R/€ = 13.08
R/$ = 11.60
Au 1283.00 $/oz
Pt 1255.50 $/oz
Oct 05, 2007
South Africa gets set to subsidise renewable-energy schemesBack
Johannesburg|Africa|CoAL|Environment|Global Environment Facility|PROJECT|Projects|Renewable Energy|Renewable-Energy|System|Africa|South Africa|Electricity|Energy|Energy Needs|Energy Policy|Energy Summit|Energy Technologies|Finance Office|Renewable Energy|Renewable-energy Projects|Renewable-energy Technologies|Wind Energy|South African Government|Buyelwa Sonjica|Power|BIOFUELS|Renewable Energy Technologies|Renewable-energy Technologies
© Reuse this The South African government has set up a subsidy and finance office to guide funding for renewable-energy technologies, Minerals and Energy Minister Buyelwa Sonjica said in Johannesburg, at an energy summit, where industry stakeholders deliberated over possible changes to the country’s energy policy. She said that South Africa would also establish a new certification system to support the development of renewable-energy projects.
The Tradable Renewable Energy Certification System would provide an additional revenue stream for the development of the projects, and would be operational by early next year, she said.
Renewable energy technologies, such as solar power, wind power, hydroelectricity, biomass and biofuels, are set to play a key role in South Africa’s energy needs, which are currently being met by electricity generated by coal. But the technologies are often criticised for being “unreliable and unsightly” and too costly, when compared with technologies such as coal-fired power.
Sonjica said, however, that the State recognises that there were barriers to the introduction of more renewable energy in South African industry, and cited high capital costs.
“Overcoming the initial high capital costs and increasing the commercialisation of renewable-energy technologies in a market driven by [an] energy economy will guide funding for renewable-energy technologies.”
She said that South Africa had also partnered with the Global Environment Facility (GEF), an international organisation helping developing countries fund projects and programmes that protect the environment, to provide technical assistance to renewable-energy project developers, and to use investment from the private sector.
The GEF would assist the State in implementing a South African wind energy programme, and renewable-energy market transformation projects.
The country had, thus far, managed to kick-start the interest from investors and independent power producers to start developing local renewable-energy projects, but medium- to long-term financial mechanisms would now have to be developed, Sonjica stated.
The Department of Minerals and Energy and the National Energy Regulator of South Africa have started looking at the development of medium- to long-term financial mechanisms.
Edited by: Martin Zhuwakinyu© Reuse this Comment Guidelines (150 word limit)
Other Electricity News
Updated 12 minutes ago US energy firm Chevron will shut down its 100 000 bl/d South African oil refinery in Cape Town from February 13 to March 31 for routine maintenance and safety inspections, the company said on Friday. "Chevron has made contingency plans to mitigate potential...
Updated 36 minutes ago Days of rolling blackouts this week have blighted South African society and business, and they face an increasing number of outages in years to come. But the alternative, a grid collapse, could be catastrophic. Bordered by tiny, war-scarred or impoverished states...
Updated 1 hour 26 minutes ago Petrochemicals giant Sasol, which typically incinerates its waste sludge streams or sends them to hazardous waste sites, is increasing its use of composting to treat these streams at its Secunda plant, in Mpumalanga, reducing transportation and disposal costs, as...
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
The international Square Kilometre Array (SKA) radio telescope – which is to be jointly hosted by South Africa and Australia with, later, outstations in other countries – may not yet exist, but international scientific working groups are already deciding what...
A free Web-based solar power plant capacity-planning tool offers project planners and developers, as well as governments, a means to assess the solar energy potential of thin-film solar PV power over an area of land. The tool was developed by thin-film solar...
As yet, no specific methodology, timeline or costs have been finalised to remedy the water ingress, excessive to contractual specifications, into the Gautrain tunnel between emergency shaft two (E2) and Park Station, says Bombela Concession Company technical and...
The “seriously disruptive” electricity outages in South Africa have cost packaging group Astrapak more than R2-million in “irrecoverable downtime costs”, the company said on Monday, adding that the power cuts were negating some of the benefit of energy saving...
Bakkies and more affordable cars dominated South Africa’s new vehicle market in 2014. Unaudited data from the Department of Trade and Industry (DTI) shows that South Africa’s most popular vehicle in 2014 was the Toyota Hilux, selling 37 562 units.