Sep 25, 2009
Engineering|Expertise|Port|Port Elizabeth|SECURITY|Africa|Diesel|Energy|Engineering News|Eskom|Industrial|Mining Weekly|Renewable Energy|Renewable-Energy|Security|Turbines|Africa|Belgium|Ghana|Kenya|Mozambique|South Africa|Uganda|Zambia|USD|MW Wind Farm|Security|Electricity|Energy|Food|Mining|Security|Transport|Wind Energy|Eastern Cape|Dipuo Peters|Martin Creamer|Security|Turbines|Eastern Cape|Engineering News|The Eagle|FIFA World Cup|Diesel
© Reuse this
Makwetla: South African breweries enlisting 44 000 African farmers to produce crops for beer making.
Creamer: More clear beer drinking in Africa is what they are looking to do. It is the aspirational beer in Africa but it is not affordable. So, what South African Breweries is planning to do, is to go in and have the crops grown, like the sorghum, cassava and the barley.
They let the local people grow those crop not that there aren't people doing that already, but they don't want to take those crops which should go into food and then put them into beer.
So, they want new crop growing going and then they partner with these people, guarantee purchases and then they make beer out of it because they see a $3-billion market waiting for them. There is not enough clear beer drunk there and a lot of people are drinking their own home brews.
We saw what happened in Kenya recently were 128 people died from a home brew and others were blinded. They are looking for a much higher level of clear beer. They see the market there but they know that it has got to be affordable.
Coming in with different branding like they did in Uganda with the Eagle, very successful migrating the sorghum clear beer into other African countries and then doing trials in Ghana with cassava and barley in Mozambique and Zambia. They already buy from that 15 000 farmers there but now they want to really push this to a high level.
Makwetla: Gosh Martin, I didn't realise beer drinking could be so scientific. Lets look at this wind farm in South Africa's Eastern Cape Province. A Belgium company planning to build that.
Creamer: Yes, a Belgium company coming in with R1,2-billion to build a wind farm at the Coega Industrial Development Zone in the Eastern Cape at Port Elizabeth.
The idea is that they will build their first 2,3 MW module before the FIFA World Cup in 2010 and the go on towards 2011 with a total of about 25 of these particular turbines.
They don't want to invest only in turbines, but they also want to invest in people, so they are going to select people and put them through the local universities, because we don't have enough intellectual capacity in renewable energy.
Those top students from the South African universities will get a chance to go to a European university, as well, so that they build up this pool of expertise. Of course, our ambitions with regards to wind energy in the country have been stated by the new Minister Dipuo Peters who said she wants 400 MW before 2012.
That is a fairly moderate ambition, which is about 1% of our capacity at the moment. We know that the National Energy Regulator is giving R1,25 per kilowatt hour now, so that has actually been decided how much they will pay these people who provide the wind energy.
We see some activity in Darling in the Cape where they are looking at expanding into a 70 MW wind farm and the also at Hopelands in the Cape to 100 MW. But, still fairly moderate in view of what people are doing elsewhere in the world.
Makwetla: Sasol will itself be producing half of the electricity it needs by 2012.
Creamer: They are going to 50 % energy independence. There is a lot of uncertainty with Eskom, they still haven't got their funding plan in place.
They hope to do that soon. People are aware that the cost of electricity is going to rise, so they are investing themselves. We see that with Sasol who is also an energy producer and produces transport energy like petrol and diesel, but it is saying from an energy security point of view, from electricity, they are going to produce half of the electricity that they need at their plant in Mpumalanga at Secunda.
They are producing about 33 % at the moment 280 MW and they will go to 600 MW by 2012 and that will be about 1,5 % of our national capacity.
So for one company coming in with 1,5 % is quite a big undertaking and it is all in the interest of cost as well, because they believe through co-generation they can produce that electricity a little bit lower. We know that Eskom at the moment is going to lift their tariffs quite substantially in the next three years.
Makwetla: Thanks very much. Martin Creamer is publishing editor of Engineering News and Mining Weekly, he'll be back with us at the same time next week.
Edited by: Creamer Media Reporter© Reuse this Comment Guidelines (150 word limit)
Updated 5 hours ago A global transportation price index has ranked South Africa the cheapest overall for bus, trains and aeroplane travel for every 100 km out of 51 countries. Online platform GoEuro compared the average price a 100 km of rail, road or air movements between the most...
Updated 5 hours ago The processing of the Government Shareholder Management Bill, which was yet to be tabled before Parliament by the Department of Public Enterprises (DPE), would have to be sped up, Portfolio Committee on Public Enterprises chairperson Dipuo Letsatsi-Duba said on...
Updated 5 hours ago Gautrain bus drivers went on strike on Wednesday, forcing certain bus services to be suspended, the Bombela Concession Company said. "Please note that a wildcat strike by Gautrain bus drivers in Johannesburg has resulted in the suspension of bus services from Park,...
Recent Research Reports
Road and Rail 2014: A review of South Africa's road and rail infrastructure (PDF report)
Creamer Media’s Road and Rail 2014 report examines South Africa’s road and rail transport system, with particular focus on the size and state of the country’s road and rail network, the funding and maintenance of these respective networks, and the push to move...
Real Economy Year Book 2014 (PDF Report)
This edition drills down into the performance and outlook for a variety of sectors, including automotive, construction, electricity, transport, steel, water, coal, gold, iron-ore and platinum.
Real Economy Insight: Automotive 2014 (PDF Report)
This four-page brief covers key developments in the automotive industry over the past 12 months, including an overview of South Africa’s automotive market, trade figures, production and the policies influencing the sector.
Real Economy Insight: Construction 2014 (PDF Report)
This five-page brief covers key developments in the construction industry over the past 12 months. It provides an overview of the sector and includes details of employment in the sector, infrastructure and municipal spending, as well as insight into companies’...
Real Economy Insight: Electricity 2014 (PDF Report)
This five-page brief covers key developments in the electricity industry over the past 12 months, including details of State-owned power utility Eskom’s generation activities, funding and tariffs, independent power producers and prospects for the sector.
Real Economy Insight: Road and Rail 2014 (PDF Report)
This six-page brief covers key developments in the road and rail industries over the past 12 months, including details of South Africa’s road and rail network and prospects for both sectors.
This Week's Magazine
The Built Environment unit at the Council for Scientific and Industrial Research (CSIR) has developed a cost-competitive ultrathin concrete pavement surface that, for the upgrading of unpaved roads to paved roads, is more durable than many other pavement alternatives...
The Southern African Large Telescope (SALT), based at Sutherland in the Karoo region in the Northern Cape province, is promising to become an important instrument for research into dark matter. "SALT is shaping up to be very important for answering questions about...
The South African tool, die and mouldmaking (TDM) industry is being revitalised to locally produce the tools, dies, moulds and fixtures required by the manufacturing sector. Local TDM capability is key to enable the manufacturing industry to remain competitive, says...
Misfortune often finds its roots in the smallest of things. Such as a centimetre or two. Or is that in inch? Perhaps a foot? Swedish or Dutch? The French had reason to blush in May as it became apparent that national rail operator SNCF had ordered 2 000 trains that...
The repositioning of the Fibre Processing & Manufacturing Sector Education and Training Authority (FP&M Seta) and its business processes will ensure improved performance in reaching strategic targets and in providing customer service.