http://www.engineeringnews.co.za
  SEARCH
Login
R/€ = 14.20Change: 0.11
R/$ = 11.08Change: 0.00
Au 1216.40 $/ozChange: -0.63
Pt 1339.00 $/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 Contact Us
 
 
 
RSS Feed
Article   Comments   Other News   Research   Magazine  
 
 
Sep 29, 2006

Power qualms curb investment – association

Back
Construction|Engineering|Africa|Marine|Road|Welding|Africa|Mozambique|South Africa|HulettnAluminium’s Maritzburg Factory|Maritzburg Factory|Building|Product|Products|Services|Transport|Richards Bay|Aluminium Federation Of Southern Africa|David Hughes|Power|Far East
Construction|Engineering|Africa|Marine|Road|Welding|Africa|||Building|Products|Services|Transport|||Power|
construction|engineering|africa-company|marine|road|welding|africa|mozambique|south-africa|hulettnaluminiumrsquos-maritzburg-factory|maritzburg-factory|building|product|products|services|transport-industry-term|richards-bay|aluminium-federation-of-southern-africa|david-hughes|power|far-east
© Reuse this One of the main reasons that primary aluminium smeltercapacity cannot be expandedor installed as business demands prefer is the uncertainty of power supply.

Aluminium Federation of Southern Africa (Afsa) executive director David Hughes says that this is one of the main issues holdingback the development of the proposed new smelter at Coega and the possible expansion of the Richards Bay and Mozal smelters.

“Smelters in Richards Bay and Mozambique are operating at full capacity and sell all that they produce, either locally or throughexports but they could sell so much more if they had the capacity,” says Hughes.

The Richards Bay Bayside smeltersupplies the bulk of the commonalloys required for the semifabri-cators, such as the extruders, rolling mills and casters. According to Hughes, where this supply cannot meet local demand, alloys are imported either in extrusion billet or rolling slab and, regardless of source, the major issue facing local consumers is the price of primary and alloy aluminium which is based on the LME and then has local premiums added. Reduction in local input costs will enhance the local industry’s competitiveness. According to Hughes, South Africahas the advantage of a modernrolling mill at Hulett Aluminium’s Maritzburg factory that ensures that the downstream users of foil, sheet and plate are well served with the more common alloys. “Without this facility, the localindustry would be worse off. Special alloys and larger plate sizes, forexample, for the marine and road transport industries, are imported. Hulett Aluminium regularlyreviews and upgrades its product offer to try to meet local customer needs and the outlook is good and very solid,” remarks Hughes. The company’s expansion plans that are in place to get to 245 000 t/yof rolled products by 2009 is positive proof of this. Similarly, local extrusion output capacity has been expanded considerably over the last two years and Hughes adds that there is more to come.

Demands from the building and construction sectors continue to fuel demand in addition to the considerable growth in the engineering application of extrusions. Significant quantities of imported extrusions from the Far East, driven partially by the strongerrand, threaten the localextrusion and surface-finishing industries, but this is being challenged, as Afsa believe thatmaterial damage can be demonstrated because of dumping.

“The aluminiumindustry comprisesvarious specific sectors that, while to some extent interdependent, should be considered independently as the industry cannot simply be considered as a whole,” says Hughes, who believes that the industry is ingood condition and thriving. However, he adds that the castingindustry is not as buoyant androbust as hoped owing to high price inputs of scrap and primaryaluminium.

The secondary aluminium-alloy market and the downstream casting sector have taken a beating inrecent years and the strong rand has not been of much help in this regard.

He remarks that South Africa can and does look after itself and the aluminium industry will continue for years to come to be one of the cornerstone industries of the South African economy. In addition, Hughes says that there is a growing need to upgrade fabricating welding skills, among other skills, and Afsa is collaborat-ing with the DTI, Merseta, Saqaand other related organisations on this growing issue.

Training of industry on how to use aluminium correctly is also an important task being dealt with by Afsa. “We have such strong growth in some market sectors, like com-mercial road transport and, morerecently in boat building, that we need now to consolidate aluminiumapplications, ensuring correctfabrication practices and avoidingfailures,” comments Hughes.

Afsa has, over the past 18 months,been busy presenting workshops and seminars to a variety of companies trying to ensure thatcorrect design procedures andmanufacturing methods are used and these have enjoyed considerable interest from industry players.

