Sponsored by Eskom and the Department of Science & Technology
VOLUME 14 NUMBER 2 www.erc.uct.ac.za JUNE 2008
Cabinet-mandated long-term mitigation scenario study
limate change and its impacts interventions. Thus, in response to has become one of the scientific realities, we are faced with IN THIS ISSUE Cbiggest global challenges that two choices – we, our children and our grandchil- • One: we could simply continue on dren will face. We understand that it a business as usual path and Cabinet-mandated long-term would not be economically, environ- hope that every other country mitigation scenario study ...... 1 mentally or politically sustainable for does not follow the same route; or South Africa to continue to grow •Two: we can actively encourage SA German school powered by along a business-as-usual path, in ‘business unusual’ and trust that the sun ...... 2 other words, without a carbon con- our actions, taken together with Modelling bioenergy in rural straint. the actions of other responsible Southern Africa ...... 3 Although South Africa has con- nations, will provide the neces- tributed, and continues to contribute, sary leverage to ensure commit- Energy Efficiency Awareness a relatively small amount to the glob- ted and active global interventions Road Show in Durban ...... 4 al greenhouse gas emissions that are to address the challenge of cli- World Day to Combat the cause of climate change, we are mate change. Desertification ...... 5 far from blameless. Emissions from The choice seems obvious. Yet, it our coal-based electricity production would be hugely irresponsible for us Survey on the generation capacity crisis in South Africa. . . 5 are substantial. We have used the to implement an ill-informed strategy privilege of cheap electricity not that could have dire consequences What has load shedding meant responsibly. We have become one of for our people and economy, espe- for the events industry? ...... 6 the most energy-inefficient countries cially in respect to climate change The light on the other side of in the world and we are Africa’s mitigation – the reduction of our load-shedding ...... 7 largest contributor to greenhouse gas greenhouse gas emissions. emissions. To ensure well-informed respons- Eskom’s proposed hikes and If our country and the rest of the es, Cabinet mandated a national Nersa tariff hearings...... 8 world had to do nothing, it would be process of building climate change In search of soft underbellies . . . 9 disastrous, most significantly for us in mitigation scenarios informed by the Africa. It would most certainly lead to best available research and informa- The New Energy Book ...... 10 temperature increases that can be tion. In 2005, stakeholders from gov- ProBEC’s news ...... 11 regarded as ‘dangerous’. ernment, business and civil society However, we also know that even agreed at the National Climate Eskom’s ‘trust bust’ – Its if we could stop all of our emissions Change Conference to embark on most crucial ‘load-shedding’ tomorrow, we would still have to bear this process, seeking to protect the to date? ...... 14 the impacts of climate change – the climate while meeting the develop- Energy news in Africa ...... 15 droughts, the floods, the sea-level ment challenges of poverty alleviation rise, the dramatic plant and animal and job creation. This process is now ISES Solar World Congress extinctions, the extreme weather known as the Long-Term Mitigation 2009 ...... 16 events and the spreading of disease Scenario (LTMS) process. By late Energy management training vectors. So adaptation must be a cen- 2007, after more than a year of courses ...... 17 tral part of our response. intense research and modelling, the Climate change is a global prob- initial technical work of the LTMS was Energy events: 2008 ...... 19 lem that will only be addressed signed off by the Scenario Building through committed and active global Team. 2 Energy Management News
In early May 2008, an interim report will involve the key government depart- was presented to Cabinet. The product ments, industry, labour, NGO’s and oth- of this work has been discussed at the ers. highest levels of government and industry and with every sector of socie- This article has been adapted and con- ty and it is clear that – densed from the Budget Vote Speech by • One: if we continue a business as Marthinus van Schalkwyk, Minister of En- usual approach we will effectively vironmental Affairs and Tourism, National quadruple our greenhouse gas Assembly, 20 May 2008 emissions by 2050 and, in the G Contact: Mava Scott process, become an international Mobile: 082 411 9821 pariah. •Two: substantially reducing our em- Riaan Aucamp issions is possible, even highly de- Mobile: 083 778 9923 sirable in some cases, but it will not Website: www.deat.gov.za be easy. Most immediate interven- tions are affordable. • Three: all of our actions and inter- ventions to reduce our electricity demand are fully aligned with many of the described LTMS interven- tions and have a positive impact on our carbon footprint. The details of the Cabinet-mandat- SA German school ed Long Term Mitigation Scenario (LTMS) study have been announced, which will set the pathway for our long- powered by the sun term climate policy and will eventually inform a legislative, regulatory and fis- cal package that will give effect to our solar energy system installed on the roof of the Deutsche Internationale policy at a mandatory level. Cabinet School in Johannesburg, will see the school save more than 22 000 kWh has noted these findings and has man- Aof electricity a year. dated the Department of Environmental Inaugurated at the school last week by the German Energy-Agency (dena) Affairs and Tourism (DEAT) to bring and the German Federal Ministry for Economics and Technology, the combined implementation plans back to Cabinet solar installation will generate hot water and a stable supply of electricity in what during the 3rd quarter of 2008, as a first is a first for South Africa. step towards fast tracking the process The installation is developed by Schüco, a German-based developer of solar of translating our strategic options into energy systems, and consists of 12 photovoltaic panels on the roof that will gen- policy directions. erate more than 5 300 kWh of electricity a year. This electricity will be used direct- It is clear from the study that partial ly for electronic devices in the school while charging a back-up battery system. solutions to the climate challenge are Furthermore, the installation’s solar thermal collectors will supply hot water for pointless. Ad hoc interventions will not the kitchen and the schools showers for up to 1 200 users per day. close the gap between where we are According to Solarzone, the Cape-Town based company that installed the sys- heading and where science requires us tem on behalf of Schüco, the system is worth more than R30 000. However, the to be. Nor will they be efficient. We system will see the school save 22 300kWh of electricity per year, reduce its car- need to be ambitious and demonstrate bon dioxide emissions by about 18 000 kg a year and significantly improve its leadership. overall energy and environmental balance. What we need is a consolidated approach to a low-carbon economy. In aiming for the ‘Required by science’ option, our emissions need to peak, plateau and decline sooner rather than later – otherwise it will become more painful and expensive. The LTMS lays a firm basis for a progressive National Policy on Climate Change. It will culminate in a National Climate Summit and Science Confer- ence early in 2009. During this Summit, we will formally launch the policy The roof top solar energy system powering the German International School in process that will translate the LTMS Johannesburg into fiscal, regulatory and legislative packages as well as sectoral imple- mentation plans. The National Summit G Website: www.sagoodnews.co.za/environment Energy Management News 3 Modelling bioenergy in rural Southern Africa
G Contact: Prof Harold Annegarn he Volkswagen Foundation of population are currently poorly served Department of Geography Germany is funding five doctoral in the context of the national electricity Environmental Management and Tstudents to complete a study crisis. Energy Studies focussing on biomass use by poor rural The five students are registered at University of Johannesburg households. The five students from the University of Cape Town, University Auckland Park 2006 South Africa, Zimbabwe, Zambia and of Witwatersrand, University of Johan- E-mail: [email protected] Mozambique, will investigate fuelwood nesburg, Eduardo Mondlane University use and harvesting, and charcoal man- in Mozambique and the University of Alison Hughes ufacture in representative villages in Zambia. Prof. Harald Annegarn of the Energy Research Centre South Africa, Mozambique and Zam- University of Johannesburg is coordi- University of Cape Town bia. nating the research with the Institute for Rondebosch 7701 For low-income rural households in Energy Economics and the Rational E-mail: [email protected] many developing countries, biomass, Use of Energy (IER) in Stuttgart. in the form of fuelwood, charcoal, dung Researchers from the Institute for or crop residues, remains the primary Futures Studies and Technology Ass- source of energy for cooking, heating essment (IZT) in Berlin are providing and lighting. In South Africa it is esti- additional guidance in the research mated that 90 percent of rural house- effort. holds use fuelwood to meet their basic The students are conducting inter- energy needs and that biomass, main- disciplinary research in the fields of ly in the form of fuelwood, supplies energy economics, biomass conver- about 14% of all residential household sion technology assessment, woodland energy demand. Whilst households in dynamics, socio-economic impact and the upper income groups may prefer, satellite remote sensing of biomass util- and therefore choose, to use fuelwood isation to develop strategies for the for space heating or other energy sustainable use of biomass. Satellite needs, the poor are often reliant solely remote sensing will be used to quantify on biomass to meet their basic energy available biomass resources for