The South African Petroleum Industry Association (Sapia) states that its key objective for the next 20 years is to support the National Development Plan (NDP) at macroeconomic level.

With Sapia celebrating 20 years of existence on July 18, Sapia chairperson Bonang Mohale pointed out during his speech at the celebration that it would be necessary for Sapia to focus on energy as a major economic driver for the country.

Mohale noted that this was the result of President Jacob Zuma’s State of the Nation address in June, which emphasised the pivotal role played by the energy sector in the country to drive economic growth. The President mentioned in his speech that government had to identify innovative approaches to fast-track procurement and delivery in the energy sector.

“In March this year, Sapia reviewed three strategic areas which it deems will lay the foundation for economic growth for the next 20 years – planning for tomorrow, enhancing strategic partnerships and providing service excellence,” noted Mohale.

Sapia’s ‘planning for tomorrow’ strategy is mainly focused on industry transformation, working towards a fair regulatory framework for all citizens, facilitating security of supply and promoting environmental leadership.

The strategy of enhancing strategic partnerships will educate all Sapia stakeholders on the industry’s aims and activities, while incorporating communication as one of the key factors in enhancing these partnerships.

Sapia also highlights that this will make industry aware of the transparency that exists in the energy industry and Sapia’s honesty in dealing with government and industry.

The strategy for providing service excellence entails increasing effective competition, and measuring and managing performance to ensure effective service delivery, while actively identifying growth opportunities in the sector and improving the decision-making process of Sapia.

Mohale also indicated that Sapia would continue to work with Energy Minister Tina Joemat-Pettersson in driving key issues in the sector that would also drive the economy, such as biofuels, Clean Fuels 2 and basic energy security in South Africa.

“Meanwhile, Sapia and its members have also compiled a list of programmes and agreements to support the NDP in economic infrastructure, environmental sustainability and integrated rural and urban economic growth,” he added.

In November last year, Sapia stated that, together with its members, it was willing to upgrade refineries to meet the new fuel standards, while also preparing for investment in minimum emissions standards, as well as holding discussions with the Department of Energy around the requirements for increasing the volumes of strategic fuel stocks.

Sapia is also committed to guiding the environmental implications of its members’ business activities by implementing international best practice through environmental committees.

“Sapia works closely with government on several measures to reduce greenhouse gases (GHG) from refineries, and on other energy efficiency initiatives, which will also result in a reduction of GHGs. This includes building energy efficient structures,” Mohale said, noting that Sapia was engaging with government to determine the most practical carbon pricing and tax mechanisms.