MyZA

News, Directory, Events and Other Stuff

You are here: Home / Archives for Eskom

Eskom

30 years of democracy: The electrification of South African households

Location: News

30 years of democracy: The electrification of South African households

Despite a myriad of challenges – both present and past – along the way, the South African government through Eskom and municipalities has made great strides towards achieving universal access to electricity in the country.

This came out during a roundtable on the electrification programme since 1994 hosted by the Government Communication and Information System (GCIS).

According to the Eskom website, in 1987, fewer than 13 million people had access to electricity with the vast majority of that access servicing white households – leaving other population groups reeling in the dark.

At the dawn of democracy in 1994, Parliament endorsed a plan to create universal access to electricity – defined at some 97% due to population growth and challenges related to the formalisation of informal settlements.

This charged government’s wholesale plan to electrify homes. Now, access to electricity in South Africa today is at least 94% according to Statistics South Africa.

Director Project Monitoring and Intergovernmental Relations at the Department of Mineral Resources and Energy, Lufuno Madzhie, said the electrification programme has thus far, been a success.

“[During 1994 to 1998] Eskom and municipalities only electrified 2.5 million households. In 2001, then government decided this [electrification] programme needs to reside within the Department of Mineral Resources and Energy [DMRE]. Through us as the department, working with different stakeholders, we have achieved a lot with regard to this electrification programme.

“Through this programme, the department has achieved a huge milestone. Currently, we have electrified over 8.3 million households,” he said.

Eskom’s Pozisa Njezula emphasised how access to electricity improves the welfare of households and explained how Eskom contributes to facilitating access for hard-to-reach rural areas.

“[It allows for the] improving on safety where we no longer have to use candles and paraffin stoves. It improves on convenience where we no longer have to collect wood to cook and also, in terms of improving on education where kids can study at night.

“With…us now pushing towards universal access, the challenge that we are now faced with is that we now have to reach the far-flung areas. The far corners in all the rural areas. With the support from the DMRE, as Eskom we have started and embarked on the rolling out of micro grids for those far-flung areas where you may not be able to get grid electricity because of losses as well as the amount of money that you would have to spend to get to those areas.

“The [micro grid] is just a container, it has solar panels, it has got batteries and then you’ve got the reticulation network. When you get to a certain area, you electrify it off grid and those people benefit,” she said.

Challenges and solutions

Njezula bemoaned that although the electrification programme is going full steam ahead, the power utility faces serious and dangerous challenges when going into communities.

“We are not immune as Eskom to the crime [and] extortion in our project sites. In South Africa, with almost all the projects that are being undertaken, there’s reports of these extortions and these demands for certain amounts of money, for protection fees and so forth.

“That delays the progress in our projects, and it really puts the lives of our employees as well as our contractors in danger. In some instances, we have to leave site, we need to be escorted, we need protection,” she said.

Head of energy and electricity distribution at the South African Local Government Association, Nhlanhla Ngidi, described South Africa’s electrification plan as a “moving target”.

“In terms of access itself, at 94%, I think it’s very important that people understand because this is a moving target. In a year’s time, you could find this being below 94% and it’s because of all these challenges…people moving towards where the economy is more active.

“Municipalities have done quite well but with the capacity challenges we have, we still need municipalities to be assisted and government needs to put in place agencies that can come in and be catalysts in terms of the implementation of the programme,” he said.

Energy expert, Chris Yelland, agreed that access to electricity has improved but warned that affordability remains a blockage to some households.

“[There] are some technology developments that require that we look at these distant rural customers. The first thing of course is renewable energy. The price of renewable energy…has come down dramatically over the last ten years. This is now opening the doors to renewable energy for remote households that never existed ten years ago.

“There’s a lot to celebrate in electrification [but] there’s a lot to do about affordability. We are not there yet. We need to understand where we come from, where we are and where we’re going and for that we need data…so that we know where we are and where we’re going” he said. – SAnews.gov.za

 

NeoB
Tue, 05/14/2024 - 14:06

110 views
Read more30 years of democracy: The electrification of South African households

Eskom breaches ‘psychological mark’ of 70% Energy Availability Factor

Location: News

Eskom breaches ‘psychological mark’ of 70% Energy Availability Factor

Eskom has achieved an Energy Availability Factor (EAF) of some 70.78% - a feat last achieved nearly three years ago.

This is according to Minister in The Presidency responsible for Electricity, Dr Kgosientsho Ramokgopa, who was briefing media on the implementation of the Energy Action Plan on Monday.

The power utility has suspended load shedding for more than a month.

“As I stand before you today, the Energy Availability Factor of Eskom has breached the 70% mark. That’s significant. The last time we achieved this was in August 2021.

"The month-to-date statistics suggest that we are at 64.34% and the year to date we are at 59.92%. But we have breached the psychological mark of 70% as a result of this consistent performance.

“This has happened over a period of time. It stretches from the appointment of [the current Eskom] board in October 2022. It gets to be codified in the Energy Action Plan unveiled by President Ramaphosa [in] July 2022, the appointment of the Minister in The Presidency responsible for Electricity, the stabilisation of the management team, the introduction of performance related incentive bonuses and the isolation of critical stations that required attention,” he said.

WATCH | 

 

The Minister reflected that as the country was plunged into higher stages of load shedding as a result of heightened and extensive maintenance and other factors, government argued that "the short-term pain would be eclipsed by long-term gains".

“The aggressive maintenance-led recovery plan is beginning to yield fruits. When we went into December 2023, transitioning into January 2024, we reached the highest levels of planned maintenance in the period of three years. We took out 18% of the total generating capacity into planned maintenance and these units are coming back."

Ramokgopa said as a result of the improved performance of Eskom’s coal fleet, the power utility is less reliant on the Open Cycle Gas Turbines (OCGTs), which consume diesel.

“What we are told in the public domain…[is] that the result of this improvement is on the back of the burning of diesel. There could be nothing further from the truth. This is anchored by these machines that are at Kusile and many other power stations.

“The load factor of the OCGT [has decreased] from what was previously 19.13% to now what is 6.8%. So we have reduced it by about 13 percentage points. What anchors this recovery is the performance of these coal fired power stations,” Ramokgopa said.

The Electricity Minister warned that although there has been noteworthy improvement, more work must be done to resolve the energy challenge in its entirety.

