http://www.engineeringnews.co.za
  SEARCH
Login
R/€ = 12.92Change: 0.12
R/$ = 11.99Change: 0.14
Au 1203.52 $/ozChange: -3.38
Pt 1162.50 $/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 Letters Contact Us
 
 
 
RSS Feed
Article   Comments   Other News   Research   Magazine  
 
 
Oct 16, 2012

Overhauled solar-geyser incentive to focus on industrial spin-offs

Back
Building|Eskom|Industrial|Public Enterprises|SECURITY|Water|Contracting|Electricity Consumer|Electricity Tariffs|Energy|Maintenance|Manufacturing|Manufacturing Industry|Products|Andrew Etzinger|Power|Water
Building|Eskom|Industrial|SECURITY|Water|Contracting|Energy|Maintenance|Manufacturing|Products|Power|Water
building|eskom|industrial|public-enterprises|security|water-company|contracting|electricity-consumer|electricity-tariffs|energy|maintenance|manufacturing|manufacturing-industry|products|andrew-etzinger|power|water
© Reuse this



The South African government and Eskom have revised the contracting and funding models for the mass roll-out of solar water heaters (SWHs). In future, the programme will be funded by the taxpayer, rather than the electricity consumer, and will focus heavily on stimulating local manufacture and supporting small and medium-sized installers.

Currently, the deployment is incentivised through a rebate programme, funded from electricity tariffs. This rebate support has facilitated the deployment of 285 000 SWHs, which Eskom claims have delivered power savings equivalent to 46 MW.

But the utility’s Andrew Etzinger reports that changes will be made when the rebate expires at the end of the year.

The objective of installing one-million such geysers by 2014 remains intact. However, the redesigned programme will seek to integrate government’s economic objectives of building a larger-scale domestic SWH manufacturing industry, while also supporting smaller installation and maintenance companies.

A total of R4.7-billion will need to be secured from the National Treasury to meet the target and Etzinger has indicated that the first R1-billion should be transferred to Eskom “shortly”, in line with an agreement between the utility and the Department of Energy (DoE).

“The reason for the change is driven by a new contracting model that places greater emphasis on the local production of SWHs,” he explains, adding that the new approach is supported not only by the DoE, but also the Departments of Trade and Industry and Public Enterprises.

Under the proposed arrangement, Eskom will procure the units from domestic manufacturers and offer these on a “free-issue basis” to installers.

Government and Eskom say the model should provide demand security for manufacturers, while transferring the financial burden from small and medium-sized installers to Eskom.

Tenders have been issued for the supply of the SWHs and Eskom is in the process of evaluating the submissions received. “We will be communicating back to the market soon,” Etzinger says.

Eskom says the SWH roll-out, together with its other residential demand-side interventions, have achieved a saving of 181 MW to date. During the second phase, a savings target of 190 MW has been set.

A range of products have been developed in support of further business, industrial and residential power savings and these will be “aggressively driven” over the coming months and years.

Edited by: Creamer Media Reporter
© Reuse this Comment Guidelines (150 word limit)
 
 
 
 
 
 
 
 
Other Construction News
The Century City conference centre, part of a new, green, R1-billion mixed-use development under construction in Cape Town, is on track to open in February 2016, with the first bookings already confirmed. Century City Conference Centre & Hotel joint CEOs Glyn Taylor...
JSE-listed Aveng independent nonexecutive director Mahomed Seedat has been named as successor to outgoing chairperson Angus William Band, who will retire at the end of June. In an announcement to shareholders on Wednesday, Aveng said Seedat would assume the role of...
A new tool that provides municipalities with a prewritten tender and contract, which can easily be adapted to suit the specific needs and circumstances of a particular region, is now available and is expected to help municipalities curb water losses. The Model...
Article contains comments
More
 
 
Latest News
State-owned power utility Eskom and Public Enterprises Minister Lynne Brown confirmed on Wednesday that contracts under the so-called short-term power purchase programme (STPPP) had been renewed ahead of the March 31, 2015, expiry date. Eskom told Engineering News...
The value of copper stolen in February decreased to R12.7-million, from R12.9-million in January, but was 18.1% higher than the value of copper stolen in February 2014, the South African Chamber of Commerce and Industry (Sacci) revealed on Wednesday. In its latest...
Paper and packaging group Mpact has concluded a broad-based black-economic empowerment (BBBEE) deal that will see a purpose-formed trust subscribing for 10% of the ordinary issued shares in group subsidiary Mpact Operations, which holds its South African businesses....
More
 
 
Recent Research Reports
Steel 2015: A review of South Africa's steel sector (PDF Report)
Creamer Media’s Steel 2015 report provides an overview of the key developments in the global steel industry and particularly of South Africa’s steel sector over the past year, including details of production and consumption, as well as the country's primary carbon...
Projects in Progress 2015 - First Edition (PDF Report)
In fact, this edition of Creamer Media’s Projects in Progress 2015 supplement tracks developments taking place under the Renewable Energy Independent Power Producer Procurement Programme, which has had four bidding rounds. It appears to remain a shining light on the...
Electricity 2015: A review of South Africa's electricity sector (PDF Report)
Creamer Media’s Electricity 2015 report provides an overview of State-owned power utility Eskom and independent power producers, as well as electricity planning, transmission, distribution and the theft thereof, besides other issues.
Construction 2015: A review of South Africa’s construction sector (PDF Report)
Creamer Media’s Construction 2015 Report examines South Africa’s construction industry over the past 12 months. The report provides insight into the business environment; the key participants in the sector; local construction demand; geographic diversification;...
Liquid Fuels 2014 - A review of South Africa's Liquid Fuels sector (PDF Report)
Creamer Media’s Liquid Fuels 2014 Report examines these issues, focusing on the business environment, oil and gas exploration, the country’s feedstock supplies, the development of South Africa’s biofuels industry, fuel pricing, competition in the sector, the...
Water 2014: A review of South Africa's water sector (PDF Report)
Creamer Media’s Water 2014 report considers the aforementioned issues, not only in the South African context, but also in the African and global context, and examines the issues of water and sanitation, water quality and the demand for water, among others.
 
 
 
 
 
This Week's Magazine
Projected capital expenditure (capex) in the South African automotive assembly industry should reach a record R7.48-billion this year, says the National Association of Automobile Manufacturers of South Africa (Naamsa) in its 2014 fourth quarter business review. Capex...
After several years of navigating project-threatening red tape and currency fluctuations, the 4.4 MW Bronkhorstspruit biogas power plant, which will supply clean energy to a leading automotive manufacturer in Gauteng, is expected to enter production before June....
RESOURCEFUL The raw material for the pilot plant would be supplied from the dissolving wood pulp plants at Sappi’s Saiccor and Ngodwana mills, in South Africa, and the Cloquet mill, in the US
South African paper and pulp producer Sappi reported earlier this month that it would build a pilot plant for the production of low-cost Cellulose NanoFibrils, or CNF (nanocellulose) at the Brightlands Chemelot Campus in Sittard-Geleen in the Netherlands.
The long-term outlook for Nigeria is a country that has the potential to be very strong. So affirmed International Monetary Fund (IMF) Nigeria Mission Chief and Senior Resident Representative Dr Gene Leon on recently. "But we are starting from a point of huge...
Poor infrastructure planning and inadequate maintenance are becoming increasingly problematic for new developments and the associated infrastructure required to support such developments. In many urban and rural municipalities, the state of infrastructure has been...
 
 
 
 
 
 
 
 
 
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
Subscribe Now for $96 Close
Subscribe Now for $96