Feb 03, 2012
Supplier working hard to secure contractsBack
Absa|Cogeneration|Egoli Gas|Eskom|Gas|Industrial|MTN|Standard Bank|Water|Cogeneration|Electricity Supply Constraints|Gas-fired Boilers|Natural Piped Gas Supplier|Supply Gas|Take-away Food Outlets|Cogeneration|Power|Water
© Reuse this
Egoli Gas MD Bheki Vilakazi says more companies are using gas to generate their own power and reduce their reliance on State-owned power utility Eskom, owing to electricity supply constraints.
Power is generated through cogeneration, or through trigeneration.
Vilakazi says Egoli Gas serves six market segments. The first of these is the domestic residential market that makes up 80% of its customer base and provides about 20% of its income.
The second sector is multi- dwelling clients such as townhouse complexes and household residential apartment buildings. In these markets, the gas supplied is used for applications such as space heating, the heating of water from geysers and for cooking.
The third sector is central water clients that use central gas-fired boilers, while the fourth is the commercial sector, made up of customers such as hotels, restaurants and take-away food outlets.
The other two sectors, small-scale industrial customers which use 300 GJ or less a month, and large industrial customers which use more than 300 GJ a month, contribute some 80% of the company’s sales volume and its income.
Egoli Gas has a number of ongoing multimillion-rand contracts with companies such as financial services provider Absa and cellular network provider MTN.
The company’s biggest con- tract to date has been a three-year, multimillion-rand con- tract with the Charlotte Maxeke Johannesburg Academic Hos-pital, which was signed in 2008. The company is negotiating with the hospital to have the contract renewed.
Meanwhile, Vilakazi says the company is looking at expanding its business this year.
As part of its network extension plans, there is a possibility of building a gas plant in Sandton to serve the corporate market in that area.
Edited by: Chanel de Bruyn© Reuse this Comment Guidelines (150 word limit)
Other Energy News
Recent Research Reports
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.
Real Economy Insight: Steel 2014 (PDF Report)
This four-page brief covers key developments in the steel industry over the past 12 months. It provides an overview of the global and South African steel and stainless steel markets, South Africa’s major steel producers and events that have shaped these markets.
This Week's Magazine
South African construction company Group Five says work on the rehabilitation of the 800 km stretch of the Plumtree–Mutare highway, in Zimbabwe, should be completed by the end of this year. Giving evidence before the Parliamentary Porfolio Committee on Transport...
The Space Operations division of the South African National Space Agency (Sansa) revealed on July 17 that it had supported the successful launch of the US National Aeronautics and Space Administration’s Orbiting Carbon Observatory-2 (OCO-2) satellite on July 2. The...
Phase 1A of Johannesburg’s Rea Vaya bus rapid transit (BRT) system should carry around 42 000 people a day, while it was been expected that Phase 1B, rolled out last year, would add another 60 000 daily passengers. However, the entire system is currently carrying...
A stormwater project in Bedforview, east of Johannesburg, has stalled for eight months after project managers in the Ekurhuleni municipality resigned and municipal managers were placed on special leave without designating replacements. Construction to reinforce the...
The design of the Beit Bridge border post is the biggest impediment to efficient freight movement between Zimbabwe and South Africa, says Cross-border Road Transport Agency CEO Sipho Khumalo. Beit Bridge is the busiest border post in Africa. A research study on the...