“We need to ensure sure that we bring other power stations to the levels of [best performers] Kusile, Lethabo, Majuba and Medupi so that across the entire fleet, when you use station by station, we should be above 70%.

“Of course we don’t congratulate a fish for swimming because it must swim but we know where we come from. So I want to say to the [Eskom] team, thank you for breaching the 70% EAF… but we know that there are power stations that require attention going into the future,” Ramokgopa concluded. – SAnews.gov.za

NeoB
Mon, 05/13/2024 - 11:13

480 views
Read moreEskom breaches ‘psychological mark’ of 70% Energy Availability Factor

No lack of investor confidence in SA – Minister Ntshavheni

Location: News

No lack of investor confidence in SA - Minister Ntshavheni

Minister in the Presidency, Khumbudzo Ntshaveni, has reiterated government’s stance that “there are no investors leaving" the country in droves.

This as some media reports stated earlier this month that Shell  is leaving South Africa after operating in the country for over 100 years.

The Minister was speaking on the sidelines of the Presidential District Development Model (DDM) Imbizo held at Kuruman in the Northern Cape on Thursday.

“There are no investors that are leaving the country in droves. You are dealing with commercial transactions which companies look at. One company comes out, another one comes in.

“[There was] a story that VW was leaving South Africa. VW just reinvested R4 billion preparing for a new line of auto-manufacturing vehicles that are coming in 2027 to 2029. So, it’s commercial transactions that happen globally. Every business looks at their own opportunities and says what’s in their own interest and it doesn’t mean it’s a reflection on the investor confidence in the country,” she said.

The Minister said investments “continue to flow into this country” – citing the Boegoebaai green hydrogen project as an example.

“I could churn out the numbers that are invested. The President has mentioned Boegoebaai. There are international investors that have partnered with us on Boegoebaai and there are South African companies themselves.

“What’s important is when your own businesses invest in your own country – that’s most significant than anything else because it shows the international community that we have confidence,” she said.

In the State of the Nation Address (SONA) earlier this year, President Cyril Ramaphosa highlighted that green hydrogen and electric vehicle manufacturing are receiving particular attention.

“We are going to set up a Special Economic Zone in the Boegoebaai port to drive investment in green energy. There is a great deal of interest from the private sector to participate in the boom that will be generated from green hydrogen energy projects,” the President said at the time.

Load shedding and logistics

Addressing the challenge of load shedding and the issues in freight rail to businesses, Ntshavheni said government is steadily working on those challenges.

“Three months ago, the media was saying load shedding is making sure that investors leave but we have handled load shedding up to where we are [more than a month without load shedding].

“There are notions that we are burning diesel. We are not burning diesel. Eskom has told us that they are switching off some [generating units]. They are putting some in maintenance early because we’ve got excess power.

“We have been dealing with the logistics issue with Transnet in Durban in particular and they are back on speed in terms of the backlog that they faced. So, there is no lack of investor confidence in our country.

“In terms of the World Bank, we are still rated the largest economy in Africa…and we compete with other countries toe to toe in terms of attracting investments,” Ntshavheni concluded. – SAnews.gov.za

 

NeoB
Fri, 05/10/2024 - 09:37

603 views
Read moreNo lack of investor confidence in SA – Minister Ntshavheni

South Africa remains an “attractive investment destination” – President Ramaphosa

Location: News

South Africa remains an "attractive investment destination" - President Ramaphosa

In his weekly newsletter, President Cyril Ramaphosa says the growth of South Africa’s automotive sector is a demonstration of “the potential of South Africa as an investment destination”.

The President said 2023 was a milestone year for South Africa’s automotive sector with the sixth millionth South African built vehicle exported with new vehicle exports reaching nearly 400 000.

“These figures are significant for a number of reasons. They show that our auto sector continues to grow despite a gloomy global economic outlook and disruptions to the flow of goods between countries.

“The growth of the automotive sector also demonstrates the potential of South Africa as an investment destination. It is a good example of how committed investors, supported by government policies and programmes, can achieve good returns for their shareholders while contributing significantly to the South African economy,” President Ramaphosa said.

The President pointed out that world leading vehicle manufacturers and other companies continue to pour more investment into South Africa.

“By way of example, Volkswagen last month announced a R4 billion investment to expand its Kariega plant in the Eastern Cape in preparation for the production of a new vehicle model expected to roll off the assembly line in 2027. This investment is expected to secure the livelihoods of approximately 3500 workers and support an additional estimated 50 000 indirect jobs and opportunities.

“South Africa’s value as an investment destination extends across many other industries, as local and international companies continue to either expand their investments or undertake new investments.

“Investment is important because, among other things, it creates employment, supports the growth of emerging suppliers, generates revenue for the country, and, in doing so, supports our efforts to reduce poverty and inequality,” he said.

According to the President, a recent report by PricewaterhouseCoopers (PwC) has found that net foreign direct investment (FDI) into South Africa has been consistently positive since the global financial crisis of 2007 to 2009 – meaning more investment has come into the country than out.

“Last year, FDI inflows amounted to R96.5 billion, equivalent to 1.4 percent of our Gross Domestic Product (GDP). This supports a trend where foreign direct investment has, on average, been far greater over the last five years than over the previous decade.

“The PwC report notes that South Africa has attractive fundamentals, such as world-class financial services and communications industries, deep capital markets, abundant natural resources and a transparent legal system. Furthermore, South Africa is ‘a strategic geographical location for entry into the rest of sub-Saharan Africa’,” he said.

Addressing challenges

President Ramaphosa highlighted that although there is a “broadly positive attitude towards South Africa among investors”, more work needs to be done to ensure that the FDI as a percentage of GDP is heightened.

“That is why we continue to work to implement our policies and align regulatory and other obstacles, so that we can attract higher levels of investment. Through the auction of broadband spectrum and progress in digital migration, for example, we have greatly expanded opportunities in telecommunications.

“We have significantly reduced waiting times for water use licences and other authorisations that are so important for getting major investment projects off the ground. We are working to get rid of other forms of red tape that impede and slow down investment,” the President said.

He also acknowledged that South Africa’s electricity problems remain a “major challenge to our people and the economy at large” and issues at ports and rail are being addressed.

