12 °c
London
Thursday, October 5, 2023
No Result
View All Result
FurtherAfrica
  • Countries
    • Angola
    • Botswana
    • Cape Verde
    • DRC
    • Eswatini
    • Ethiopia
    • Kenya
    • Malawi
    • Mauritius
    • Mozambique
    • Namibia
    • Nigeria
    • Rwanda
    • South Africa
    • Tanzania
    • Uganda
    • Zambia
    • Zimbabwe
  • Interviews
  • Understanding
  • Videos
  • Travel
  • Weekend
  • About
FurtherAfrica
  • Countries
    • Angola
    • Botswana
    • Cape Verde
    • DRC
    • Eswatini
    • Ethiopia
    • Kenya
    • Malawi
    • Mauritius
    • Mozambique
    • Namibia
    • Nigeria
    • Rwanda
    • South Africa
    • Tanzania
    • Uganda
    • Zambia
    • Zimbabwe
  • Interviews
  • Understanding
  • Videos
  • Travel
  • Weekend
  • About
No Result
View All Result
FurtherAfrica
No Result
View All Result
Home Africa

Will Mozambique gas be SA’s saviour?

FurtherAfrica by FurtherAfrica
July 27, 2016
in Africa, Development, Economy, Energy, Gas, Infrastructure, Mozambique, Natural Resources, SADC, South Africa
Reading Time: 3 mins read
0 0
0

This source of electricity is cheaper and cleaner than coal, it would complement the use of renewable energy, such as solar, and would draw investors to South Africa’s shores

It has emerged that gas could be a possible game-changer for investors as it holds great potential for the future of the economy in South Africa.

Globally, 20% of electricity is generated by gas, but in South Africa its use is minuscule.

However, investors, such as Siemens, believe that with gas from Mozambique easily accessible, the form of energy could provide the base load answers South Africa is looking for, especially to complement its successful Independent Power Producer Procurement Programme.

In recent months, government and Eskom have been quite vocal about the shortcomings regarding renewable energy when it comes to providing base load power.

Eskom’s group executive head of transmission, Thava Govender, said solar photovoltaics faded at 5pm, just as South Africa needed peak power for the evening.

“We need more flexible power generation,” he said at the Power-Gen and DistribuTech Africa conference in Johannesburg last week.

Siemens’ head of gas for Africa, Andreas Pistauer, believed that this was where gas might be able to step in and complement renewables.

He told City Press that gas and renewables made the perfect couple.

“Gas can be a huge benefit to South Africa,” he said. “Renewable power generation works well during the day, but not at night. You need some flexible power, and gas can be the answer.”

He believed that South Africa was on the right track with its gas-to-power programme, which is expected to launch next year.

While a coal-fired power plant required several hours and copious amounts of energy to start up, a gas power plant could take only 25 minutes to move to full load capacity, Pistauer said.

“It complements renewables, there is something available fast,” he said. “It fills the empty power valleys at night, when renewables are not producing.”

Pistauer said South Africa’s renewable power procurement programme had shown what could be achieved in South Africa, and had given gas investors the confidence to flock to South Africa’s shores. But the ball was in South Africa’s court to make that investment happen.

Government has also undertaken to procure 3 126 megawatts of gas-fired power generation capacity, eyeing the abundant natural gas field in neighbouring Mozambique as the supplier.

In addition, the energy department announced a new 600MW gas-fired power generation project, which will be developed as a public-private partnership. The additional capacity is broadly viewed as an incubator to get local companies involved in the power procurement programme.

Energy department spokesperson Maropeng Ramokgobathi told City Press the gas-to-power project was on track. He said the preliminary information memorandum would be released soon. The request for qualification would go out in September, and a request for proposals would go out in March.

Silas Zimu, special energy adviser to President Jacob Zuma, said there was a process that needed to be followed for the gas programme to go ahead.

“The expression of interest only closed last month,” he said. “We requested prices, so that we could learn what the market can give us.”

Pistauer said new coal power stations, such as Medupi and Kusile, cost about $2 500 (R35 600) per kilowatt and gas power stations cost only $750 per kilowatt.

“That is relatively cheap,” he said.

