Jul 23, 2010
6 000 MW of wind power ‘ready to be commissioned’ – SaweaBack
Africa|CoAL|Eskom|Industrial|Mining|Nuclear|PROJECT|Renewable Energy|Renewable-Energy|SECURITY|Sustainable|Africa|Energy|Maintenance|Wind Energy|Power
© Reuse this
Developers were, however, waiting for the power purchase agreements (PPAs) under the renewable energy feed-in tariff (Refit), as they could not take a project to a bankable stage unless they had a power offtake agreement in place.
However, Standard Bank director of investment banking coverage for South Africa and Africa, Paul Eardley-Taylor said that a number of entities (such as industrial and mining companies) could be interested in signing PPAs with renewable power producers, outside of the Refit programme, if one considered increasing electricity price forecasts for 2015.
As South Africa awaited the draft of the integrated resource plan 2010, or IRP2010, which was initially expected by the end of June, interests promoting different forms of energy generation stated what they hoped to see from the document.
Representing Sawea, Mark Tanton purported that the country should aim to derive 25% of its total electricity generation mix from wind energy by 2025. That would amount to about 30 000 MW of installed wind capacity.
Tanton said that this figure would in turn mean the creation of an additional 40 000 jobs, 12 000 of which would be permanent jobs in rural areas.
He also noted that some 60% of the wind turbine could be manufactured locally, and would thus contribute significantly to industrial development.
Tanton emphasised that Sawea wanted the IRP2010 to be a "risk-adjusted" plan, which looked at the "true cost" of producing power from all the technologies proposed, and ensured a portfolio mix that was complementary, affordable and sustainable in the long-term.
And importantly, clarity and limited ambiguity were expected from the IRP2010.
Representing the Nuclear Industry Association of South Africa, Ayanda Myoli stated that South Africa had the opportunity to be a "big player" in the nuclear industry, and if a nuclear build programme of 20 000 MW was initiated, some 77 000 jobs could be created in the country. Of these jobs, some 50 000 would be permanent jobs, not only in operation and maintenance of nuclear power plants, but also in downstream supplier industries.
The country's nuclear policy was said to support the local beneficiation of uranium, for example.
Myoli also said that localisation, and development of high-end skills was high on the agenda.
Eskom representative Adele Greyling stressed that Eskom wanted the IRP2010 to address the issue of security of supply, as well as for the document to make provision for the entrance of independent power producers (IPPs) into the market, and to also ensure a more diverse energy mix.
She said that Eskom was ready, willing and able to facilitate the process of IPPs entering the market in South Africa, but emphasised that the process was not up to the utility alone.
Greyling added that Eskom felt that it would be practically possible for renewable energy to contribute 20% to the entire energy generation mix by 2030.
Independent industry commentator Chris Yelland said that it was of utmost importance that the drafting of the IRP2010 should follow due process.
Yelland was concerned that the IRP2010 was not being drawn up by independent consultants, which were free of vested interests, and was rather being driven by stakeholders - which were largely dominated by Eskom and the Energy Intensive Users Group, as they had the finances to be most involved with the process.
He highlighted that it would be difficult to accept the outcome if one did not accept the process.
IRP2010, spearheaded by the Department of Energy, would determine current and future energy requirements for South Africa for the next 20 years.
Energy Minister Dipuo Peters said previously that the country has reached a "delicate situation, which requires us to take bold and decisive decisions on whether to build coal-fired or nuclear power stations for baseload energy requirements".
Edited by: Mariaan Webb© Reuse this Comment Guidelines (150 word limit)
Creamer Media Senior Researcher and Deputy Editor Online
Other Renewable Energy News
Article contains comments
Updated 53 minutes ago Up to $2-trillion in petroleum and coal projects will not be needed if the world takes action to limit warming of the planet to 2 degrees Celsius, according to a report released this week ahead of a global climate summit in Paris. The report adds to a string of...
Updated 1 hour 11 minutes ago The South African government will use instruments such as tariff hikes to protect jobs in sectors threatened by imports, Economic Development Minister Ebrahim Patel said on Tuesday. Addressing scores of delegates at the Congress of South African Trade Unions (Cosatu)...
Recent Research Reports
Water 2015: A review of South Africa's water sector (PDF Report)
Creamer Media’s Water 2015 Report considers the aforementioned issues, not only in the South African context but also in the African and global context in terms of supply and demand, water stress and insecurity, and access to water and sanitation, besides others.
Input Sector Review: Pumps 2015 (PDF Report)
Creamer Media’s 2015 Input Sector Review on Pumps provides an overview of South Africa’s pumps industry with particular focus on pump manufacture and supply, aftermarket services, marketing strategies, local and export demand, imports, sector support, investment...
Liquid Fuels 2015: A review of South Africa's liquid fuels sector (PDF Report)
Creamer Media’s Liquid Fuels 2015 Report examines these issues in the context of South Africa’s business environment; oil and gas exploration; fuel pricing; the development of the country’s biofuels industry; the logistics of transporting liquid fuels; and...
Road and Rail 2015: A review of South Africa's road and rail sectors (PDF Report)
Creamer Media’s Road and Rail 2015 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 infrastructure and network, the funding and maintenance of these respective networks, and...
Defence 2015: A review of South Africa's defence sector (PDF Report)
Creamer Media’s Coal 2015 report examines South Africa’s coal industry with regards to the business environment, the key participants in the sector, local demand, export sales and coal logistics, projects being undertaken by the large and smaller participants in the...
Real Economy Year Book 2015 (PDF Report)
There are very few beacons of hope on South Africa’s economic horizon. Economic growth is weak, unemployment is rising, electricity supply is insufficient to meet demand and/or spur growth, with poor prospects for many of the commodities mined and exported. However,...
This Week's Magazine
Additive manufacturing, better known as 3D printing, has the potential to completely change the relationships between individual consumers, professional designers and manufacturers. So argued Loughborough University Reader in Computer Aided Product Design Dr Ian...
Airbus Defence and Space: Military Aircraft has highlighted that its A330 Multirole Tanker Transport (MRTT) has significant commonalities with the Airbus A330-200 commercial airliner, upon which it is based. The South African Air Force (SAAF) once operated a fleet of...
Financial services provider Nedbank launched the second edition of its Carbon Footprinting Guide earlier this month, which is aimed at demystifying carbon footprint approaches and help readers grasp the main concepts of carbon measuring, monitoring, reporting and...
This year marks the thirtieth anniversary of Caterpillar’s first backhoe loader. This also coincides with the worldwide release of its latest-generation F2 series backhoe loader, which was launched at supply chain services company Barloworld Logistics’ Big Dig Day in...
A shortage of software engineers is leading to fewer information technology (IT) projects in private and public sector organisations. This also places a dampener on the economy, as IT is an integral part of business and civil service, says University of Witwatersrand...