“Through our Energy Action Plan, we have made much progress in dealing with the country’s electricity crisis. We have seen an improvement in the performance of Eskom’s power stations and substantial investment in new generation capacity. This has contributed to a sustained decrease in the severity of load shedding.

“The work we are doing with business, labour and other social partners in improving the efficiency of our ports and rail infrastructure is also starting to bear fruit. Further progress in these areas will increase the country’s competitiveness and attractiveness as an investment destination,” the President said.

The President assured that government will continue in its path towards economic recovery.

“We will continue to build on the gains that we have made towards creating an enabling business and investment climate that promotes economic growth and creates jobs.

“It is only through attracting higher levels of investment, both foreign and domestic, that a swift, sustainable economic recovery can be assured,” President Ramaphosa said. – SAnews.gov.za

 

NeoB
Tue, 05/07/2024 - 10:27

275 views
Read moreSouth Africa remains an “attractive investment destination” – President Ramaphosa

City Power’s Eskom debt reaches “unprecedented levels”

Location: News

City Power's Eskom debt reaches "unprecedented levels"

Eskom says it will approach the courts in a bid to have City Power pay its R1 billion debt to the national power utility.

City Power is a company wholly owned by the City of Johannesburg which purchases, distributes and sells electricity within the city coupled with maintaining and installing electrical infrastructure.

The power utility said City Power’s debt stood at some R1.073 billion at the end of March this year.

“The escalating City Power debt…has left Eskom with no choice but to apply to the High Court in Johannesburg for a declaratory order to force City Power to pay what is due to Eskom. The case has been enrolled for hearing on 4 June 2024. The power utility started to default on its payments from October 2023 and no payment was received for the March 2024 invoice.

“The debt owed by City Power has reached unprecedented levels, exacerbating Eskom’s already strained financial situation. This dire situation not only undermines Eskom’s financial sustainability but also threatens its ability to maintain essential infrastructure, invest in new technologies and meet the growing energy demands of the province,” Eskom said.

According to the national power utility, City Power has “declared a dispute regarding potential overbilling on bulk purchase invoices dating back to 2021”.

“Eskom denies the claims made by City Power and will prove its position through the arbitration process.

“In terms of the electricity supply agreements sanctioned by the Electricity Regulation Act of 2006, if a municipality raises a dispute with Eskom, it must still pay. The dispute does not absolve it of its legal obligations to pay Eskom for the bulk electricity it has received.

“Eskom remains committed to fulfilling its mandate of providing reliable and sustainable electricity to assist in growing the economy of Gauteng, making the province an investment destination of choice,” Eskom said. – SAnews.gov.za

 

NeoB
Tue, 05/07/2024 - 09:16

140 views
Read moreCity Power’s Eskom debt reaches “unprecedented levels”

Government notes strides made in Energy Plan delivery

Location: News

Government notes strides made in Energy Plan delivery

Minister in the Presidency responsible for Electricity, Dr Kgosientsho Ramokgopa, says government is making strides in the delivery of the energy plan unveiled by President Cyril Ramaphosa in July 2022.

Ramokgopa’s remarks comes as the country marks 40 consecutive days of no load shedding.

Ramokgopa attributed this to improvement in structural changes within Eskom, which has seen last year’s anticipated unplanned capacity loss factor reduced from 15 000 megawatts to 14 000 megawatts during the same period. 

“Eskom, by its own admission accepts that the kind of improvement that we have seen is so enduring that we can say to the country that we have clocked back 1000 megawatts compared to the same period of the previous calendar year,” he said.

Updating the media on the progress of the Energy Action Plan (EAP) in Pretoria on Monday, Ramokgopa noted the aggressive rollout of solar photovoltaic (PV) by both industry and households on the back of incentives provided for by the National Treasury. 

READ | Requirements for solar panel incentive explained

“[Due to] the kind of reforms that have been introduced, we are seeing greater numbers of households and industry that are taking up the opportunity to roll out solar PVs behind the meter intervention,” Ramokgopa said.

He also noted that on the back of the fiscal support received from National Treasury, Eskom has been able to invest a significant proportion of time into planned maintenance.

“When we went to December of 2023 transitioning into January 2024, we experienced about 18% of the total generating capacity taken out for planned maintenance, unprecedented in the past three years, as a result of this fiscal support. These concerted efforts are beginning to bear fruits,” the Minister said.

He said the biggest enemy is to ensure that the entity addresses the issue of unit failures, including unplanned capacity loss factor, and efficiency of the units.

Ramokgopa said during the same period in May 2023, unplanned capacity loss factor moved from 16 800 megawatts to about 18 000 megawatts. 

“This recovery and the clawing back of the 7 000 megawatts is something that has been experienced over a period of time [and] in this instance, over a 24-month period. All indications suggest that we will continue to improve on this number,” Ramokgopa said.

To date, unplanned outages from 26 April 2024 have been reduced by about 4 400 megawatts from 15 500 megawatts experienced some time ago.

Upcoming elections

Meanwhile, Ramokgopa disputed the accusations that the improvement in electricity has something to do with the upcoming National and Provincial government elections on 29 May 2024, saying “there’s no correlation between this performance and the date of 29 May."

“When the team was making these efforts; when we ramped up planned maintenance in December and January, little did we know that there would be a big date with a ballot box on the 29th of May.

“This is not staged [or] managed. It is an orchestrated effort, and an engineering feed by the team at Eskom.

“What we know is that UCLF [unplanned capacity loss factor] is tracking at 29% as of April of 2024, as opposed to 34 % of April 2023. We have recovered five percentage points over the period of the same period in April and a comparable period this year in April.

“You do not earn and recover that five percentage points suddenly because a date of an elections has been announced. It is as a result of process mapping in an engineering term; the stabilisation of management; ensuring that we use and deploy this fiscal injection, and identifying candidate stations that can give us the best returns in the shortest possible space of time.” – SAnews.gov.za

GabiK
Mon, 05/06/2024 - 14:48

173 views
Read moreGovernment notes strides made in Energy Plan delivery

Eskom reaches significant milestone in curbing load shedding

Location: News

Eskom reaches significant milestone in curbing load shedding

Minister in the Presidency for Electricity, Dr Kgosientsho Ramokgopa, says the end of load shedding is “within touching distance”.