extrac- needs. tion to meet demands in rural and The use of fuelwood by low income urban markets as well as land degra- households is not without problems. dation surrounding settlements. Wood- There are social, environmental and land dynamics models will be devel- health impacts associated with the oped to estimate biomass available to a burning and collection of fuelwood and village situated in typical savannah other biomass. Women and children woodland based on the quantification are exposed to damaging carbon of the harvesting regime, standing monoxide and particulate emissions woody biomass and biomass regenera- when the fuel is burnt in poorly ventilat- tion through coppicing. Energy, eco- ed environments. Women and children nomic environment system models also carry the responsibility for the col- which incorporate econometric models lection and transport of fuelwood from and woodland dynamics models will be collection sites, which may be many developed in order to investigate the kilometres distant, to the household. impact of policy relating to alternative Overharvesting of the resource results fuel or appliance use on biomass avail- in scarcity and an increased burden on ability. This multi-disciplined research the household to collect and supply approach will provide insight into the energy needs, as well as causing envi- challenges facing policy makers relat- ronmental damage such as loss of ing to the efficient use of biomass in species diversity, land cover change rural subsistence areas and its role in and soil erosion. Despite the obvious supplementing supplies of modern need to understand the dynamics of energy services and the sustainable collection and use of fuelwood to for- use of biomass resources. The stu- mulate policies that can address ener- dents aim to complete their studies in gy poverty, energy needs of the rural 2010. 4 Energy Management News Energy Efficiency Awareness Road Show in Durban
BACKGROUND COST TO DELEGATES he Southern African Association SAEE Members: R200.00 per person for Energy Efficiency (SAEE) is Non SAEE Members: R250.00 per per- Tpleased to offer an exciting Ener- son gy Efficiency Awareness Road Show in Durban, KwaZulu-Natal. This event EXHIBITION OPPORTUNITY provides an excellent opportunity to Exhibition space is limited. find out more about the issues and The SAEE invites companies to be marketplace developments that impact part of this exciting Road Show and on decisions, and to see the latest offers you the opportunity to exhibit at technology trends, while networking the event. The exhibition will be the with industry colleagues. social hub of the Energy Efficiency The Energy Efficiency Awareness Road Show where you will have an Road Show is a must-attend event for opportunity to display and distribute commercial, industrial, institutional or promotional literature and/or material. government energy users who want to The SAEE will provide as a mini- explore first-hand the latest technolo- mum, a table, two chairs, a white over- gies and strategies available to reduce lay and access to power. Additional costs, upgrade and improve equipment items and extension cords will need to performance, and increase overall be supplied by your company. operational efficiency. Exhibitors must be at the venue at 07h00 in order to prepare for the exhi- WHEN AND WHERE bition which starts at 08h00. Exhibition Date: 15 August 2008 space is 2 x 3m². Please note that there Time: 08h00 – 16h30 will be no partitioning between Venue: ABSA Stadium, Basil Medway exhibitors. Room, Walter Gilbert Avenue, The cost is R2 000 per stand. This Greyville, Durban price includes free entrance for 10 del- egates from your company as well as a SPEAKERS drinks voucher to the value of R150.00 • Prof. Ian Lane (Energy Cybernet- for the company. ics) – How to Remove Barriers to G Contact: Nikki Nel Energy Efficiency The Southern African Association for • Prof. LJ Grobler (President: SAEE) Energy Efficiency (SAEE) • Mr. Dave Bekink (National Power) – PostNet Suite 148, Private Bag Domestic Load Management the X1277, Potchefstroom, North-West, Right Way 2520 South Africa • Mr. Barry Bredenkamp (NEEA) – Tel: +27 (0)18 293 1499 Africa: Magic or Myth? Cell: +27 (0)82 828 8546 • Mr. John Thorby (Eskom) – South Email: [email protected] Africa: The Changing Energy Econ- Website: www.saee.org.za omy
WHO SHOULD ATTEND? • Energy engineers and energy man- agers • Energy procurement professionals • Plant engineers and facility man- agers • Power quality professionals • Governmental and municipal facility managers • Environmental engineers Energy Management News 5
World Day to Combat Desertification
