http://www.engineeringnews.co.za
  SEARCH
Login
R/€ = 14.14Change: 0.05
R/$ = 10.92Change: 0.05
Au 1236.70 $/ozChange: -0.22
Pt 1366.70 $/ozChange: -1.30
 
 
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  
 
 
Sep 03, 2013

Fracking to require water use licence – Molewa

Back
Minister Edna Molewa
Photo: Duane Daws
Minister Edna Molewa
 
previous next
Pretoria|Africa|Bundu Gas & Oil|Chesapeake|Exploration|Falcon Gas & Oil|Gas & Oil Exploration|Projects|Resources|Shell|Statoil|Water|Africa|South Africa|Chemicals|Energy|Gas Resources|Oil|Oil And Gas|Oil And Gas Exploration|Recoverable Shale Gas Resources|Service|Services|Shale Gas|Shale Gas Exploration|Shale Gas Exploration Licences|Unconventional Oil|Environmental|Edna Molewa|Infrastructure|Water|The National Water Policy Review|Fracturing
|Africa|Exploration|Projects|Resources|Shell|Water|Africa||Energy|Oil And Gas|Service|Services||Environmental|Infrastructure|Water||
pretoria|africa-company|bundu-gas-oil|chesapeake|exploration|falcon-gas-oil|gas-oil-exploration|projects|resources|shell|statoil|water-company|africa|south-africa|chemicals|energy|gas-resources|oil|oil-and-gas|oil-and-gas-exploration|recoverable-shale-gas-resources|service|services|shale-gas|shale-gas-exploration|shale-gas-exploration-licences|unconventional-oil|environmental|edna-molewa|infrastructure|water|the-national-water-policy-review|fracturing
More Insight
© Reuse this



Water and Environmental Affairs Minister Edna Molewa on Tuesday announced that companies wanting to use hydraulic fracturing, or fracking, to explore for shale gas in the Karoo would require a water use licence.

The Minister gazetted for public comment a notice of intent to declare fracking a controlled activity in terms of the National Water Act (NWA) for public comment. The notice included the exploration for, and production of, onshore unconventional oil or gas resources and any activities incidental thereto, including, but not limited to, fracking.

“What this means is that fracking becomes a water use, thus requiring a water use licence. In this regard only matters regarding water resources will be of consideration when licences are issued, including, but not limited to, the possible impact of substances and chemicals on the ground water resource,” Molewa said at a media briefing in Pretoria.

She added that the Department of Water Affairs (DWA) already had some applications for water use licences for fracking but that it would wait for the regulatory process to unfold before it would deal with them.

In September last year, South Africa lifted a moratorium on shale gas exploration in the Karoo region, which potentially holds 390-trillion cubic feet of technically recoverable shale gas resources, but has not yet issued any exploration licences.

Cabinet recently indicated that it is likely to authorise shale gas exploration before next year’s general election and moved to assure environmental groups opposed to fracking that it would proceed with exploration in an environmentally and socially responsible manner.

International oil companies such Shell, Challenger Energy subsidiary Bundu Gas & Oil Exploration, Falcon Gas & Oil, Statoil and Chesapeake have applied for shale gas exploration licences.

Molewa further emphasised that protecting the environment and South Africa’s water resources was the department’s key priority. 

“We will take every precaution to ensure that the possible impact of fracking on our water is carefully managed and minimised,” she added.

“The DWA would like to be objective, while protecting the country’s water resource and finding methods to further development. I want what is best for South Africa and in particular the water sector,” Molewa said.

The Minister further pointed out that an interdepartmental task team, of which the DWA was a part, had been established to deal with issues pertaining to unconventional oil and gas exploration and production.

The monitoring committee was tasked with reviewing the existing regulatory framework for fracking and to develop the necessary regulations and guidelines on the methodologies of fracking. It would also develop guidelines to ensure that negative impacts of exploration for possible production of shale gas resources was prevented, mitigated or managed.

At the moment, the committee is only focusing on exploration as a decision had not yet been made on whether South Africa would move into shale gas production.

Meanwhile, Molewa reported that Cabinet had approved the National Water Policy Review, which was gazetted for public comment on August 30.