This after Eskom achieved an Energy Availability Factor (EAF) of 65.5% on Wednesday.

In a post on the power utility's Facebook social media platform, Ramokgopa said: “[This] marks a significant milestone in resolving the energy deficit [load shedding] in the country. Eskom’s achievement of an Energy Availability Factor of 65.5%, last attained in 2021, confirms the success of the aggressive maintenance-led recovery strategy, despite its inherent risks [short-term pain for long-term gain]”.

He added that reaching an EAF of 65.5% validates the viability of the power utility’s fleet and “signifies the most efficient path to ending load shedding”.

“With the proven success of this performance, the focus now shifts to maintaining and enhancing it. The return of Medupi Unit 4 (800MW), Koeberg Unit 2 (980MW) and the synchronisation of Kusile Unit 6 (800MW), a total of 2580 MW in the next 6 months, is a welcomed addition to generation capacity.

“These orchestrated improvements and new capacity means that we have breached peak load shedding. The state-incentivised rooftop solar rollout, on track to reach installed capacity of 6 000MW by year end, is an indispensable part of the energy calculus in the country. Government induced - through a suite of thoroughgoing reforms - private sector sponsored new generation capacity is critical to the attainment of energy sovereignty.

“We have indeed turned the corner, the ending of load shedding is within touching distance,” Ramokgopa said.

Also in a post on the social media platform, X, Eskom said it had now reached 35 consecutive days of no load shedding and highlighted the work done to reach an Unplanned Capacity Loss Factor (UCLF) of just over 10 000MW.

“[Our] UCLF, also known as unplanned outages, has reached 10 966 MW. This achievement by our generation team represents a significant milestone in our Generation Operational Recovery Plan and has contributed to an energy availability factor of 65% since midnight. 

“We are now 35 days into the suspension of load shedding, thanks to our team’s sustained and deliberate efforts,” Eskom said. – SAnews.gov.za

NeoB
Thu, 05/02/2024 - 09:06

344 views
Read moreEskom reaches significant milestone in curbing load shedding

Deputy President Mashatile applauds efforts to keep the lights on

Location: News

Deputy President Mashatile applauds efforts to keep the lights on

Deputy President Paul Mashatile has applauded the Minister in the Presidency responsible for Electricity Dr Kgosientsho Ramokgopa’s leadership in striving to find solutions to power cuts and increasing energy availability.

“It is commendable that we have had four consecutive weeks without power interruptions. We equally commend the Eskom team as led by Mr Dan Morakane in this regard,” he said on Tuesday.  

Deputy President Mashatile made the comments this morning at a dialogue on the role of leadership in fostering economic growth. The session was hosted by the African United Business Confederation (AUBC) in Sandton.

He emphasised that government will ensure that all power stations have the right leaders who will drive the appropriate discipline within those operations. 

“While some think that this is an electioneering strategy, I want to reassure you that this reality is just evidence of improvements in the entity’s operations.”

Last week, Ramokgopa and Eskom leadership attributed the lack of load shedding for over 34 days to sustained available generation capacity and sufficient emergency reserves.

Energy Action Plan

Meanwhile, the Deputy President told delegates that government’s strategy to improve Eskom’s performance has been the implementation of a concerted and deliberate Energy Action Plan (EAP). 

The State, he stressed, remains committed to implementing the EAP’s key interventions. 

These include fixing Eskom, improving the availability of existing supplies, enabling and accelerating private investment in generation capacity, and unleashing businesses and households to invest in rooftop solar energy. 

“Furthermore, we are ensuring that all power stations have the right leaders who will drive the appropriate discipline within those operations.” 

The Deputy President welcomed the changes made over the past 18 months in Eskom’s leadership, saying he believed that with the right skills, talent and experience, South Africa will soon achieve an energy-secure future. 

“We are similarly committed to implementing all necessary steps to maintain the security of our infrastructure, as it is crucial to attaining long-term economic and social goals.” 

Infrastructure Investment Plan

He reminded delegates that in 2020, Cabinet adopted the Infrastructure Investment Plan, which was a demonstration of government’s commitment to infrastructure development. 

The plan includes projects from government, state-owned enterprises (SOEs) and the private sector in six sectors. These comprise energy, water and sanitation, transport, digital infrastructure, human settlements, as well as agriculture and agro-processing. 

“We are certain that these ambitious projects will boost the economy and reduce unemployment.” – SAnews.gov.za

 

Gabisile
Tue, 04/30/2024 - 12:52

331 views
Read moreDeputy President Mashatile applauds efforts to keep the lights on

Warning against putting up election posters on electrical structures

Location: News

Warning against putting up election posters on electrical structures

Eskom has cautioned political parties against putting up election posters on electrical structures as part of their campaigns due to the risk of electrocution.

As South Africa is getting ready to host the 2024 General Elections on 29 May 2024, political parties are putting up election posters as part of their campaigns.  

“In the past, there have unfortunately been incidents where persons have been electrocuted or shocked when putting up these posters.  As such, Eskom would like to caution all political parties against the dangerous practice of placing campaign posters on electrical structures.

“This includes electricity poles, electricity towers, meter boxes and mini substations.  Electricity is invisible to the naked eye and the risk is that when someone gets close to or touches them it may result in an inadvertent flash-over or electrical contact. This can cause serious injuries to the person or even be fatal,” Eskom said in a statement on Saturday.

Only authorised personnel are allowed to climb or work on these electrical structures. 

According to Section 19 (5) of the Electrical Machinery Regulations, "No person shall encroach in person or with objects on the minimum safety clearances required in terms of sub-regulation (1) or require or permit any other person to do so except by permission of the supplier or user operating the power line.”

“Attaching posters to an electrical structure is not only a contravention of the Occupational Health and Safety Act (No.85 of 1993), but also puts the lives of your valuable employees, members of the public and volunteers at risk. Eskom cares about your safety and we request you to refrain from attaching posters to electrical structures to prevent injury or loss of lives,” the power utility said. –SAnews.gov.za

nosihle
Sun, 04/28/2024 - 12:28

216 views
Read moreWarning against putting up election posters on electrical structures

Stage 2 load shedding anticipated for winter 2024

Location: News

Stage 2 load shedding anticipated for winter 2024

Eskom anticipates that load shedding will likely be “maintained within Stage 2” this winter period.