his year’s theme for the World arable land. Scientific research must be to food and water, and the protection of Day to Combat Desertification integrated with proven policies and biodiversity. In this regard, the Conven- Tand Drought on 17 June, ‘Com- strategies aimed at sustainable devel- tion has a considerable role on sustain- bating land degradation for sustainable opment, market-oriented mechanisms able agriculture by means of improving agriculture,’ underscores the signifi- and appropriate capacity-building. Local the livelihoods of affected populations cance of land and its management for knowledge needs to be identified, pre- and ecosystems. one of the most important activities in served and shared while respecting the Desertification is a global issue that fostering our civilization – agriculture. rights of the owners of such knowledge, requires a global action. Let us not for- Reports on global food price in- as the men and women living on the get the following warning, a five thou- creases and subsequent food riots land often have long developed and sand years old wisdom: highlight the challenge that the world is implemented sustainable practices of Upon this handful of soil our sur- facing, adding to the already enormous reducing land degradation and risk. vival depends. Husband it and it will problems in achieving the Millennium The United Nations Convention to grow our food, our fuel, and our Development Goals. Although the cur- Combat Desertification (UNCCD) pro- shelter and surround us with beau- rent high food prices may be mitigated vides a global framework to support ty. Abuse it and the soil will collapse temporarily by new agriculture produc- policies and measures to prevent, con- and die, taking humanity with it’. tion prospects, the limiting causes for trol and reverse land degradation From Vedas Sanskrit Scripture – the achievement of sustainable food through scientific excellence and 1500 BC production to feed the ever-increasing awareness raising and advocacy, world population will remain. As popu- thereby contributing to poverty reduc- G Contact: Marcos Montoiro lation and demand for diverse types of tion. In its strategy for the next 10 Awareness Raising Communication agricultural production increase, un- years, the Parties to the Convention and Education Unit sustainable approaches to land man- have highlighted the importance of UNCCD-Secretariat agement are evidently failing. forging a coalition to combat land Hermann-Ehlers-Str. 10, 53113 A study on climate change reports degradation including desertification as Bonn, Germany that by the 2080s the capacity of global well as drought in the present context Tel: +49 228 8152806 agricultural production could be of climate change, delivering benefits Fax: +49 228 8152899 reduced by about 16 per cent if carbon at all levels and contributing to access Website: www.unccd.int fertilization is omitted, and by about 3 per cent if it is included. The conversion of land to unsustainable uses can exac- erbate the vicious circle of land degra- Survey on the generation capacity dation, loss of biodiversity and climate change. Land degradation weakens the soil’s fertility, disrupts the balance of crisis in South Africa the water cycle and contributes to food insecurity, famine and poverty, as well EE Publishers (Pty) Ltd, Publishers of Engineer IT, Energize, Vecto and Position as forced migration. Confronting this IT magazines released their survey on the generation capacity crisis in South complex issue requires a global re- Africa. sponse to increase the productivity of In researching the background, causes, responsibilities and managementof land ecosystems and make sustainable the generation capacity crisis, leading up to the power cuts and the closure of the agricultural production a priority country’s mining operations, EE Publishers had conducted an independent, through pro-poor policies in view of online, web-based survey of its readership on this subject. adaptation to climate change and biodi- There was an enormous response, with well over 1 000 completed survey versity protection. submissions in just 24 hours. A detailed report and statistical analysis of the At the same time, we must not for- responses received is available from the internet link given below. get the important role science and tech- EE Publishers’ readership comprises a well educated, well informed, techno- nology play in combating land degrada- logically literate and influential demographic group, whose views and perceptions tion for sustainable agriculture. One should be of significant interest to the relevant decision makers. The Publishers such way is to develop guidelines and hope that those concerned in the public and private sectors will find the results standards for alternative uses of agri- useful in understanding and learning from what has happened. cultural goods and services, such as for bio-fuel production, which targets the G Contact: Chris Yelland CEng, Managing Editor, EE Publishers sustainable livelihoods of the most vul- PO Box 458, Muldersdrift, 1747, South Africa Tel: 011 543 7000 Fax: 011 543 7025 nerable people living in degraded E-mail: [email protected] lands. A piecemeal approach to agricul- Websites: www.eepublishers.co.za tural production in the past has threat- http://survey.constantcontact.com/survey/a07e28d7z40fbxvdozv/results?test=t ened biodiversity and conservation of 6 Energy Management News
