Weekly projects and energy updates in South Africa

Too much money, not enough green projects in Africa

There is more capital than there are ready renewable projects in Africa, according to the African Development Bank.

Speaking at the World Economic Forum on Africa in Durban, Amadou Hott, African Development Bank’s vice-president, said the continent was the most impacted by climate change yet it was not accessing the funds available for green projects. These projects could accelerate the economy.

Engineering News, 5 May 2017

Challenged renewable energy sector growing rapidly in Africa

The renewable-energy sector has grown rapidly in the last four years and has delivered over 5000 MW in South Africa alone, owing to the completion of about 80 renewable-energy projects, says financial services company Thomson Reuters.

“Renewables will receive considerable attention at African Utility Week and in Africa’s energy sector in the future. This is a topic that must be discussed as other kinds of projects like coal-fired generation have not delivered anywhere near that much in the last four years,” says Thomson Reuters Africa market development head Robert Fish.

Although renewables projects are looking attractive from an investor perspective and are “probably going to be the future”, he warns that a balanced combination of traditional energy sources is needed to ensure that Africa meets its energy production targets.

Engineering News, 5 May 2017

Eskom settles out of court over Astral power

Eskom has brokered a deal with poultry producer Astral to give the company uninterrupted power despite the base of its operations, Lekwa Local Municipality, owing Eskom millions of rands for electricity.

Municipalities that have also faced interruptions administer services to at least 26 towns — including Ventersdorp, Richmond, Witbank, Ermelo and Bloemhof.

These municipalities owe Eskom about ZAR10 billion.

Business Day, 4 May 2017

New minister Mmamoloko Kubayi promises nuclear transparency and participation

Energy Minister Mmamoloko Kubayi has committed her department to public participation and transparency around the nuclear procurement programme.

In her first public comments since taking office, the minister told members of Parliament’s energy portfolio committee that she did not have any problems with last week’s Western Cape High Court judgment insofar as it stressed the need for public participation.

Judge Lee Bozalek declared that the determinations gazetted by former minister Tina Joemat-Pettersson were unconstitutional and unlawful because the National Energy Regulator of SA (NERSA) had not followed the legal prescripts with regard to public participation.

Business Day, 2 May 2017

The above reflects a summary of certain news articles published during the preceding week. It is not an expression of opinion in respect of each matter, nor may it be considered as a disclosure of advice by any employee of Hogan Lovells.