This is according to the power utility’s Group Chief Executive Dan Marokane, who was speaking during the State of the System and Winter Outlook media briefing held at Megawatt Park on Friday.

He said the forecast was made on the anticipation of the Unplanned Capacity Loss Factor (UCLF) reaching 14 000MW during winter – down from the anticipated 15 000MW during the same period last year.

The UCLF is the rate at which generating units breakdown and do not perform optimally.

“For winter 2024… the likely scenario from our assumptions is that load shedding will be maintained within Stage 2 at most. In the extreme case where the unreliability increases, that component may go occasionally [to] Stage 5 but we really think that on the basis of what we see, the performance of the fleet, load shedding will stay within Stage 2.

“This is on the back of the decrease of the backline unreliability capacity reduction of 1 000MW which is what we use for our baseline assumptions,” he said.

Marokane said although the reduction may look minimal, it is critical for managing the intensity of load shedding.

“What is really important as we go into this season’s forecast is that the base level for UCLF number is lower by a 1000MW. When you understand the capacity that we have, it does not look as a big number but when you actually understand the implications in terms of the levels of load shedding, to be able to bank that capacity is an important aspect,” he said.

The CEO explained that the power utility has been hard at work to lower the UCLF.

“When you look at the time period between the last winter and now, you can actually see the reduction in unplanned losses – a 9% drop. It is mostly coming from the priority stations that were targeted as focal points.

“We also have the benefit of the early return of the four Kusile [Power Station] units that were out. The losses are averaging around 14.2GW. Our focus on targets in this financial year is to keep this below 14GW. This is where the first capacity release is coming from. The decline… is not as fast as we want to [and] our focal point this year is to deal with six or seven key areas that causes unreliability and once we tackle them we should be able to see ourselves comfortably at lower levels than this,” he said.

Marokane insisted that the power utility will be digging their boots in deeper this winter to further reduce losses at power stations.

He urged South Africans to do their part by using electricity efficiently and sparingly this winter.

“Over the winter period, work continues and we are targeting to reduce the unplanned losses by a further 1.7GW. This will be made up of 1.3GW from partial load loss reduction but also…demand side management initiatives are also underway.

“Our ability to beat load shedding this winter still depends on our collective collaboration and to this extent, we’ll be launching the energy saving campaign this May asking all of us to play our part in this regard,” Marokane said. – SAnews.gov.za

NeoB
Fri, 04/26/2024 - 13:18

334 views
Read moreStage 2 load shedding anticipated for winter 2024

Invest in Africa Energy (IAE) 2024 to Showcase Southern Africa’s Energy Market Growth

Location: News

Energy Capital & Power
Download logo

A dedicated roundtable at the upcoming Invest in Africa Energy (IAE) 2024 forum in Paris will shine a spotlight on Southern Africa, with a focus on South Africa, Mozambique, and Namibia. The region boasts new discoveries in the oil and gas sector, abundant renewable resources, and promising potential for hydrogen prospects. This makes it an attractive destination for investors keen on leveraging these resources for capital growth.

During the two-day forum, delegates will gain insights into Southern Africa's status as a frontier market with first-mover advantages. From South Africa's mineral-rich terrain to Zambia's hydroelectric potential, Mozambique's liquefied natural gas (LNG) prospects and Namibia's untapped offshore reserves, the region offers diverse opportunities poised to fuel development.

Organized by Energy Capital & Power, IAE 2024 (https://apo-opa.co/3UMOOtQ) is an exclusive forum designed to facilitate investment between African energy markets and global investors. Taking place May 14-15, 2024 in Paris, the event offers delegates two days of intensive engagement with industry experts, project developers, investors and policymakers. For more information, please visit www.Invest-Africa-Energy.com. To sponsor or participate as a delegate, please contact sales@energycapitalpower.com.

Panelists include Godfrey Moagi, Chief Executive Officer, SANPC; Antoine Berel, Vice President Sub-Saharan Africa (South), Halliburton; Calib Cassim CFO Eskom, Paul Eardley-Taylor, Oil and Gas Coverage Southern Africa, Standard Bank and Dr. Sama Bilbao y León, Director General, World Nuclear Association. The session will be moderated by Olivier Barbeau, Managing Partner, Moore South Africa.

Namibia's recent deepwater discoveries, including Graff-1X, Venus-1X, La Rona-1X, Jonker-1X, Lesedi-1X, Mopane-1X & 2X, Mangetti-1X, and its most recent Enigma-1X, have intensified exploration activities within the Orange Basin. Although significant potential exists, substantial investment is need to fully develop these resources for commercialization. Recently, Namibia's Minister of Finance announced that by the end of 2024, Namibia anticipates a final investment decision from multinational energy companies, TotalEnergies for its Venus-1X discovery and Shell for its Graff-1X discovery. This is a step towards accelerating oil production, set for 2029.

With two major LNG projects underway — TotalEnergies' Mozambique LNG and ExxonMobil's Rovuma LNG — Mozambique has solidified its position as a key player in both the Southern African and global gas markets. Moreover, Mozambique made significant strides by exporting its inaugural LNG cargo to Europe in 2022, facilitated by Eni's Coral Sul floating LNG facility. With robust trade agreements in place and a growing capacity, Mozambique presents a dependable and burgeoning gas market. With over 100 trillion cubic feet of proven reserves, the nation offers ample opportunities for gas exploration, production, transportation, storage, and utilization projects.

Meanwhile, South Africa's Renewable Independent Power Producer Programme (REIPPP) is expanding renewable energy capacity. Bid Window 7, launched in January 2024, aims to acquire 3.2 GW of onshore wind and 1.8 GW of solar photovoltaic projects. Integration into the grid will address power deficits and boost energy security. Private sector developers can seize this opportunity, secure contracts, and establish themselves in South Africa's growing renewable energy market.

Distributed by APO Group on behalf of Energy Capital & Power.

Read moreInvest in Africa Energy (IAE) 2024 to Showcase Southern Africa’s Energy Market Growth

Energy Action Plan, Eskom Generation Operational Recovery bearing fruit

Location: News

Energy Action Plan, Eskom Generation Operational Recovery bearing fruit

Eskom’s performance over the past three weeks – which has seen no load shedding being implemented – is a result of concerted and deliberate plans by the power utility and government to deal with load shedding.