or many of us load shedding is cost for any event is pushed up by nothing more than an inconven- between R20 000 and R40 000 per Fience, but it can have a serious event. One must bear in mind that elec- effect on any business, especially tricity is included in the cost of a venue those in the events industry where the in about 80% of cases – therefore, hav- core business is heavily reliant on a ing to lay out more money for an event stable power supply. Apart from the impacts heavily on their budgets, irritations of planned events going and ultimately, on our financial bot- awry at critical moments and inter- What has tom line.’ rupted planning, the main impact Vernon Govender of Vibe seems to have been on the load shedding Productions, echoes these sen- client’s wallet, which ultimately timents. ‘The electricity supply leads to a decrease in smaller problems have really messed events. meant for the up the events industry. People At Gearhouse South Africa, spend a lot of money on an definite steps were taken to event, and expect a quality show ensure minimal disruption to work events without disruptions for their flow, both in the planning stages as money. well as at the actual event. industry? ‘Unfortunately, to ensure that Garth Green, Security, Mainte- everything runs as planned, we now nance and Training Manager at Gear- have to rent generators for all events, house South Africa (GHSA), explains meaning more cost for the client. Some that energy saving has become a seri- of them simply are not willing to invest ous priority within the operation. ‘We more money in an event to cover the are ensuring that everything, from all rental of a generator, and others simply the lights to the air conditioning, is generators.’ don’t have any more money available. switched off at night. We have also But he agrees that the whole events We also found that a lot of clients are switched from dichroic lamps or 12V industry has been negatively affected. not willing to do major events anymore Halogen lamps to fluorescent lighting, ‘People are now forced to work back-up because of all the uncertainty caused throughout the building. It is far more options into their event budgets in case by the energy crisis.’ energy effective.’ of a power cut, which means extra GHSA has already started prepara- When the first rolling blackouts hap- costs.’ And because of this, he says, tions for the 2010 World Cup by estab- pened, the administrative and planning there has been a decrease in events for lishing Gearhouse Power in early 2007. side of the Gearhouse operation was smaller clients. ‘We previously outsourced generators, seriously impacted as the entire stock Peter finds it ironic that the power but now own 10 generators country- control, planning and booking aspect of outages affected Gearhouse much wide, an amount we will be increasing the company runs off a purpose-made more in-house than on the events side, in the near future,’ Peter explains. rental application and without power necessitating the urgent installation of Added to this, GHSA has strong and IT networks, the operation had to a generator. ‘Luckily we have the long-term relationships with generator revert to less sophisticated methods to expertise and knowledge needed to suppliers, which means that the right continue the process. It did not take install and manage a generator. This kind of generator can be arranged for long before the company used their made it a fairly painless changeover for any kind of event. ‘We are certainly pre- own expertise in the power field to sort us.’ pared for the worst scenario. 2010 is an out the problem. Like many other business people in opportunity to showcase the country’s GHSA now has back-up power in South Africa, Peter is very frustrated capacity for events of this magnitude. the form of a fully automatic 100 kVA with the electricity situation. ‘Success in We cannot allow our internal energy generator that kicks in within two min- business is based on all the information crisis to impact the country as an utes of a power cut. ‘We have all our available, as well as a company’s abili- events destination.’ PCs connected to 30kVA UPS-sys- ty to plan. To be able to operate effec- tems, ensuring uninterrupted power tively, the very least we need is reliable With acknowledgements to Bizcommuni- supply until the generator kicks in and info. We need to know what exactly we ty.com to limit the loss of unsaved data.’ have to plan for, especially with 2010 in G Website: www.bizcommunity.com And, to make everyone’s lives a lit- mind. tle easier, Garth likes to pre-warn all Trevor Peters of Matrix Sound, GHSA staff before a power cut. ‘We’ve agrees that load shedding has had a tried to work out the system in such a definite impact on the events industry. way that there isn’t any need to stop ‘We have had to buy new equipment, work.’ like UPS’s, to ensure minimal disrup- Peter Day, Branch Manager (Oper- tion in our work. ations), says that the impact on actual ‘Worst of all, clients are forced to events hasn’t been that big. ‘Most larg- tighten their belts on some aspects of er shows are run on generators in any an event, as they have to make provi- case. I would say that it is business as sion for a generator for the actual event usual for those willing to pay extra for in case of a power cut. Sometimes the Energy Management News 7
