The Western Cape government’s bid to secure cleaner forms of energy has received a boost through a R10-million grant from the US government’s Trade and Development Agency (USTDA).
“Liquefied natural gas (LNG) is a key component of a lowest-cost energy scenario for the country. This USTDA grant will further develop the opportunity for LNG in the province through a feasibility study on the demand and potential impact of LNG importation at Saldanha Bay,” said Western Cape Economic Opportunities Minister Alan Winde in a statement released last week.
The study will also provide a preferred model for the importation of LNG for gas-to-power electricity generation capacity and for industrial, transport, commercial and domestic use.
The grant will be administered through nonprofit organisation GreenCape, which will select a US firm to complete the study.
“I would like to commend the USTDA for funding this initiative. We must reduce our reliance on coal and make better decisions for our environment and our economic future. Natural gas has the potential to play a key role in our plan to grow our alternative energy sources and this study supports the Western Cape’s objective to secure a reliable and affordable energy supply,” he said.