May 04, 2010
Weekly podcast – May 5, 2010Back
Engineering|Johannesburg|Africa|Eskom|Kumba Iron Ore|Resources|SEW Eurodrive|SEW-Eurodrive|Sishen Iron Ore Company|Transnet|Water|Africa|South Africa|High Court|Northern Cape Mine|Sishen Mine|Drive Technology|Iron-ore Miner|Steel|Steel Producer|Northern Cape|Anne O'Donnell|Bobby Godsell|Buyelwa Sonjica|Cyril Ramaphosa|Infrastructure|Iron Ore|Jacob Maroga|Jacob Zuma|Jerry Vilakazi|Power|Water|Drive Technology
© Reuse this
Wednesday, May 5, 2010.
From Creamer Media in Johannesburg, I'm Mary-Anne O'Donnell.
Making headlines this week:
The JSE-listed miner said that, unless there was urgent resolution on an interim pricing and payment mechanism, the basis upon which it would continue to supply iron-ore to the steel producer could be affected.
KIO didn't immediately indicate a timeframe for reaching such an agreement. However, a spokesperson said that the time period shouldn't exceed eight weeks.
The two companies have been in dispute over the future pricing of iron-ore flowing from the Sishen mine since February 5, when Sishen Iron Ore Company notified AMSA that it was cancelling a favourable supply deal, struck in 2001, on the basis that AMSA had failed to convert its 21,4% undivided share of the Northern Cape mine in line with the demands of the Mineral and Petroleum Resources Development Act.
The details of the proposals are contained in a document tabled at a meeting of Parliament's water affairs portfolio committee this week, and appear to fly in the face of an announcement made by Water Affairs Minister Buyelwa Sonjica last month.
She told a media briefing at Parliament in April that she wanted to allay the fears of South Africans that there is not in the near future a possibility of a [tariff] hike. She said that it wasn't in the pipeline.
However, the department's media liaison director, Linda Page said that the minister was responding to a question on whether there were likely to be tariff increases linked to funding for infrastructure and thus potential increases in the price of raw water.
Page said that the increases that the water boards are proposing... are the normal annual increases linked to the CPIX because they operate on a cost recovery basis.
This followed the judgment last Friday in the High Court in Johannesburg that former CEO Jacob Maroga wouldn't be reinstated to his position.
The parastatal was now able to appoint a new CEO as the court had also ruled that Maroga couldn't prevent Eskom's board from naming a successor.
Eskom acting chairperson Mpho Makwana said Eskom would share further information on the appointment as soon as the process was completed.
Maroga was fired by the Eskom board in November 2009 after he denied that he had offered to resign from the parastatal.
South Africa will need to rely on a generation mix to secure future power supply.
That's a round up of news making headlines this week.
Edited by: Shannon de Ryhove© Reuse this Comment Guidelines (150 word limit)
Other Intellectual Property Law News
Pharmaceutical companies typically invest substantial amounts of money into research and development. Their research, however, is not only aimed at discovering new active pharmaceutical ingredients (APIs). Instead, some companies make small modifications to existing...
A controversial patent process known as ‘ever-greening’ is being carried out by many pharmaceutical brands, and is preventing medications from being made available as generics, affecting many South Africans who are struggling to keep up with the cost of medication....
It has been over six years since the government began developing the draft policy on intellectual property (IP) that has been the focus of major public controversy following the PharmaGate scandal, which involved a leaked pharmaceutical industry email by Knowledge...
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
The South African new vehicle market is likely to reach around 630 000 units in 2014, down from the 650 000 units recorded in 2013, says Toyota South Africa Motors (TSAM) president and CEO Dr Johan van Zyl. Van Zyl is also president of the National Association of...
Efforts by the Kenya government to increase energy generation by 5 000 MW over the next three years received a major boost following the award of a $2-billion contract to build a coal power plant in Lamu. Despite allegations of irregular tendering process, the...
Using crafty wordplay on a well-known Internet meme, brilliant South African-born US entrepreneur and businessperson Elon Musk announced that Tesla Motors would not initiate patent lawsuits against anyone who, in good faith, wanted to use its technology. Instead,...
August new vehicle sales declined by 1.4%, to 55 722 units, compared with the same month last year. Assisted by the car rental market, the South African new passenger car market, at 37 953 units, contracted by 1 047 units, or 2.7%, compared with August last year.
With South Africans facing the challenge of reducing electricity consumption, the biennial Eskom Energy Efficient Lighting Design Competition, to encourage the integration of energy efficient lighting in architectural, engineering and interior design, received a...