Oct 04, 2012
KES submits proposal to continue KZN solar electrification projectBack
Engineering|Johannesburg|Natal|Africa|EDF|Eskom|Installation|KfW|Lighting|PROJECT|Projects|SECURITY|System|Systems|Africa|South Africa|Energy|Investment Bank|Service|Services|Solar Home Systems|Systems|Eastern Cape|Power|Vicky Basson|Energy Sources|Exterior Lighting Offers|Operations|Eastern Cape
© Reuse this
Speaking at the French South African Chamber of Commerce and Industry’s French Energy Forum, in Johannesburg, she said the company had concluded its contract to install 10 000 SHSs.
“We have made a proposal for the DoE to continue this [project], because in the areas we are working there is definitely still demand for the service to be provided,” she told Engineering News Online.
The proposal was for the provision of SHSs for the rest of the 2012/13 financial year and until 2014.
KES planned to eventually install 50 000 SHSs in KZN.
The company was also currently involved with a rural electrification project in the Eastern Cape with German investment bank KfW, which provided a €16-million subsidy.
KES was awarded a tender in 2007 to provide about 30 000 Eastern Cape households with SHSs. To date, 7 300 SHSs have been installed.
“We would like to continue with the KfW project, we still have roughly 23 000 houses to do there,” Basson noted.
Basson stated that KES would consider expanding operations to other provinces should the opportunity arise.
BENEFITS AND CHALLENGES
Each household has a solar home system of between 55 W peak and 65 W peak.
“During a month we generate about 96 MW hours of green energy,” Basson pointed out.
Customers rent the prepaid system for R89/m and, depending on the area, the tariff is subsidised by the local government’ free basic electricity policy, which contributes R48/m.
“The SHSs replace more expensive and hazardous energy sources, and exterior lighting offers increased security,” Basson noted.
Institutional delays still posed a challenge to the sustainability of KES’ projects, while a high nonpayment rate overshadowed the company’s projects. She said payment aversion was a social problem that municipalities had to address through grants.
“We have said to municipalities that we will assist in filling in funding.”
Further, operational challenges such as theft and tampering with systems also increased costs.
“How these challenges can be overcome is to continue discussion and dialogue between all the parties. This is complicated, because we have to talk to national government, the DoE, local government and Eskom and get them together at the table to find a clear way forward.”
Between 1996 and 2010, five-million households in South Africa have been electrified by Eskom and players such as KES; with 75% of people in the country having access to electricity in 2010.
The current electrification rate in South Africa was between 150 000 and 200 000 households a year.
Basson indicated that KES was looking to the DoE’s latest Integrated National Electrification Programme Roadmap to identify electrification projects in South Africa for the next few decades, that also clearly outline the role of grid and nongrid electricity.
“If you look at accessing all the people in South Africa, I do not think it is a question of between grid and nongrid, its finding the correct balance that enables us to electrify in the shortest possible time and most effective manner,” she stated.
Edited by: Mariaan Webb© Reuse this Comment Guidelines (150 word limit)
Creamer Media Senior Researcher and Deputy Editor Online
Other Electricity News
Updated 6 hours ago Black-owned investment holding company Sphere Holdings plans to raise a further R1-billion in the coming months in support of its strategy of becoming a leading black industrial enterprise, which could ultimately seek a listing on the JSE. CEO Itumeleng Kgaboesele,...
Article contains comments
Article contains comments
Updated 12 minutes ago All new office developments in South Africa should be legally required to offer end-of-trip facilities (EOTF) for cyclists and other nonmotorised transport (NMT) users to incentivise workers to use alternatives to road and rail commuter transport, delegates at the...
Updated 12 minutes ago Revising its initial April trading update for the first half of the 2015 financial year, aluminium manufacturer Hulamin on Tuesday said it now expected earnings to plunge by around 40% on the back of lower volumes, electricity supply curtailments, quality issues and...
Updated 33 minutes ago South African defence company Saab Grintek Defence is receiving a lot of interest from around the world in the latest version of its armoured vehicle Land Electronics Defence System (LEDS) 50, the Mark (Mk) 2. "We've received a lot of requests for proposals," reports...
Recent Research Reports
Real Economy Year Book 2015 (PDF Report)
There are very few beacons of hope on South Africa’s economic horizon. Economic growth is weak, unemployment is rising, electricity supply is insufficient to meet demand and/or spur growth, with poor prospects for many of the commodities mined and exported. However,...
Real Economy Insight: Automotive 2015 (PDF Report)
Creamer Media’s Real Economy Year Book comprises separate reports under the banner Real Economy Insight and investigates key developments in the automotive, construction, electricity, road and rail, steel, water, gold, iron-ore and platinum sectors.
Real Economy Insight: Water 2015 (PDF Report)
Real Economy Insight: Construction 2015 (PDF Report)
Real Economy Insight: Electricity 2015 (PDF Report)
Real Economy Insight: Road and Rail 2015 (PDF Report)
This Week's Magazine
Finance Minister Nhlanhla Nene earlier this month stated that, while South Africa’s 2015 economic growth target of 2% was achievable, it was not enough to deliver the tax revenue needed to combat the country’s challenges.
The World Steel Association has published the 2015 edition of the World Steel in Figures report, which shows an increase in steel production as well as provides an overview of steel industry activities from crude steel production to apparent steel use.
The 25-year master plan for Gauteng’s Aerotropolis project will go through a process of approval and adoption during June and July, says Aerotroplis project manager Jack van der Merwe. “We are also in the process of putting together a special purpose vehicle (SPV) to...
The Coega Development Corporation (CDC) plans to fit 15 of its buildings, totalling 127 000 m2 of roof space, in the Coega Industrial Development Zone (IDZ), in the Eastern Cape, with solar panels.
The Supreme Court of Appeal’s (SCA’s) November 2014 judgment, ordering steel producer ArcelorMittal South Africa (AMSA) to hand over the 2003 Environmental Master Plan for its Vanderbijlpark steel plant to environmental pressure groups, confirmed the right of civil...