Estimates by the energy department show that private sector investment in the gas-to-power programme could be as high as R64 billion over the next four to five years.

Natural gas is a far more environmentally friendly fuel than coal, and also much cheaper than oil. New combined cycle gas turbine power stations produce less than half the carbon emissions of new coal plants and 30% less CO2 emissions than the diesel or petrol equivalent, helping South Africa bring down its emissions.

Pistauer said a new power station built in Düsseldorf, Germany, recently broke three world records as the most efficient and environmentally friendly gas-fired power plant in the world.

The state-of-the-art facility, which began operating this year, burns natural gas with an overall efficiency rate of 85%.

Alap Shah, vice-president and technology manager at global engineering firm Black & Veatch, said it took between three and five years to get a plant up and running. Like Siemens, Black & Veatch also has its eye on South Africa’s gas-to-power independent producer projects.

But the programme does not have a clear road ahead. There are concerns about whether Eskom would be able to buy the power generated from the new independent producer projects, as well as whether transmission infrastructure can keep up with the new players.

Source: City Press

Related

Tags: Black & VeatchEnergy departmentENHEskomGasGas to PowerLNGMaropeng RamokgobathiMozambiqueNatural Gasrenewable energyrenewablesSiemensSilas ZimuSouth Africaモザンビーク南アフリカ、モザンビーク南非,莫桑比克莫桑比克
FurtherAfrica

FurtherAfrica

Founded in 2015 FurtherAfrica is an online platform centralising news and content focusing on the development and growth story of the African continent.

Related Posts

Agriculture

The Gambia and AfDB to boost rice output and uplift youth and women entrepreneurs

by Farmers Review Africa
October 4, 2023
Mining

Tanzania’s race to ink multimillion dollar mining deals

by The Exchange
October 4, 2023
Agriculture

Dimitra applying blockchain to redefine agriculture in Africa

by Web3Africa
October 4, 2023
Energy

TotalEnergies given greenlight to drill offshore South Africa

by Energy Capital & Power
October 4, 2023
Development

AfDB and Google team up to speed up Africa’s digital transformation

by The Exchange
October 4, 2023
Mozambique eVisa
 
MozParks

Translate this page

Read the Latest

Agriculture

The Gambia and AfDB to boost rice output and uplift youth and women entrepreneurs

by Farmers Review Africa
October 4, 2023
0

Gambian President Adama Barrow and African Development Bank Group head Dr Akinwumi Adesina pledged last week to work together to...

Read more

Tanzania’s race to ink multimillion dollar mining deals

October 4, 2023

Dimitra applying blockchain to redefine agriculture in Africa

October 4, 2023

TotalEnergies given greenlight to drill offshore South Africa

October 4, 2023

AfDB and Google team up to speed up Africa’s digital transformation

October 4, 2023

FurtherAfrica Partners Network

The Exchange Farmers Review Africa 360 Mozambique
TechGist Africa Energy Capital & Power Club of Mozambique
Taarifa Rwanda Web3Africa See Africa Today
Africa Global Funds Novafrica CrudeMix Africa
Harambee Africa Botswana unplugged Financial Insights Zambia
O Económico Digilogic Africa  

Subscribe to FurtherAfrica

Enter your email address to receive new articles on your email.

Join 107.3K other subscribers
FurtherAfrica

© 2021 FurtherMarkets

FurtherAfrica is a FurtherMarkets Limited platform

  • Countries
  • Interviews
  • Understanding
  • Videos
  • Travel
  • Weekend
  • About

Follow Us

No Result
View All Result
  • Countries
    • Angola
    • Botswana
    • Cape Verde
    • DRC
    • Eswatini
    • Ethiopia
    • Kenya
    • Malawi
    • Mauritius
    • Mozambique
    • Namibia
    • Nigeria
    • Rwanda
    • South Africa
    • Tanzania
    • Uganda
    • Zambia
    • Zimbabwe
  • Interviews
  • Understanding
  • Videos
  • Travel
  • Weekend
  • About

© 2021 FurtherMarkets

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.
Are you sure want to unlock this post?
Unlock left : 0
Are you sure want to cancel subscription?