The review, aimed at filling gaps in the water policy and facilitating necessary amendments, addressed 12 key policy positions, she said.

These included a multiple water-use approach in infrastructure planning; access to basic water supply that would in future only be provided to indigent households; and the application of the “use it or lose it principle”, through which any unused authorised water would be reallocated to a public trust managed by the Minister.

Further, water trading between authorised water users would be stopped and social and economic equity would be prioritised through the reallocation of the water.

The Minister stated that currently 98% of South Africa’s water resource was allocated, which left little for new projects and economic developments.

“We have to free up South Africa’s water supply,” she said, adding that the policy did not intend to take away water from any specific group to give to another.

Molewa added that economic regulation would be applied throughout the water value chain and to avoid any conflict of interest, water use tariffs would be determined yearly by the DWA, in consultation with National Treasury.

She pointed out that, among other major decisions taken, the NWA and the Water Services Act would be combined.

“This is because there have been a number of implementation challenges arising from the separate pieces of legislation,” Molewa said.

Challenges that had been identified included that the current legislation did not contain any mandate at the national level for the development of a strategy that covered the entire water value chain.

“Although the department is working on an infrastructure investment framework which covers both water supply and sanitation services as well as water resources infrastructure, this is not enabled by any legislation.

“Separate strategies for the management, development, control and protection of water resource and the provision of water supply and sanitation service results in inconsistency in the management of the entire water value chain,” Molewa said.

Edited by: Mariaan Webb
© Reuse this Comment Guidelines (150 word limit)
 
 
 
 
 
 
 
 
Other Water News
Petroleum group Shell’s Three Sisters Ultra City, on the N1 Highway near Beaufort West, has installed a 150 m3/d effluent treatment and grey-water recycling plant, which has resulted in the recovery of 25 000 l of water a day out of season and 120 000 l of water a...
The Berg River Partnership (BRP) has piloted the 2020 Vision for Water Education Programme (VFWEP) at 10 schools in the Berg river area, in the Western Cape, as part of its youth initiative.
FARMING KNOWLEDGE Knowledge and information flows improve farming, land use diversification and more robust agricultural value chains
The World Economic Forum New Vision for Agriculture initiative is helping to develop support for small-hold farmers and larger farmers along existing infrastructure corridors in Africa to stimulate efficient agricultural value chains to support growth in local...
Article contains comments
Article contains comments
More
 
 
Latest News
Construction on the bus rapid transport stations for Phase 1A of the Rustenburg Rapid Transport (RRT) project was likely to start before the end of the year, with the construction tenders currently being adjudicated, RRT said on Tuesday. Phase 1A of this four-phase...
Hundreds of innovators and entrepreneurs have gathered in Cape Town to discuss how to support more innovation in South Africa in a bid to drive the economy forward. Venture capitalists, dealmakers, entrepreneurs and academics have been mingling at the South African...
South African business leaders were more likely than their global counterparts to encourage creative behaviours and “disruptive processes” to drive innovation, the South African results of the GE Global Innovation Barometer, released on Tuesday, have shown. The 2014...
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 road...
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 board of UD Trucks Southern Africa (UDTSA) has announced the resignation of MD Jacques Carelse.   Long-time UD employee, corporate planning and marketing GM, Rory Schulz, has been appointed as acting MD while the process started to appoint a new MD. The Japanese...
There is a need to start planning another pumped storage scheme in South Africa. Much work has already been done at a site in the Limpopo province and the project was very close to being put out to tender at one stage. In 2008/9 the National Energy Regulator of South...
The Coega Development Corporation (CDC) is preparing to leverage its strategic coastal position to develop the Eastern Cape economy through proposed aquaculture development zones (ADZs), with a proposed R2-billion project aiming to contribute $278-million to the...
Completion of the ongoing construction of the 102 km Zomba–Jali–Phalombe–Chitakale road, in southern Malawi, has been extended from June  to December 15 because of persistent rains and difficulties in paying the contractor. The project is being undertaken by Kuwait's...
The Malawi government has awarded South African firm  Fischer Consortium the  contract to upgrade the Malawi Road Traffic Information System. The Directorate of Road Traffic and Safety Services at Malawi's Ministry of Transport and Public Works says Fischer...
 
 
 
 
 
 
 
 
 
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