Jul 29, 2010
DoE moves to assess SWH appetite ahead of big roll-outBack
© Reuse this
"This market sounding exercise is meant to ascertain the market capacity, capability, as well as the level of interest before the actual roll-out of the SWH systems," said DoE director general Nelisiwe Magubane.
Some of the services that the DoE would be looking for included: the provision of SWH systems; the installation and maintenance of SWH systems; the independent measurement and verification of achieved savings.
Interested parties could contact the department through its website.
The department has committed to the roll-out of one-million SWH systems by 2014, in an attempt to reduce the use of coal-fired power to increase energy security, as well as for environmental reasons, and also as a way of alleviating poverty and improving service delivery.
The department aimed at incentivising the roll-out of 200 000 SWHs in the current financial year, through its standard offer programme (SOP). Under this SOP, a price would be offered for every kWh of electricity saved, as well as the savings per SWH system (for example, 200 kWh/SWH system/month) - and this money would be paid back to the SWH installer over time.
Thus an installer would install the system for a customer, and get money back through the SOP only after the savings were achieved.
The price per kWh was yet to be determined by the National Energy Regulator of South Africa (Nersa), however, what was certain was that it would be funded through electricity tariffs, and it would be reviewed every year. Currently, the suggested rebate for 2010 was 54c/kWh.
On August 5, public hearings into the Standard Offer Policy and regulations would be held at Nersa. A final pronouncement on the rules of the SOP would be made on September 23.
Nersa published a consultation paper on the SOP in June, wherein it invited written comments from the public.
"The information obtained through the Nersa process will help us to better understand the market before ultimately determining the way forward. Views and suggestions that will be solicited from this exercise will not be disclosed to third parties or used for any other purpose," Magubane said.
She further explained that the standard offer concept was premised on providing financial incentives for the energy savings that were derived from this SWH initiative.
"This will be the case irrespective of the technology that has been applied to achieve these projected savings. This is an intervention that is outcomes based. It is anticipated that the incentives will be offered only after the delivery of the outcome, and the subsequent process of verifying energy that has been saved", she said.
Edited by: Mariaan Webb© Reuse this
Creamer Media Senior Researcher and Deputy Editor Online
To subscribe email email@example.com or click here
To advertise email firstname.lastname@example.org or click here
Recent Research Reports
Construction 2016: A review of South Africa's construction industry (PDF Report)
Creamer Media’s Construction 2016 Report examines South Africa’s construction industry over the past 12 months. The report provides insight into the business environment; key participants; local demand; geographic diversification; corporate activity; black economic...
Energy Roundup – February 2016 (PDF Report)
The February 2016 roundup covers activities across South Africa for December 2015 and January 2016 and includes details of a Government Gazette notice that confirms Cabinet’s decision to move ahead with the 9 600 MW nuclear procurement programme; State-owned power...
Energy Roundup - December 2015 (PDF Report)
The December 2015 roundup includes details of State-owned utility Eskom’s application to claw back R22.8-billion; South Africa’s ranking as an investment destination for renewable energy; and a nuclear expert’s thoughts on reactor designs for South Africa’s nuclear...
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...
This Week's Magazine
Lifting, transporting, installing and ballasting solutions provider Ale has expanded its global fleet of trailers and invested in the latest range of widening trailers that can be mechanically widened from 3 m to the desired width for any project. Ale ordered 48 axle...
The market for the BMW 7 Series in South Africa differs quite significantly from the rest of the world. China, the US and the Middle East almost exclusively buy the long-wheel-base version, using the German manufacturer’s luxury high-end sedan as a chaffeur-driven...
January new-vehicle sales fell by 6.9%, to 48 615 units, compared with the same month last year. Statistics released by the Department of Trade and Industry show that the domestic new passenger-car market declined by 6.1%, to 34 936 units, compared with 12 months ago.
Information technology (IT) equipment and infrastructure multinational Dell is providing open infrastructure systems for clients so that they can use any systems, including innovative new systems, that suit their business needs, says Dell Europe, Middle East and...
South Africa’s State-owned defence industrial group, Denel, has set up another international partnership, based in Hong Kong. This new subsidiary is Denel Asia and it is a joint venture (JV) with South African private sector company VR Laser.