Lesotho may see water revenue and undersea cable share seized

Lesotho is facing the loss of revenue from water and power sales to South Africa and may see its share of an undersea communications cable seized after it breached the terms of a contract with Frazer Solar. Under a global enforcement order, following the award of €50-million in damages in an arbitration case in South Africa, Frazer said in a statement Tuesday that it has taken legal action to seize royalties that would be paid to Lesotho’s government by the Trans-Caledon Tunnel Authority, as well as payments for power from Eskom Holdings.
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Western Cape government urges Mantashe to lift embedded generation licence-exemption threshold …

The Western Cape government, through its Finance and Economic Opportunities Minister David Maynier, has submitted comments to the Department of Mineral Resources and Energy (DMRE) to amend Schedule 2 of the Electricity Regulation Act to increase the licence-exemption cap for embedded generation plants.

Currently, the licence-exemption threshold is 1 MW and there have been calls from various industries to lift the threshold to 50 MW.

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‘Ambiguous’ draft Electricity Regulation Act amendment will fail to unlock investment

A regulatory reform exempting small and medium-sized electricity generation projects from the requirement of a National Energy Regulator of South Africa (Nersa) licence is an “obvious and easy way to liberate a huge pipeline of investment that will assist South Africa to have sufficient electricity for its development needs”. However, leading energy commentator Professor Anton Eberhard says the draft amendment to Schedule 2 of the Electricity Regulation Act, published for comment on April 23, will not meet this objective, as the language remains ambiguous, while the licence-exemption threshold is set too low.
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City of Joburg tries to strike balance between revenue, relief in new budget

In its R73.3-billion budget statement for the 2021/22 financial year, the City of Joburg (CoJ) has attempted to strike a balance between the needs of residents and the institution’s ability to provide services, considering continued Covid-19 impacts. The budget comprises of R65.1-billion in operating expenditure and R8.2-billion of capital expenditure. This while the medium-term budget to 2023/24 allows for a R25.5-billion capital expenditure budget.
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Transnet aims to implement three private sector participation projects this year

Freight logistics group Transnet expects to proceed with three private sector participation (PSP) projects before the end of the year, with Public Enterprises Minister Pravin Gordhan confirming that the State-owned group’s new strategy is to drive volume growth “by developing key strategic partnerships in its core segments”. Delivering his Budget Vote address on Tuesday, Gordhan said the transformation and reconfiguration of Transnet was under way to position it to meet the mandate outlined in South Africa’s Economic Reconstruction and Recovery Plan.
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Eskom warns of highly likely nationwide power cuts

South African power utility Eskom said there was a high probability it would have to implement nationwide electricity cuts on Tuesday owing to breakdowns at a number of its generation units. “While no loadshedding is anticipated at this point, Eskom could be forced to implement Stage 1 or, if necessary, Stage 2 load-shedding at short notice should any further breakdowns occur,” Eskom said in a statement.
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Great Venetia discoverer McKechnie now sees battery mineral exploration potential

The great exploration geologist who made the colossal and still-thriving diamond discovery against all odds at the Venetia diamond mine in Limpopo believes there is no reason why new battery and other specialist minerals cannot be discovered in South Africa, using the techniques that he applied in diamond exploration in those days. The highly experienced and hugely successful exploration geologist Bill McKechnie, who was heavily involved in greenfield exploration in South Africa, was also behind many other diamondiferous kimberlites, including The Oaks. 
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SAPVIA elects new board, celebrates ten-year anniversary

During its May 18 annual general meeting, the South African Photovoltaic Industry Association (SAPVIA) elected a new board, comprising three new members, as it also celebrated ten years in existence and proactive policy advocacy and lobbying efforts.

The association states that it has been at the “forefront of transforming” South Africa’s economy and energy sector and that its new board has adapted to the rapidly changing industry and “embedding best practice to create a world-leading” renewables sector in South Africa.

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Absa, Investec may back Karpowership’s South African energy deal

Absa Group, Investec and the Development Bank of Southern Africa indicated they could support a bid by a Turkish company to supply emergency power to South Africa, according to a person familiar with the situation. Conditional backing from the financial institutions, which has yet to be finalized and is dependent on undisclosed conditions being met, enabled Karpowership to offer to supply 1 220 MW of power from ship-based, gas-fired plants. The person spoke on condition of anonymity because the banks haven’t publicly disclosed their involvement.
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Eskom debt solution remains a ‘work in progress’ despite reduction to R401bn

Public Enterprises Minister Pravin Gordhan reported on Tuesday that, while Eskom was able to reduce its debt by R83-billion, from R484-billion to R401-billion, during the 2021 financial year, efforts to find a lasting solution to the State-owned utility’s unsustainable debt remained a “work in progress”. Gordhan told lawmakers that the management of Eskom’s debt was one of the key priorities to return the entity to a sustainable path, but in a subsequent media briefing acknowledged that “we haven’t been able to move as fast as we thought we might be able to move”.
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