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Ramaphosa moots ‘innovative investment models’ for grid as he reiterates support for power …

President Cyril Ramaphosa used his final State of the Nation Address ahead of upcoming elections to reiterate government’s commitment to reforms in the country’s failing power and logistics sectors, including one that would open the electricity transmission sector to private investors. Speaking against the backdrop of almost daily power disruptions, South Africa’s worst-ever year for loadshedding in 2023, and a precipitous collapse in the freight rail service, which was constraining key commodity exports, Ramaphosa described the power and logistics crises as the “most important constraints on economic growth”.
February 8, 2024 by

AMSA sees plausible pathway for salvaging longs unit, but ready to reverse closure deferral if …

Steel producer ArcelorMittal South Africa (AMSA) has deferred the wind-down of its long-products business by six months amid widespread concern regarding the detrimental impact of the closure on downstream industry and jobs and following consultations with government and other affected stakeholders during which several short-term interventions were agreed. The deferral announcement was made despite AMSA reporting a R1.89-billion loss for 2023, which represented a dramatic R4.5-billion negative swing from earnings of R2.6-billion in 2022.
February 8, 2024 by

Actom secures Selebi-Phikwe solar plant contract

Electromechanical equipment manufacturer Actom High Voltage has secured a contract to supply and deliver high-voltage equipment for the Selebi-Phikwe solar photovoltaic (PV) plant, which is currently under construction in Botswana. The company will provide equipment for the first 60 MW phase of the plant. The 120 MW solar PV facility is being developed by the Botswana Power Corporation (BPC) and renewable energy company Scatec.
February 8, 2024 by

Mozambique’s $80bn energy overhaul to tap Zambezi’s power

Mozambique is seeking to become one of Africa’s biggest hydropower producers and launch a green hydrogen industry. The government plans to add 14 000 MW of hydropower capacity, with the bulk of that developed between 2030 and 2040, the government said in a 60-page Energy Transition Strategy seen by Bloomberg. A hydrogen program will be set this year, it said in the document, which hasn’t been released publicly.
February 8, 2024 by

Standard Bank not expecting major fiscal slippage despite election pressures

Standard Bank chief economist Goolam Ballim does not anticipate “material fiscal slippage” in the 2024 Budget, despite expenditure pressures associated with the upcoming elections, as well as calls for additional support for Transnet, whose underperformance alongside ongoing power cuts and water disruptions continue to throttle growth and investment. Delivering his yearly economic outlook, Ballim acknowledged that there was likely to be some fiscal slippage relative to the forecasts provided by Finance Minster Enoch Godongwana in his Medium-Term Budget Policy Statement.
February 7, 2024 by

Zero Carbon Charge signs R1bn deal to bring EV superchargers to South Africa

Renewable energy-powered electric vehicle (EV) charging station company Zero Carbon Charge has signed a memorandum of understanding (MoU) with Chinese energy storage systems manufacturer Shanghai Magic Power Tech Co, also known as Magic Power, and its local partner Greencore Energy Solutions, to build and import the first-of-its kind integrated supercharging systems for its 120 renewable charging stations currently being rolled out across South Africa. This will allow customers at Zero Carbon Charge’s off-grid, solar-powered charging stations to charge any EV at its maximum charging rate.
February 7, 2024 by

Nersa makes far-reaching changes to tariff rules, but implementation timing uncertain

The National Energy Regulator of South Africa (Nersa) has approved far-reaching changes to the way electricity tariffs will be set in future, but it could still take some time before the rules are fully implemented. Nersa approved the new Electricity Price Determination Rules (EPDR) on December 14, following a consultation phase, which was initiated in 2021 to find an alternative to the current multiyear price determination (MYPD) framework that has been used to set Eskom tariffs since 2006.
February 6, 2024 by

Energy Council welcomes IRP extension, calls for strong reform message in SoNA

Energy Council CEO James Mackay has welcomed the decision of the Department of Mineral Resources and Energy to extend the comment period for the draft Integrated Resource Plan (IRP) 2023 by a month and has also called on President Cyril Ramaphosa to use his State of the Nation Address (SoNA) emphasise government’s commitment to “open and robust debate on national energy policy”. Mineral Resources and Energy Minister Gwede Mantashe used his Mining Indaba address on February 6 to announce that the IRP comment period had been extended to March 23 from February 23 to “allow maximum participation in this process”. However, he refrained from initiating public hearings, which some commentators have called for given serious concerns over the assumptions and modelling used to produce the draft document.
February 6, 2024 by