This according to Minister in the Presidency for Electricity, Dr Kgosientsho Ramokgopa, who was briefing the media on the implementation of the Energy Action Plan on Monday.

“The kind of progress that we are seeing today is largely as a result of the exceptional work that has been done by the team at Eskom. We are turning the corner and making significant strides to ensure that finally we get to see the back of load shedding. Of course we are not yet out of the woods.

“There’s been significant recovery as a result of the execution of the Generation Operational Recovery Plan…[and] as a result of, first, at the national level, the Energy Action Plan,” he said.

Ramokgopa added that there have been “phenomenal improvements in relation to the unplanned capacity loss factor” during the past week.

“We are beginning to see the kind of improvement that we are desiring. The period of March, the Unplanned Capacity Loss Factor [UCLF] – the rate at which we are losing these units, the rate at which these units are not efficient – is coming down.

“The baseline of May [2023], we were sitting at about 18 000MW, we are bringing it down. The average of the week from the 8 to 12 April [2024], we were sitting at about 13 900MW. The week after, again at 14 000MW. Today, we are still at about 13 000MW. We want to maintain that…even bring it sub-13 000MW but it’s a function of a steady, orchestrated and deliberate effort on the part of Eskom,” he said.

The Minister emphasised that although the improvements are commendable, focus is still firmly on the work that still needs to be done.

“We are keeping focus on the bouncing ball, the resolution of load shedding. I must emphasise that in the nature of this space, you are likely to have setbacks. We are still working on the reliability of these machines and that’s why you can’t speak with great confidence that load shedding is behind us.

“We are making the kind of progress that, in many instances, far exceeds where we thought we will be, but we are not yet where we want to be,” he said.

Renewable energy

Minister Ramokgopa highlighted that the Energy Action Plan is also beginning to bear fruit which is exemplified in the contribution of renewable energy projects.

“We are seeing exceptional performance of renewables. As a result of the reforms that the state has introduced...the contribution of renewables is on the back of state incentives. It's part of that orchestrated plan. If you go to the Energy Action Plan, outcome number four stated explicitly that part of this Energy Action Plan is to ensure that we accelerate the rollout of roof top solar solutions for both households and industries.

“When we are out of this load shedding situation, we will still encourage people to rollout rooftop solar solutions because we want to reduce our reliance on fossil fuels and we want to ensure that households, small and large industries contribute to this green transition we have committed to,” he said.

Prospective view

The Minister said the prospects in the immediate future look bright with several generating units coming back online over the next coming months.

“We are on track to recover Unit 4 of Medupi [Power Station] and that will be coming on stream in September of this year. We are on track to ensure that we return – as part of the extension of the life of our only nuclear power station – Koeberg Unit 2…we are confident that we will return it in September 2024. We are confident of synchronising Kusile [Power Station] Unit 6 in October of this year.

“In the next six months, we are going to get an additional 2580MW just on the Eskom fleet. We will continue to ensure that we sustain these efforts of improved performance,” Ramokgopa said. – SAnews.gov.za

 

NeoB
Mon, 04/22/2024 - 11:38

161 views
Read moreEnergy Action Plan, Eskom Generation Operational Recovery bearing fruit

Load shedding continues to be suspended

Location: News

Load shedding continues to be suspended

Power utility Eskom says although reaching 21 days without load shedding is a milestone, it remains committed to ultimately eliminating the rotational power outages.

Eskom has kept the lights on for at least 535 hours – a feat last achieved nearly two years ago.

“This is a result of sustained generation capacity, adequate emergency reserves, and reduced electricity demand from the grid. The last time Eskom achieved a similar milestone was in June 2022, with 20 consecutive days without load shedding.

“While Eskom acknowledges this milestone, it remains committed to the continued implementation of its Generation Operational Recovery Plan to reduce and ultimately eliminate load shedding,” the power utility said.

By Wednesday, unplanned outages at power stations stood at some 14 264MW, with a further 5 370MW unavailable due to planned maintenance.

“Eskom Power Station General Managers and their teams are working diligently to ensure the recovery of additional generating capacity by bringing units from unplanned outages and planned maintenance back into service as soon as possible.

“A total of 2 070MW of generating capacity is planned to be returned to service by Friday,” Eskom said.

The power utility thanked South Africans who are using electricity sparingly.

“We would like to thank those who heed the call to use electricity sparingly and efficiently, including switching off geysers and pool pumps from 5pm to 9pm or during load limiting. This lowers demand and helps alleviate the pressure on the power system, contributing to lower stages of load shedding,” Eskom concluded. – SAnews.gov.za

NeoB
Thu, 04/18/2024 - 09:10

493 views
Read moreLoad shedding continues to be suspended

Eskom’s interventions to improve energy supply commended

Location: News

Eskom's interventions to improve energy supply commended

Minister in the Presidency responsible for Electricity, Dr Kgosientsho Ramokgopa, has commended the interventions implemented by Eskom, which have contributed to the improvements of the country’s energy supply security.

“These interventions come on the back of the Energy Action Plan... It is [like] an accumulation of these efforts over a period, which is now going close to two years,” Ramokgopa said on Tuesday.

Briefing media on the implementation of the Energy Action Plan, Ramokgopa said some of Eskom’s interventions include the improvement of plant conditions, the establishment of the War Room, increased governance controls, aggressive cost cutting, environmental compliance, and achieving coal stock days, amongst others.

Ramokgopa attributed the ramping up of planned maintenance to Eskom's leadership, and those who have volunteered their skills and services to serve the country.  

“The ramping up of planned maintenance is very important. If you look at the period December 2023, going into January of 2024, we took out 18% of the total generation capacity - about 9 000 megawatts at a go, for planned maintenance. 

“We are beginning to see these machines coming back into service. They are coming back on load and adding to the capacity of the grid, and this is helping us to address the demand. More of these machines would come on stream as we go towards the winter period,” Ramokgopa said.

The Minister said the establishment of the War Room was to ensure that Eskom can focus on dealing with planned maintenance.

On addressing the issues of inadequate capacity, the Minister re-emphasised that Eskom is not a "silver bullet", and that the country’s problems with loadshedding will not be solved by Eskom alone. 

