, Eskom sign memorandum of cooperation on electric buses

Golden Arrow Bus Services (GABS) and power utility Eskom have signed a memorandum of cooperation (MOC) which sets out the terms for ongoing engagement related to GABS’ planned introduction of electric buses into the public transport sector. GABS in July signed a deal to acquire 120 electric buses from Chinese automotive powerhouse BYD, following four years of testing.
August 12, 2024 by

Expanded pilot project planned to help munis pay Eskom as arrear debt continues to rise

Electricity and Energy Minister Dr Kgosientsho Ramokgopa reports that a new pilot project is being prepared to further “stress test” an initiative aimed at ensuring that municipalities settle their accounts with Eskom in a context where municipal arrear debt has grown to about R78-billion. The initiative is reportedly being supported by the South African Local Government Association (Salga), and has already been piloted in three municipalities, namely the Beyers Naudé local municipality, in the Eastern Cape, as well as at the Kamiesberg and Nama-Khoi municipalities, in the Northern Cape.
August 12, 2024 by

South Africa battles to fund vital grid upgrade for green energy

South Africa’s plan to expand its power grid, now the biggest bottleneck to replacing coal with renewables, has hit a snag: finding investors to lend the necessary $21-billion to a near-bankrupt state monopoly. Since May’s election brought a coalition government to power, there has been a policy shift favouring renewables, after years of bureaucratic delays and contradictory messages about South Africa’s willingness to give up coal, which provides 80% of its power.
August 12, 2024 by