http://www.engineeringnews.co.za
  SEARCH
Login
R/€ = 13.12Change: -0.39
R/$ = 11.57Change: -0.13
Au 1286.25 $/ozChange: 7.44
Pt 1261.50 $/ozChange: 13.00
 
 
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  
 
 
Oct 23, 2012

Simpler bid documents, dialogue sessions could streamline REIPPP

Back
Cape Town|Globeleq SA|Projects|Renewable Energy|Renewable-Energy|Windaba|Energy|Energy Industry Moves|Mark Pickering|Power
|Projects|Renewable Energy|Renewable-Energy|Windaba|Energy||Power
cape-town|globeleq-sa|projects|renewable-energy|renewable-energy-company|windaba|energy|energy-industry-moves|mark-pickering|power
© Reuse this



As round one of the Renewable Energy Independent Power Producer Programme (REIPPP) nears financial close, the Windaba 2012 conference, in Cape Town has been used as a platform to discuss experiences of the REIPPP to date and give constructive suggestions about the process as the renewable-energy industry moves forward.

Speaking at the conference Mark Pickering, adviser to Globeleq SA, which is involved in the development of four first-round REIPPP projects, said a number of potential areas of improvement in the process were now apparent. Firstly, simplification of the bid documentation should be undertaken, which could include combining the economic development matrix, economic development scorecard and quarterly obligations into a single document.

Aligning the definitions used in the request for proposal with the implementation agreement was also a key improvement that was needed, as well as the clarification and removal of extraneous information in the implementation agreement.

“It took us teams of legal advisers to get our heads around these things and finally understand that the implementation agreement trumps everything else and that’s what counts. But even in the implementation agreement there are definitions that are just too loose.”

Offering open dialogue sessions between preferred bidders and the Department of Energy’s Independent Power Producer (IPP) unit could also assist in resolving issues, rather than relying on written communication which amounted to “hundreds” of letters in the first bid rounds, said Pickering. “Dialogue is a much more effective way of cutting through misunderstandings. When we have had those meetings they’ve really helped a lot.”

“Obviously a new development is the draft amendments to the [broad-based black economic-empowerment] codes – that needs to be incorporated into all of these and made clear for round one and round two bidders who will have to adapt to the new codes,” he said.

Along with a closer look at how the socioeconomic development obligations were structured and how economic development efforts should be reported on, another practical issue that needed to be clarified in the process was the job creation obligations, as the definition provided was too vague. 

“Where do you stop counting jobs? Every party we meet has a different view on the boundary – is it at the edge of the site, is it at the edge of the primary contractors, do you go down to subcontractors? The comment that the job numbers look low is probably accurate because the way the jobs are being counted is probably conservative. In fact, a lot more jobs are being created, they are just not being recognised.”

In Pickering’s view, the success of the REIPPP had been as a result of the broad political consensus that renewable energy would be the centrepiece of a green economy. Thus, going forward, the sustainability of the programme would rely on continuing political consensus and so projects must, therefore, deliver tangible social and economic benefits in order to sustain that political support.

“Let’s keep working together to get the balance right. Let’s have as much engagement between all parts of industry and government as possible,” he concluded.

Edited by: Creamer Media Reporter
© Reuse this Comment Guidelines (150 word limit)
 
 
 
 
 
 
 
 
 
Latest News
Updated 20 minutes ago Financial services provider Stanlib aims to channel the bulk of a R1.2-billion infrastructure equity fund into some of the infrastructure projects under way in South Africa, with a particular focus on renewable energy. Stanlib on Tuesday said the fund, which would...
Port of Saldanha
Updated 28 minutes ago The establishment of a customs control area (CCA), or free port, within the newly designated Saldanha Bay Industrial Development Zone (SBIDZ) is being held up as a major drawcard for potential oil and gas services investors into the 330 ha site, situated alongside...
Updated 32 minutes ago Web-based property trading portal Quoin Online has been granted an exclusive mandate to dispose of five hotel properties owned by real estate investment trust (Reit) Hospitality Property Fund (HPF), either individually or as a collective purchase. The 87-room Protea...
More
 
 
Recent Research Reports
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.
Defence 2014: A review of South Africa's defence industry (PDF Report)
Creamer Media’s Defence 2014 report examines South Africa’s defence industry, with particular focus on the key participants in the sector, the innovations that have come out of the sector, local and export demand, South Africa’s controversial multibillion-rand...
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.
 
 
 
 
 
This Week's Magazine
BRUCE BRADFORD The 3D printers have a clear upgrade path to eventually print in wood, ceramics and metal-alloys
Three-dimensional (3D) printers being sold in South Africa by electronics distributor Rectron currently print in two types of plastic, but have a clear upgrade path over the next five years to eventually print in wood, ceramics and metal-alloy materials, says Rectron...
The world’s two dominant commercial aircraft manufacturers, Airbus of Europe and Boeing of the US, both recently announced that they had made record aircraft deliveries in 2014. Boeing set a global record for the industry with 723 commercial aircraft delivered, while...
The Western Cape is shifting further into the renewable-energy space with the official opening of a factory specialising in solar inverters, a key component of solar photovoltaic (PV) plants. The investment in the manufacturing facility in Cape Town aims to boost the...
Business Leadership South Africa (BLSA) last month welcomed Cabinet’s establishment of a technical team war room to undertake various interventions to improve electricity supply security over the short- and medium-term, but added that the private sector also had a...
Despite a rapid rise in mobile connections and the economic and social benefits of such connectivity, more than half of the world ended 2014 unconnected. For this reason, industry commentators believe the biggest impact of mobile technology is still to come –...
 
 
 
 
 
 
 
 
 
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