http://www.engineeringnews.co.za
  SEARCH
Login
R/€ = 14.20Change: 0.11
R/$ = 11.08Change: 0.00
Au 1216.40 $/ozChange: -0.63
Pt 1339.00 $/ozChange: 4.00
 
 
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  
 
 
Jul 27, 2012

Regulations still not conducive to private power production – Saippa

Back
Africa|Eskom|Projects|System|Systems|Africa|South Africa|Electricity|Energy|Power Producer|Supply Electricity|Systems|Doug Kuni|Power|Wolfgang Böhmer
Africa|Eskom|Projects|System|Systems|Africa||Energy|Systems|Power|
africa-company|eskom|projects|system|systems-company|africa|south-africa|electricity|energy|power-producer|supply-electricity|systems|doug-kuni|power|wolfgang-bhmer
© Reuse this



Ongoing differences between independent power producers in South Africa and government legislators and regulators regarding the rules governing independent power producers surfaced at a recent workshop convened by industry body the South African Independent Power Producers Association (Saippa) in June.

“Regulations of the National Energy Regulator of South Africa and the Electricity Regulation Act (4 of 2006) are making the process to develop a power plant and sell electricity into the national grid complicated,” said Saippa MD Doug Kuni.

He commented on the proposed second amendment to the Electricity Regulation Act, stating that an independent power producer will have to obtain Ministerial permission to sell electricity, even if a company supplies its own needs, unless it supplies electricity to a State-owned enterprise.

“Under the existing Act, a company can supply itself and the Act should remain nondiscriminatory in that regard,” he said, noting that independent power production could be developed by allowing companies to supply electricity to their own operations.

Further, Saippa member companies questioned the necessity of providing a 24-hour forecasting for power production by each plant connected to the grid, as required by the South African Grid Code. The code also requires plants to provide a six-day forecast for power production.

Saippa members believe that regulations do not take cognisance of power producers’ challenges, specifically with regard to investments and financing, as well as risks, and place an onerous burden on aspiring independent power producers.

However, State-owned power utility Eskom Grid Code Secretariat transmission system operator Bernard Magoro emphasised the centrality of maintaining grid stability for the utility, which motivated the changes to the grid code.

Each plant would be required to have three control modes to be able to respond to the grid network operator’s settings and support the voltage of the network, especially under emergency conditions, he explained.

“Scheduling and dispatch 24-hour visibility are required for Eskom to manage the systems and control outage processes, as well as enable real-time operation. “The utility must be able to communicate directly with plants to curtail or produce electricity under emergency conditions,” he noted.

“Increased forecasting is key and is necessary for grid stability and to regulate the quality of supply. We must ensure that plants do not compromise the system,” he emphasised.

Meanwhile, Eskom Grid Access Unit head Wolfgang Böhmer said the utility was drowning in the more-than- 600 applications it had received for connections to the grid by independent power producers and was finding it challenging to effectively evaluate projects and grant grid access.

“Policies are not well coordinated and there are risks we must consider. The challenge is to ensure that we streamline the processes and we are engaging weekly with the Department of Energy to influence policymaking with regard to power procurement, which remains a challenge,” he said.

Edited by: Martin Zhuwakinyu
© Reuse this Comment Guidelines (150 word limit)
 
 
 
 
 
 
 
 
Other Regulation News
The National Energy Regulator of South Africa (Nersa) will release a consultation paper in February next year outlining the possible regulatory framework for “distributed power generation” in South Africa, including how “prosumers” could be empowered to feed surplus...
Article contains comments
Deputy President Cyril Ramaphosa
Government has received more than 180 nominations for the yet-to-be-established Ministerial Advisory Council on Energy, Deputy President Cyril Ramaphosa said on Wednesday. "I have been informed by the department of energy that the proposed ministerial advisory...
POWER SUPPORT Sanea suggests that the private sector should be included with greater momentum to provide additional power supply
Although additional baseload power stations will be required to combat the shortage in the electricity supply industry in South Africa, the exact time at which the next new baseload power station would be commissioned, after the commissioning of the current new build...
Article contains comments
More
 
 
Latest News
President Jacob Zuma would next month officially launch the Dube Tradeport, in Durban, as an industrial development zone (IDZ), the Department of Trade and Industry (DTI) announced on Friday. At the launch event, which was scheduled to take place on October 7, the...
JSE-listed York Timber Holdings on Friday said it expected its operating profit for the year ended June 30 to be between 25% and 30% lower than that of the prior year. As a result of the lower operating profit, combined with a 1% increase in the company’s biological...
Engineering solutions provider ELB Group has reported an 18% increase in turnover for the year, boosting overall income, from R1.9-billion in 2013, to R2.3-billion for the 12 months ended June 30. Describing this as “a satisfactory result, given the current difficult...
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
MANUFACTURING CAPABILITY Reliable Transformers designs and manufactures dry-type and oil-filled power and distribution transformers up to 3.5 MVA
While Ekurhuleni-based transformer manufacturer Reliable Transformers currently designs, manufactures and tests its products according to the SANS 780 specifications for distribution transformers and other applicable transformer specifications, it is working towards...
GHAREEB SAAD Kaspersky Lab products contain strong heuristics engines that monitor suspicious file execution to detect attacks
Global endpoint security solutions company Kaspersky Lab has introduced new measures to prevent cyber criminals from accessing sensitive data, alongside its malware-signature and heuristic device analysis detection methods. Threats to mobile devices have increased...
MICHAEL FLETCHER Real-time information available to government when citizens use publicly funded Wi-Fi networks will enable it to communicate with citizens and provide services
To ensure uptake and a positive impact, Wireless Fidelity (Wi-Fi) networks in cities must be provided at schools, community centres and commercial centres to enable citizens and government to access information that will improve access to and delivery of services....
Eco-estate Monaghan Farm, located near Lanseria airport, north-west of Johannesburg, has taken a new approach to modern living and sustainability with its 517 ha development, dedicated to farm living.
Forklift and lift-truck distributor Goscor Lift Hi-Reach launched the Genie SX-180, the tallest self-propelled super boom in Africa, in Johannesburg last month. “As the official distributor of the well-known Genie range of equipment in Southern Africa, we are pleased...
 
 
 
 
 
 
 
 
 
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