“Eskom is a major player in the short-term, and I think [we] need additional generation capacity, hence the need to expedite that engagement with independent power producers to the extent that Eskom can make a contribution [and] we are able to get them on stream, [and] on loan, as soon as possible.”

Ramokgopa stressed the importance of ensuring that the entity gets the right people into the right positions.

“We also accepted that there’s a need, from time to time, to draw from external experts in areas of deficit in relation to expertise. We... also [have] to ensure that there [is] a culture of accountability and consequence management, whereby when people commit to a certain target, and if those targets are not met, first we try to assist, then [we] need to ensure [we] introduce consequence management,” the Minister said.

Highlighting some of the success achieved so far, Ramokgopa reported that National Treasury has relaxed some requirements, which will speed up procurement.

“The allocation of outage budgeting has improved, leading to improved outage readiness. We are receiving a lot of collaboration among external stakeholders with a willingness to assist Eskom,” Ramokgopa said.

Medupi Unit 4 is on track to be commissioned in August

Meanwhile, Ramokgopa announced that Medupi Power Station Unit 4 is on track to be commissioned in August 2024, following the delivery of a second-hand generator stator last month.

“The second-hand generator stator was delivered to Medupi Power Station on 5 March 2024. The unloading from the multi-axle vehicle was successfully executed on 11 March 2024.

“Koeberg unit 2 is on track to return to service in September 2024, and Kusile unit 6 is planned to synchronise in September 2024.  Kusile remains on track with units synchronising between November 2024 and April 2025,” the Minister said.

The Minister also noted that the coal stockpiles are at healthy levels and none of the stations are below compliance required levels. – SAnews.gov.za

GabiK
Tue, 04/09/2024 - 12:46

55 views
Read moreEskom’s interventions to improve energy supply commended

Cape storms leave some without electricity

Location: News

Cape storms leave some without electricity

Eskom says extreme weather conditions in the Western Cape have caused faults in the network, leaving some customers in the province without power.

The storms caused infrastructure damage and further severe weather warnings led to the temporary closure of schools in the Cape Winelands and Overberg districts.

“Parts of the network experienced minor structural damages leading to loss of supply to a number of areas. Those mainly affected are Beaufort West, Kraaifontein, Khayelitsha, Klawer and surrounding farms, Kylemore, Gordon's Bay, Sir Lowry's Pass, Somerset West, Stellenbosch farms and Vredendal.

“The electricity network remains vulnerable as parts of the province continue to experience gale-force winds, heavy rain and thunderstorms. This has created challenges to electricity restoration efforts creating a backlog. However, customers are assured that Eskom technicians are braving the bad weather to attend to these faults in order to safely restore electricity as soon as possible,” Eskom said.

The power utility urged customers to be patient as it attempts to restore power.

“Eskom urges customers to remain patient and can expect prolonged periods without electricity supply. Customers are encouraged to download the MyEskom Customer App, which is available on the iStore and Google Play Store or use the Alfred Chatbot on the Eskom website to log fault.

“The MyEskom Customer App and the Alfred Chatbot allows users to log a fault instantaneously and immediately provides a reference number needed to track progress on the fault. Alternatively, customers can contact the Share Call number at 08600 37566. Eskom wishes to apologise for any inconvenience caused,” Eskom said. – SAnews.gov.za

 

NeoB
Mon, 04/08/2024 - 14:38

199 views
Read moreCape storms leave some without electricity

Globeleq to build Africa’s largest standalone battery energy storage system in South Africa

Location: Business

British High Commission Pretoria
Download logo

UK company Globeleq, the leading independent power company in Africa, today announced that its Red Sands project in the Northern Cape has been awarded Preferred Bidder status in South Africa's Energy Storage Capacity Independent Power Producer Procurement Programme (ESIPPPP). Globeleq is majority-owned by British International Investment (BII), the Development Finance Institution of the UK Government.

Battery storage is an essential enabler of renewable-energy generation, and the market for these systems is growing rapidly in South Africa and worldwide as a means of resolving energy crises and tackling climate change. These systems provide reliable power supply on demand, even when the energy grid is unstable, overcoming the challenges of intermittent wind and solar sources. They store energy at times of excess generation so that it can be released into the grid when generation falls short of demand, helping to mitigate the need for load-shedding.

Experts say that widespread energy storage is vital to expanding the reach of renewables and speeding the transition to a carbon-free power grid - this is key to helping reduce South Africa's reliance on fossil fuels as it seeks to transition to clean energy. This R5.7 billion (US$300 million) investment therefore represents a flagship project financed by the UK as part of its commitment under the Just Energy Transition Partnership agreed at COP26.

The Red Sands project is in the Northern Cape, about 100km southeast of Upington, and was originally developed by African Green Ventures, a South African renewable project development company owned by Norwegian based energy firm Magnora ASA. The project will cover approximately 5 hectares (12 acres) and will connect to the grid through the Eskom Garona substation. The substation will be upgraded by the Red Sands project to ensure that full network support capabilities of the project's batteries can be utilised.

Working closely with leading global battery and balance-of-plant suppliers, Globeleq estimates that the project will require an investment of approximately US$300 million and will take 24 months to construct after financial close, which is expected in 2024.

Globeleq is the largest independent power produce in Africa, providing nearly 1,800 MW of energy in South Africa, Mozambique, Kenya, Tanzania, Cote d'Ivoire, Egypt and Cameroon. Globeleq is a UK company based in London and backed entirely with Official Development Assistance (UK aid).

Red Sands will be Globeleq's first Battery Energy Storage Solutions (BESS) project in South Africa but the Group owns and operates a combined solar and BESS plant at Cuamba in Mozambique, and is developing BESS projects across the African continent. Globeleq also owns and operates 8 renewable plants (6 solar PV, 2 wind) in South Africa with a total generating capacity of 384 MW.

Mike Scholey, Globeleq's CEO commented:

"I am delighted that we have received Preferred Bidder status for this very important project, and I look forward to working with the government and our partners to take Red Sands to financial close and into operations. Electricity storage is going to be key not only in helping South Africa meet its considerable industrial and domestic demand for energy but also across Africa as more renewable energy projects benefit from the advances our industry has made with BESS technology."

British High Commissioner to South Africa, Antony Phillipson said:

"This is a significant investment in South Africa's future. The UK is proud to play such a vital role in helping to tackle the energy crisis with new technology that will bring power supply stability and most importantly support South Africa's ambition to reduce carbon emissions."