Afsa’s purpose is to promote the use and application and growth of aluminium, to promote the South African downstream aluminiumindustry and to promote the interestsof its members. The organisation works closely with its members and the regional branches – in total some 410 com-panies, and the number continues to grow steadily each month as more and more users of aluminium see the advantage of belonging to Afsa. An exciting development is theincrease in the number of smallentrepreneurs in the manufactur-ing sector and the demand fortraining, which is satisfied by some of the extruders, the rolled-productssuppliers, specialist importers,services and consumables suppliers and, of course, by Afsa itself. The greatest potential for growth is through exports and so training is even more important for local manufacturers to achieve export readiness.
Edited by: cheryl reddy
© Reuse this Comment Guidelines (150 word limit)
 
 
 
 
 
 
 
 
Other Aluminium News
The twenty-first International Recycled Aluminium Conference is setting out to better the aluminium industry’s understanding of recycling by highlighting sustainable development, says Rio Tinto, product group Rio Tinto Alcan product stewardship director Jerome Lucaes.
The use of aluminium in the housing and commercial segments of the South African market is growing, reports South African window manufacturer, Duro, national contracts manager Barry Sacks. More consumers are increasingly realising the benefits and long-term savings...
PUSHING UP PRODUCTION The new aluminium can lines at the Bevcan Springs Nuffield plant will be capable of running eight can sizes and produce cans at speeds of up to 3 000 cans per minute, as opposed to the 1 600 steel cans currently produced per minute
Between R100-million and R200-million a year will flow into the scrap metals and recycling industry as a result of the conversion from tin-plated steel cans to aluminium cans, providing an additional 2 000 to 3 000 people a source of income from collecting and...
More
 
 
Latest News
President Jacob Zuma would next month officially launch the Dube Tradeport, in Durban, as an industrial development zone (IDZ), the Department of Trade and Industry (DTI) announced on Friday. At the launch event, which was scheduled to take place on October 7, the...
JSE-listed York Timber Holdings on Friday said it expected its operating profit for the year ended June 30 to be between 25% and 30% lower than that of the prior year. As a result of the lower operating profit, combined with a 1% increase in the company’s biological...
Engineering solutions provider ELB Group has reported an 18% increase in turnover for the year, boosting overall income, from R1.9-billion in 2013, to R2.3-billion for the 12 months ended June 30. Describing this as “a satisfactory result, given the current difficult...
More
 
 
Recent Research Reports
Road and Rail 2014: A review of South Africa's road and rail infrastructure (PDF report)
Creamer Media’s Road and Rail 2014 report examines South Africa’s road and rail transport system, with particular focus on the size and state of the country’s road and rail network, the funding and maintenance of these respective networks, and the push to move road...
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.
 
 
 
 
 
This Week's Magazine
MANUFACTURING CAPABILITY Reliable Transformers designs and manufactures dry-type and oil-filled power and distribution transformers up to 3.5 MVA
While Ekurhuleni-based transformer manufacturer Reliable Transformers currently designs, manufactures and tests its products according to the SANS 780 specifications for distribution transformers and other applicable transformer specifications, it is working towards...
GHAREEB SAAD Kaspersky Lab products contain strong heuristics engines that monitor suspicious file execution to detect attacks
Global endpoint security solutions company Kaspersky Lab has introduced new measures to prevent cyber criminals from accessing sensitive data, alongside its malware-signature and heuristic device analysis detection methods. Threats to mobile devices have increased...
MICHAEL FLETCHER Real-time information available to government when citizens use publicly funded Wi-Fi networks will enable it to communicate with citizens and provide services
To ensure uptake and a positive impact, Wireless Fidelity (Wi-Fi) networks in cities must be provided at schools, community centres and commercial centres to enable citizens and government to access information that will improve access to and delivery of services....
Eco-estate Monaghan Farm, located near Lanseria airport, north-west of Johannesburg, has taken a new approach to modern living and sustainability with its 517 ha development, dedicated to farm living.
Forklift and lift-truck distributor Goscor Lift Hi-Reach launched the Genie SX-180, the tallest self-propelled super boom in Africa, in Johannesburg last month. “As the official distributor of the well-known Genie range of equipment in Southern Africa, we are pleased...
 
 
 
 
 
 
 
 
 
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