The light on the other side of load-shedding
oad-shedding activity has led use solar power as alternative energy cable through illegal connections; non- 90% of South Africans to cut and this is mostly made up of Durban essential government spending and a Ldown on electricity usage, ac- respondents who enjoy sunny weather lack of competition for Eskom. cording to a recent survey conducted most of the year. This figure is bound to by global marketing research company, climb if subsidies for solar geysers are THE EFFECTS OF LOAD-SHEDDING Synovate. introduced. The high outlay cost is 79% of those who responded claimed This sentiment was most pro- deterring many enthusiasts. to have been affected by recent load- nounced amongst respondents resid- shedding activity. This was noticeably ing in Cape Town – 95% of whom indi- WHAT DO WE DO? higher in Johannesburg (83%) than in cated that they were cutting down on Turning our attention to the load-shed- Cape Town or Durban (74% and 75% electricity usage. A substantial propor- ding experienced in recent months and respectively). tion switch off their lights to save elec- ways in which this could be solved, Most respondents stated that they tricity, although this was most evident in South Africans have demonstrated an were affected when in traffic when Durban (48%). Less people leave work aggressive approach to solving the robots did not work. A large proportion / school looking forward to home- electricity problems. At the time the (84%) reported to not have power in cooked dinners as 12% of respondents study was conducted, 43% agree that the evenings. and are using their stoves less often. A electricity prices should be hiked so as To cope with the inconvenience of further 45% of the population switch off to build more power stations and load-shedding, more than half of their geysers when not in use with 50% increase the supply of electricity. This respondents prepare their meals at dif- of Johannesburg respondents electing sentiment was notably more pro- ferent times of the day. To combat the to utilise this energy saving technique. nounced amongst black respondents effects of broken traffic lights and con- Electric appliances and electronics as well as younger age groups. 59% of gestion, over a third claim to leave for are also used less frequently with 19% all respondents believe that power work earlier, with 50% of Johannesburg electing to switch these off when not in rationing and fining those who exceed respondents following this trend com- use. This makes an enormous impact their quota will work as a solution. pared to 28% of Durbanites and 22% of given the amount of energy wasted Reducing the cost of solar and Capetonians. 48% travel at different used when devices such as these are other alternative energy supplies won times of the day and 45% find different left on stand-by. Respondents men- the support of 79% of respondents and routes to get where they are going. tioned other steps they take to cut a substantial 57% agreed with the pro- 40% of respondents report a less down on electricity usage including posal to install a remotely operated active social life as a result of load- lowering the temperature of their gey- switch on household geysers. This will shedding, whereas 26% claim to eat sers, covering geysers with insulation certainly solve the problem of forgetting out at restaurants more often. blankets and, even sharing baths! to turn the geyser back on – a reason While alternative energy sources that many people do not go with this ABOUT THE RESEARCH have always been environmentalists’ option. The research for this project was car- preferred method – these have sud- The public do not agree with the ried out in the three major metropolitan denly become a viable option for 35% solution attempted by Eskom in late areas of Johannesburg, Cape Town of South Africans. Not only are they January, where the mines were closed and Durban. It included a representa- greener, but are protected against the to conserve energy. 73% of respon- tive sample of 600 respondents across unexpected inconvenience caused by dents disagreed with this drastic action ethnicity, gender and age. load-shedding. This is notably more due to the amount of money lost in G Website: www.synovate.com popular amongst the older age groups. those few days. 53% of Johannesburg residents have considered using alternative WHAT’S TO BLAME? energy sources – which is encouraging Just over a third of respondents pre- as the business and economic hub of ferred not to comment on what was to Africa, and will perhaps set the scene blame for the electricity shortages. 14% for other business districts to follow. of those that did pointed to ‘bad plan- However, when it comes to actual use, ning by Eskom’, followed by 11% blam- only 37% of Johannesburg respon- ing ‘excess demand’ and a further 8% dents actually use some form of alter- citing ‘bad planning by government’ as native energy while 29% of Cape Town a reason for the shortages. Less fre- respondents do the same. quent responses, although worth not- Only 5% of respondents use a gen- ing, included increased building devel- erator to provide them with electricity opments, government not adhering to when the lights go out. A marginal 3% earlier warnings, theft of electricity 8 Energy Management News
