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Joemat-Pettersson hints at increase in gas-to-power target

9th October 2015

By: Kim Cloete

Creamer Media Correspondent

  

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Energy Minister Tina Joemat-Pettersson has likened South Africa, which has the second-highest dependence on coal in the world, second to North Korea, to a “junkie addicted” to coal and diesel, stressing that gas will be the cornerstone of the country’s baseload power.

“Our coal and diesel dependence has to decrease,” she stressed, highlighting Western Cape-based gas turbine power station Ankerlig’s expensive diesel “habit”.

“We have to take the approach that has the least regrets.”

She said it was vital for South Africa to change its energy mix, noting that the 3 126 MW target for gas-fired power generation from 2019 to 2025 to widen South Africa’s electricity base could be increased.

“Our key challenge is how to bring [about] the benefits of natural gas as an energy source as early as possible,” she told the South Africa Gas Options conference, in Cape Town, emphasising that gas as a source of energy would be a game changer for South Africa.

The Department of Energy released the much anticipated request for information for procuring gas-fired generation capacity in May.

Joemat-Pettersson said government was committed to natural gas as an option, even though it may take time to set up. She said government would play a significant role in developing timely, reliable and affordable electricity, while investment was encouraged in exploration and the development of natural gas resources.

“The opportunities from the successful development of gas resources are large in scale, but our long-term challenge is to successfully move towards that potential, while also addressing the short-term necessities of our country.”

An auditorium of mainly private-sector players was eager to get assurances from government that their substantial investments in an industry considered complicated and expensive would prove to be worthwhile.

Joematt-Pettersson said Operation Phakisa, a government programme aimed at fast-tracking the implementation of solutions on critical development issues, particularly oil and gas, would help to speed up the process.

“This inaugural conference for gas options is strategically important, because it comes at a time when we are updating our National Development Plan. We are defining the energy mix for South Africa and the Southern African power pool.”

Government was engaged with several Southern African countries to develop the gas sector in the region. Joematt-Pettersson suggested that fuel cells and other technologies would be used for rural and off-grid areas.

South Africa boasted 85% access to grid-based electricity.

The Energy Minister, backed by a large delegation of government officials, noted that government and the private sector needed to demystify the stereotype view in South Africa that gas was a dangerous energy option, an opinion held particularly in townships, where people worried about gas explosions. “We need to [provide] more education about the benefits of gas.”

Edited by Tracy Klückow
Creamer Media Contributing Editor

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