http://www.engineeringnews.co.za
  SEARCH
Login
R/€ = 14.20Change: 0.03
R/$ = 10.70Change: 0.04
Au 1277.39 $/ozChange: 2.44
Pt 1420.50 $/ozChange: 0.30
 
 
Note: Search is limited to the most recent 250 articles. Set date range to access earlier articles.
Where? With... When?








Start
 
End
 
 
And must exclude these words...
Close Main Search
Close Main Login
My Profile News Alerts Newsletters Logout Close Main Profile
 
Agriculture   Automotive   Chemicals   Competition Policy   Construction   Defence   Economy   Electricity   Energy   Environment   ICT   Metals   Mining   Science and Technology   Services   Trade   Transport & Logistics   Water  
What's On Press Office Tenders Suppliers Directory Research Jobs Announcements Contact Us
 
 
 
RSS Feed
Article   Comments   Other News   Research   Magazine  
 
 
Aug 08, 2012

Ex-Im chief confirms SA’s priority-market status, makes $2bn energy commitment

Back
Aviation|Construction|Engineering|Johannesburg|Africa|CoAL|Eskom|Ex-Im Bank|Export-Import Bank Of The US|Flow|Industrial|Industrial Development Corporation|Locomotives|Projects|Renewable Energy|Renewable-Energy|Transnet|Africa|South Africa|United States|USD|Bank|Clean-energy Projects|Conventional Energy Projects|Energy|Energy Sector|Export-credit Insurance|Flow|Loan Finance|Mining|Products|Renewable Energy Projects|Services|Transport|Barak Obama|Franklin Delano Roosevelt|Fred Hochberg|Hillary Clinton|Infrastructure|Power|Boeing 737-800|Locomotives|Sub-Saharan Africa
Aviation|Construction|Engineering||Africa|CoAL|Eskom|Flow|Industrial|Locomotives|Projects|Renewable Energy|Renewable-Energy|Transnet|Africa|||Energy|Flow|Mining|Products|Services|Transport|Infrastructure|Power|Locomotives|
aviation|construction|engineering|johannesburg|africa-company|coal|eskom|exim-bank|export-import-bank-of-the-us|flow-company|industrial|industrial-development-corporation|locomotives|projects|renewable-energy|renewable-energy-company|transnet|africa|south-africa|united-states|usd|bank|cleanenergy-projects|conventional-energy-projects-industry-term|energy|energy-sector|export-credit-insurance-industry-term|flow-industry-term|loan-finance|mining|products|renewable-energy-projects|services|transport-industry-term|barak-obama|franklin-delano-roosevelt|fred-hochberg|hillary-clinton|infrastructure|power|boeing-737800|locomotives-product|subsaharan-africa
© Reuse this



The head of the Export-Import Bank of the United States (Ex-Im Bank) expects the $2-billion recently set aside to support the export of US products and services into South Africa’s energy sector to be absorbed over the coming eight to ten years. The package was unveiled by US Secretary of State Hillary Clinton during her recent visit to South Africa.

Speaking at a media roundtable in Johannesburg, chairperson and president Fred Hochberg stressed that there was no expiry date associated with the financing arrangement. It had been approved in line with the identification of South Africa as one of Ex-Im Bank’s top-nine priority markets – the bank operates in 180 countries globally.

Most of the loan finance would flow towards clean-energy projects, but the capital was also available for conventional energy projects, as well as transmission and smart-grid-related developments.

The bank provides a variety of financing mechanisms, including working capital guarantees, export-credit insurance and financing to foreign buyers.

Hochberg signed a declaration of intent with South Africa’s State-owned Industrial Development Corporation, which was financing a number of renewable energy projects. “This agreement will help ensure that Ex-Im Bank continues to provide financing to South African buyers that want to buy high-quality US goods and services,” he elaborated.

The self-funding government agency was confined to supporting US products and services deployed in such projects and would only be disbursed in instances where firm power offtake agreements were in place.

South Africa was in the process of procuring 3 725 MW of renewable energy capacity for deployment between 2014 and 2016, while State-owned power utility Eskom was in the middle of a R330-billion investment programme to add 11 719 MW and 6 596 km of transmission by 2018.

Ex-Im Bank extended a $805.6-million direct loan to Eskom in 2011, enabling the utility to purchase engineering and construction management services from Black & Veatch, which is involved with the construction of the Kusile coal-fired power plant, in Mpumalanga. It also approved a loan guarantee of more than $100-million as part of General Electricity Transportation’s sale of locomotives to Transnet.