A social ill will only be increased by a fossil fuel economy for the next Eskom’s the proposed tariff structure. In res- fifty years. Within ten to fifteen ponse to rising electricity prices, many years, the costs of solar and wind poor consumers will turn towards alter- generation per kWh produced will proposed hikes native energy sources such as paraffin, be below that of coal and uranium, coal, and biomass. This will have enor- mostly due to the long-term rise of and Nersa mous financial and social conse- coal, uranium, gas and petroleum quences. For example, in 2000, there stocks. These fossil fuel commodi- were 46 000 paraffin fires, 50 000 ties are finite, dwindling, and in- tariff hearings paraffin burns, and at least 4 000 chil- creasingly in demand. The long-term dren died from drinking paraffin. The price of these fuels will rise signifi- total cost to the economy of paraffin cantly. related incidents is R100 billion a year. 7. No member of Eskom management skom’s proposed tariff hikes of Our children are being physically shall be paid a bonus. Eskom has 60% in real terms will negatively scarred for life or are dying because failed to show any meaningful com- Eaffect the living standards of Eskom refuses to supply adequate mitment to cost-cutting measures; poor households and will be at odds electricity to its poorest and most mar- the ten million rands in bonuses to with efforts towards poverty reduction. ginalized citizens. top management (who have man- Eskom will be placing a burden on con- This move of Eskom’s is surprising aged to get coal stockpiles horribly sumers who cannot already afford elec- and foolhardy. There exists a set of mixed up, invested money in finan- tricity. Despite the Government and reforms, which if implemented, can cial instruments instead of mainte- Eskom’s repeated boasts about electri- alleviate the power crisis and the lack nance, and have cost the country fication, 30% of South Africans are still of access crisis that besets this country. billions through some bizarrely- without electricity. Of the 70% who do They are: timed blackouts) would be a great have electricity, many poor users suffer 1. The tariff increases do not ade- place to start. from disconnection. Furthermore, users quately protect poor consumers Tristen Taylor, Earthlife Africa Johan- of prepaid meters disconnect them- and will bring new hardships to nesburg’s Energy Policy Officer, states, selves (due to lack of funds to feed the communities already struggling for ‘As much as electricity tariffs needs meter), thus transferring the onus of mere survival. This could be avoid- increase to address infrastructure disconnection from the state to the citi- ed through the implementation of a maintenance needs, the proposal from zenry. The Free Basic Allocation of 50 step-block tariff and an increase of Eskom is either vague or at odds with kWh a month per household is widely the Free Basic Allocation to 100kWh endeavours for poverty eradication. It is regarded to be inadequate; 50kWh per person per month. of the utmost importance that Eskom doesn’t stretch that far between six to 2. The opening up of Eskom’s secret addresses the issue of indigent users eight people. contracts with large-scale users access and affordability of electricity Anti-Privatisation Forum (APF) and tariff increases on the 25 com- supply and unless Eskom adequately Organiser, Silumko Radebe, states panies that consume 40% of our addresses its electricity-generation that, ‘The restructuring and preparation electricity generated. strategy that is at the heart of its long- for the privatisation of Eskom has led to 3. The scrapping of subsidised elec- term financial ill health, Eskom’s pro- the present crisis. Following the dic- tricity for foreign corporations under posals should be rejected by NERSA.’ tates of GEAR and ASGISA and the the Developmental Electricity Pric- The National Energy Regulator of Washington consensus that gave birth ing Programme, and, in particular, South Africa held a public hearing on to the neoliberal policies, the energy the Alcan contract. It is economical- 23 May 2008 on the proposed Eskom sector was opened to foreign invest- ly unsound, socially evil, and envi- tariff increases. ments through privatisation and dereg- ronmentally ill-conceived to provide G Contact: Tristen Taylor ulation. The motivation for restructuring power subsidies to a foreign corpo- Energy Policy Officer Eskom was that there is a need to intro- ration with minimal job creation Earthlife Africa – Johannesburg duce competition into electricity provi- while raising prices on the rest of Branch sion. Eskom was, therefore, broken up South African society. In effect, why Tel: +27 11 339 3662 into its generation, transmission and should South African citizens and Fax: +27 11 339 3270 distribution divisions and corporatized. small