Aug 01, 2012
MTN to sell carbon credits from its trigeneration plantBack
Construction|Johannesburg|Kyoto|Africa|EDF Trading|Electricit|Energy|France SA.|Gas|MTN|PROJECT|Projects|Promethium Carbon|System|Water|Africa|Mozambique|South Africa|Sasol Pipeline|Electricity|Electricity Utility|Energy|Energy Consumption|Energy-efficient|Grid-generated Electricity|Owned Subsidiary|Quantified Greenhouse Gas Emission Reduction Targets|Strained Electricity Grid|Telecommunications|Katie Ross|Power|Robbie Louw|Water
© Reuse this
The R22-million energy efficient, methane-powered plant, which was constructed at the company’s Fairland offices, in Johannesburg, produced 2 MW of the head office’s 4 MW energy consumption.
During a media visit to the plant on Wednesday, MTN said that the emissions reduction purchase agreement would allow EDF Trading to purchase all the credits from the plant until 2020.
“EDF Trading will use the carbon credits to contribute to compliance of their quantified greenhouse-gas emission reduction targets of the Kyoto Protocol and European Union Emissions Trading Scheme,” said carbon advisory firm Promethium Carbon director Robbie Louw.
One carbon credit equalled one ton a year of carbon dioxide emission (CO2e) reduction. The plant was expected to offset 15 000 t/y CO2e.
Africa’s first trigeneration plant aimed to reduce the head office’s reliance on South Africa’s strained electricity grid.
MTN noted that reducing the group’s reliance on the increasingly expensive national grid-generated electricity, as well as revenue from the sale of the carbon credits made the project economically viable. It was expected to “pay for itself” within the next five years.
The project, which creates electricity, cooling and heating from gas sourced from the Sasol pipeline, in Mozambique, and distributed to the site by Egoli Gas, was said to be the first project of its type in Africa and the first time this technology has been submitted to the United Nations (UN) for approval as a Clean Development Mechanism (CDM) project.
Promethium, which assisted MTN in the design of the CDM, was currently registering the project with the United Nations Framework Convention on Climate Change as an “umbrella” project, which, Promethium carbon adviser Katie Ross said would enable the easy registration of similar projects under this one. She added that the registration should be complete within the next few months.
Ross commented that the global telecommunications industry held the power to indirectly reduce global greenhouse-gas emissions by 15%.
Louw added that the carbon market in South Africa held the potential to reach R510-million a year in the next few years.
The French and South African governments approved the UN registration of the project, as well as selling the credits to EDF Trading.
MTN has also already started construction of another trigeneration plant at its offices in Centurion, and planned to build another two at its offices in Germiston and Doornfontein over the next few years.
Trigeneration is the concurrent production of electricity, heating and cooling, which provides power, hot water and heating and cooling for air conditioning from a single source.
The excess heat, at some 400 °C, is captured and used to supply heating and to operate an absorption chiller, which creates cool water that is used to power an extensive air-conditioning system.
Edited by: Mariaan Webb© Reuse this Comment Guidelines
Other Electricity News
Updated 4 hours ago President Jacob Zuma announced the composition on Wednesday of the ‘Energy Security Cabinet Sub-Committee’, which he said would oversee the development of South Africa’s future energy mix. Delivering his Budget Vote in the National Assembly, Zuma said the...
Updated 5 hours ago President Jacob Zuma announced the composition on Wednesday of the ‘Energy Security Cabinet Sub-Committee’, which he said would oversee the development of South Africa’s future energy mix. Delivering his Budget Vote in the National Assembly, Zuma said the...
Updated 5 hours ago Consulting Engineers South Africa (Cesa) on Wednesday stated that it welcomed government’s move to lead municipalities back to basics and to put in place institutional mechanisms to enable them to deliver core municipal services, as announced by Cooperative...
Updated 5 hours ago JSE-listed construction firm Group Five on Wednesday announced that it expected its fully diluted headline earnings per share (HEPS) for the year ended June 30 to be between 20% and 30% higher, at 382c to 414c, than the fully-diluted HEPS of 318c achieved during the...
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
Local aerospace company Denel Aerostructures (DAe), part of the State-owned Denel Group, has won a fourth contract to manufacture parts for the Airbus A400M military air transport and air-to-air refuelling aircraft. The new contract, which was won in an international...
Although CEO Mark McChlery and chief marketing officer Bob Skinstad likened themselves to children in a playground when taking on the task of “reengineering and repositioning” the Seartec brand, the “young, dynamic and enthusiastic guys” were like proud...
An increasing number of buyers, in both the new and used car markets, are opting for finance structures that lower their monthly repayments, says asset financing company WesBank. These include the use of large balloon payments (also known as residuals), as well as...
Tertiary education institutions can use search engine giant Google’s Chromebook to provide secure mobile end-point devices for students on which they can share documents, work collaboratively on documents and access education materials and applications being used...
Local ceiling and partition company Abbeycon has beaten global competition at the Saint-Gobain Gypsum International Trophy competition, which was held last month in Berlin, Germany.