The agency, which was established by President Franklin Delano Roosevelt in 1934 as part of the New Deal, approved a record $32.7-billion in loans last year, of which about $1.5-billion was associated with exports to sub-Saharan Africa.

During the same period, it authorised more than $930-million in financing to support US exports to South Africa, including a commitment to finance Comair’s purchase of eight Boeing 737-800 aircraft.

Hochberg indicated that the growth in authorisations had been underpinned by President Barak Obama’s National Export Initiative, but had been spurred further by a growing appetite among US firms to export to emerging markets that US commercial banks saw as high risk.

He expected that 2012 authorisations would exceed the 2011 record, which itself was more than double the $14.5-billion in approvals recorded in 2008, the year Obama was elected.

Besides the infrastructure programme, he saw potential in South Africa and Africa for US exports into the extractive and mining sectors, as well as the aviation, transport and healthcare markets.
 

Edited by: Creamer Media Reporter
© Reuse this Comment Guidelines (150 word limit)
 
 
 
 
 
 
 
 
Other Construction News
MODDERFONTEIN NEW CITY Modderfontein New City will aim to exemplify an integrated city node and improve infrastructure utilisation through mixed-use spaces
Updated 1 hour 28 minutes ago The multibillion-rand development of the Zendai Modderfontein New City, east of Johannesburg, will aim to exemplify an integrated city node, says property group Zendai South Africa COO Wenhui Du. The development will focus on the Modderfontein Gautrain station to be...
More
 
 
Latest News
Construction, mining, development and engineering group Basil Read on Thursday announced that it expected a loss a share for the six months ended June 30, of between 131.18c and 160.33c, compared with the 198.28c earnings a share in the prior corresponding period....
JSE-listed Group Five on Thursday said it had secured a three-year R4-billion engineering, procurement and construction contract for the design and build of a 350 MW gas- and oil-fired combined cycle power plant in Ghana. Ghana-based Cenpower Generation would issue...
Phumulo Masualle and Naledi Pandor
The East London industrial development zone (Elidz) on Thursday afternoon officially launched its Science and Technology Park (STP), which is aimed at speeding up the pace of economic development in the Eastern Cape. The STP’s location within the Elidz was expected...
More
 
 
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
MODDERFONTEIN NEW CITY Modderfontein New City will aim to exemplify an integrated city node and improve infrastructure utilisation through mixed-use spaces
Updated 1 hour 41 minutes ago The multibillion-rand development of the Zendai Modderfontein New City, east of Johannesburg, will aim to exemplify an integrated city node, says property group Zendai South Africa COO Wenhui Du. The development will focus on the Modderfontein Gautrain station to be...
Updated 1 hour 41 minutes ago The South African Civil Aviation Authority (CAA) hopes to have finalised regulations for the flying of Unmanned Air Vehicles (UAVs) – also designated Remotely Piloted Air Systems (RPAS) and popularly called drones – in the country’s civilian airspace by the end...
Updated 1 hour 41 minutes ago Various stakeholders have expressed optimism that the Small Business Development Ministry, created after the national elections in May, will add much needed impetus to enterprise development in South Africa, where a strengthening of the entrepreneurial culture is...
BOB SCHOLES To ensure that emissions plateau by 2020 and then decline until a net negative emission level is achieved by the end of the century, CO2 capture and storage in addition to major emission reduction efforts will be needed
Updated 1 hour 41 minutes ago Capturing and storing carbon dioxide (CO2) is the only way through which the world will achieve the lowest of the United Nations Framework Convention on Climate Change’s (UNFCCC) global warming predictions, called the representative concentration pathway (RCP) 2.6....
PARKS TAU Ongoing investigations had identified at least 30 large power users in Johannesburg as having defrauded the city
Updated 1 hour 41 minutes ago The City of Johannesburg has recovered R107-million following the arrest of 22 people allegedly involved in corruption, collusion, fraud and tampering with the city’s electricity systems, which had ultimately cost the city R200-million in lost revenue.
 
 
 
 
 
 
 
 
 
Alert Close
Embed Code Close
content
Research Reports Close
Research Reports are a product of the
Research Channel Africa. Reports can be bought individually or you can gain full access to all reports as part of a Research Channel Africa subscription.
Find Out More Buy Report
 
 
Close
Engineering News
Completely Re-Engineered
Experience it now. Click here
*website to launch in a few weeks