SANEA issues call to action to ensure energy for all
There are considerable constraints facing South Africa and Africa in terms of the sustainability and efficiency of energy supply; however, there are also opportunities in renewable energy generation, as the world looks to achieve net-zero targets by 2050.
This was the key theme from the morning session on day one of industry organisation the South African National Energy Association’s (SANEA's) 2022 conference.
SANEA chairperson Kiren Maharaj told delegates that the energy sector was a critical contributor to economic growth, but that there were significant challenges in terms of energy sustainability and unavailability, with the country also having become desensitised to loadshedding.
However, she pointed out that there were new technologies and that energy diversification was improving, providing opportunities to address and tackle these challenges.
She emphasised that these solutions had to be sustainable and equitable.
Following from last year’s conference, which looked at unlocking the possibility of energy sustainability in Africa, this year’s theme is ‘Ignite – energy for all’ and is a call to action to deal with all of the challenges in the industry, and for critical enablers that are needed to move forward to deliver the impetus for change.
Maharaj outlined that the conference coincides with COP27 taking place in Egypt, where she said that the opening speech also called for countries to move from pledges to implementation.
Also speaking was BuiltAfrica Holdings executive chairperson Thulani Gcabashe, who was previously CE at State-owned power utility Eskom.
He said SANEA was an important player in the energy industry, noting that it provided a platform for honest, open dialogue among key stakeholders.
He said there was an opportunity, if used correctly, for different players to express their views on what was happening in the industry.
Moreover, he said SANEA could engage with the Department of Mineral Resources and Energy, where policy decisions were made.
He also highlighted that there was an opportunity for business to contribute, and express what it required, and sharpen the thinking among policymakers in a way that benefits all.
Gcabashe emphasised that where the industry was at present required thinking about a different way of moving forward, with a consensus to be reached about the key things that were needed.
This trajectory, he said, would include elements like new technology, with a considerable focus on renewable energy, and sectors such as green hydrogen and ammonia coming to the fore.
He called for these new sectors and elements to be welcomed, so that the new direction undertaken was one that was sustainable, equitable, and allowed for the participation of all.
Delivering the keynote address, South African Chamber of Commerce and Industry CEO Alan Mukoki said energy for all was an ambitious aim that would occupy stakeholders for the next three decades and beyond.
He emphasised the need to improve skills and capabilities, as well as policies and regulations.
Mukoki emphasised that, in aiming for this, what needed to be looked at was ensuring that the requisite infrastructure was in place to transmit this energy.
For example, he highlighted an opportunity in natural gas, with South Africa able to be an offtaker from other countries on the continent, if it had the infrastructure to accommodate this.
This is a key area that Sacci is lobbying for, he said.
Secondly, he indicated that rail infrastructure had to be bolstered, in the country and across the continent, given the interconnectedness of industries.
He said there were considerable resources on the continent, and that infrastructure must be built to take advantage of this, with rail to be the central player in pushing for these advancements.
Also, Mukoki said energy for all should not just be a localised aim for South Africa, but rather, should extend towards the rest of the continent as well.
He said this would open up new markets, as well as provide an opportunity for South Africa to play a leading role in terms of consulting, engineering and capital.
To do this, however, he emphasised that it was critical that a change in leadership culture and ethics be realised, with transformation required to build the skills that could capitalise on this opportunity.
In attempting to solve the energy challenge and ignite energy for all, Mukoki said the industry must be ready to reallocate capital to the new sectors and areas where itwas needed.
Also, he said a fear of transformation in the industry had to be overcome, with people reluctant to give up today’s profits for future investments.
Mukoki also indicated that policymakers needed to embrace change, with the opportunity to take advantage of the expertise in the country and play a leadership role for the continent.
He said that assuming this leadership role would require commitment.
Mukoki also mentioned that disruptive innovation would be key to building this environment, with social justice an important piece of this.
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