Distributed by APO Group on behalf of British High Commission Pretoria.

Read moreGlobeleq to build Africa’s largest standalone battery energy storage system in South Africa

House, vehicles of former Eskom official to be auctioned

Location: News

House, vehicles of former Eskom official to be auctioned

The luxury home and two vehicles belonging to former Eskom official, Duduzile Moyo, and her husband Mmoloki, are set to be auctioned off to recover losses suffered by Eskom after she allegedly received kickbacks from a supplier amounting to at least R24 million.

The Special Investigating Unit (SIU), through the Asset Forfeiture Unit, obtained a forfeiture order for the assets in the Pretoria High Court.

According to the SIU, the order is in addition to a preservation order to freeze Moyo’s pension benefits after she resigned at Eskom.

“She had allegedly received almost R25 million from an Eskom vendor, Tamukelo Business Enterprise, which was appointed to transport raw materials and water from Kendal Power Stations to Kusile Power Station.

“In her position as Eskom Contracts Manager, Moyo signed 23 interim payment certificates in respect of Tamukelo’s services for the period December 2011 to July 2014, totalling approximately R138 million.

“Furthermore, the SIU probe revealed that Tamukelo and its representatives paid entities linked or associated with Moyo while she negotiated and managed Eskom’s contract with Tamukelo. Moyo’s modus operandi was to create structures of entities owned by members of her family and friends to receive these funds,” the SIU said.

The unit added that Moyo’s conduct created an “apparent conflict of interest in that she received these funds in circumstances where part of her duties and functions were as a Middle Manager”.

“Moyo was also part of a team that presented the negotiation strategy of the Tamukelo tender worth over R300 million to the tender and procurement committee. She also deceived Eskom and repeatedly made fraudulent misrepresentations, declaring that there was no conflict of interest when dealing with Tamukelo and other role players for five years when signing Eskom’s Annual Declaration of Conflict Interest Policy.

“This forfeiture order is part of implementing the National Anti-Corruption Strategy, which sees law enforcement agencies working together to eradicate corruption in South Africa,” the SIU said. – SAnews.gov.za

NeoB
Wed, 04/03/2024 - 12:46

864 views
Read moreHouse, vehicles of former Eskom official to be auctioned

Eskom applies electricity tariff increase

Location: News

Eskom applies electricity tariff increase

The price of electricity will increase this week, following Eskom’s implementation of its new electricity tariff of between 12.72% and 12.74%. 

This after the National Energy Regulator of South Africa (NERSA) determined the increases in December last year.

The increases are as follows:

  • Local authority tariff charges: 1 July 2024 – 30 June 2025: 12.72%
  • Eskom direct customers: 1 April 2024 – 31 March 2025:
    • All tariff charges except the affordability subsidy charge: 12.74%.
    • Homelight 20A: 12.74%.
    • Affordability subsidy charge: 25.24%

“The average increase applied to the key industrial and urban tariffs will be 13.29% due to the increase in the affordability subsidy charge. The affordability subsidy charge is raised as a subsidy to the Homelight 20A tariff and is determined by NERSA. This charge exists due to historically lower Homelight 20A tariff increases and is paid by the non-municipal large industrial and urban tariffs.

“There are no tariff structural changes for 2024/25, however, Eskom is considering a tariff restructuring submission to NERSA for implementation in 2025/26,” the power utility said. – SAnews.gov.za

NeoB
Tue, 04/02/2024 - 09:34

1471 views
Read moreEskom applies electricity tariff increase

Presidency releases Energy Action Plan update

Location: News

Presidency releases Energy Action Plan update

The Presidency has released the 18-month update on the implementation of the Energy Action Plan (EAP).

The EAP was introduced by President Cyril Ramaphosa in July 2022 and is coordinated by the National Energy Crisis Committee under the leadership of Electricity Minister, Dr Kgosientsho Ramokgopa.

The EAP’s key interventions are to:

  • Fix Eskom and improve the availability of existing supply.
  • Enable and accelerate private investment in generation capacity.
  • Fast-track the procurement of new generation capacity from renewables, gas and battery storage.
  • Unleash businesses and households to invest in rooftop solar.
  • Fundamentally transform the electricity sector to achieve long-term energy security.

The President’s spokesperson, Vincent Magwenya, said the EAP update highlights “significant progress” made.

“The detailed update on the Energy Action Plan shows that significant progress has been achieved over the last six months in implementing government’s plan to end load shedding.

“Government is working towards the full implementation of the Energy Action Plan to bring an end to load shedding once and for all,” he said.

Magwenya highlighted some of the milestones made over the past six months.

“Some of the achievements achieved in the past six months include the return of the three units at Kusile Power Station months ahead of schedule, the amount of rooftop solar installed by businesses and households, more than doubling to over 5 000MW, helping to reduce demand on the grid.

“In December, three further Independent Power Producer [IPP] bid windows were released for 7 615MW of new capacity from solar, wind, gas and battery storage,” Magwenya said.

Other key milestones reached include the following:

  • Eskom has launched the Cross Border Standard Offer Programme (CBSOP), which will procure up to 1000 MW in additional power from neighbouring countries for a period of three years.
  • The first project from Eskom’s Battery Energy Storage System (BESS) programme has been connected to the grid, and will provide 100 megawatt hours (MWh) of storage capacity. Seven other projects are in construction as part of Phase 1 of the programme, which will together provide a total of 833MWh of capacity.
  • An additional 3 400MW of grid capacity has been immediately unlocked in the Cape region through the implementation of curtailment, which enables Eskom to fit more generation capacity onto the grid.

The full report can be accessed on this link https://rb.gy/0ebd2b.

Meanwhile, Eskom has suspended load shedding until Sunday.

“Due to the sustained available generation capacity and the planned return to service of 2 300MW of generation capacity by Friday, along with the anticipated low demand over the long weekend, load shedding will remain suspended until Sunday at 4pm.

“Eskom will provide an update for the week ahead on Sunday afternoon or communicate should any significant changes occur,” the power utility said on social media platform, X. – SAnews.gov.za

NeoB
Thu, 03/28/2024 - 08:03

660 views
Read morePresidency releases Energy Action Plan update