businesses have major price Cell: +27 84 250 2434 The current crisis is borne of these increases while foreign corpora- E-mail: [email protected] efforts to create a power market where tions are guaranteed profits through Website: www.earthlife.org.za/Files/ scarcity of energy resources ensures a artificially low prices? SENSE%2050%20May%202008.pdf ‘competitive environment’ and prof- 4. The abolishment of pre-paid met- itability for the generators and distribu- ers. Silumko Radebe tors of electricity. The restructuring of 5. The reorganisation of Eskom within Organiser, Anti-Privatisation Forum Tel: +27 11 333 8334 the distribution division set up regional the state so that it operates as an Cell: +27 72 173 7268 electricity distributors (REDs) that agent of social construction and not E-mail: [email protected] would be financially and organisational- a profit-making business. ly independent of one another and the 6. Investment in renewable energy state. In other words, electricity is treat- instead of the costly fossil fuels of ed as a commodity rather than a public coal and uranium. Eskom is effec- service.’ tively locking the entire country into Energy Management News 9
In search of soft underbellies
overnment and Eskom appear able that the mining labour losses contractors and their numerous day to be enlisting more and more would be politically unpopular, espe- labour. Implication? There could well Geconomic sectors in its demoli- cially with the unions and labour con- be substantial building industry em- tion derbies. The main idea these past cerned. This has created all kinds of ployment losses in a sector that is very few months has been to find 10% per- pressures to safeguard the mining diffused, where the fragmented la- manent savings in electricity demand. industry in terms of electricity supply, ments will be a low intensity groan But doing so has been disruptive. and shift the 10% savings burden rather than a loud roar. Unless Eskom was otherwise somewhere else. It is apparent where Will that matter? Politically it may. engaged, it must have sensed it was the burden is being shifted next. The one sector was ultimately not already for well over a year on a non- We also heard that any new non- expendable. As to the other, who sustainable path, running the power residential building proposals (office, knows? Non-residential building is stations with a steadily reducing buffer retail, factory, warehousing space) obviously not as strategic as mining for margin, increasing the probability of would encounter a six month moratori- exports, being entirely a domestic failure. Instead of preparing emergency um on project approval from Eskom. activity, nor offers as immediate a plans, and organizing an orderly transi- With no electricity supply guaranteed, it painful loss to the larger population. tion to a reduced electricity supply real- makes no sense to proceed with new As to households, Gauteng ones ity, apparently very little was done. projects. Non-residential building activ- especially, we have read that rolling When the moment came in late Janu- ity amounts to 10% of fixed investment mass action was being planned, with ary, and 6000 MW (15% of installed and 2% of GDP. A six month delay will every other day four-hour load shed- capacity) went suddenly walkabout, probably hit building activity from mid- dings imposed, most likely at peak trav- there had to be immediate reduction in 2008 through to mid-2009. Knock elling time in the late afternoon and electricity demand to prevent total sys- another 1% off the GDP growth fore- lasting through the evening. The gains tem collapse (blackout). cast? here would be minimal. Households The effective way of doing this was Of course, the good news could be consume only 17% of total electricity to tell the 138 largest electricity users that the mines can now be 100% sup- supply. But the economic damage in that there would be immediate supply plied, undoing their 20% output cut. the major cities would be large, and the reductions. These parties were hit Does that mean we now add back the loss of personal welfare enormous. Try because they were big, and could 1% of GDP growth we cut from the navigating a lawless city on no electric- switch off, ready or not. Municipalities forecast only a month ago? Anyone ity. It calls up images of Lagos and responded with haphazard load shed- thinking the employment impact to non- other earthly paradises. ding, which grew in intensity, causing residential building activity will be less Besides the output loss to such city maximum disruption to large urban nasty than to mining will need to do economies, there is a bigger loss, if a populations. their sums again. quiet one. People decide to leave, The most sensitive employment Residential building employs an never to return. No political heat from and export sector was hit hard (mining) estimated 220 000 people and non-res- them. But the cost of such emigration is and large urban populations (especially idential building an estimated 150 000. substantial in skills lost and reduced Gauteng, which generates over 40% of These sectors aren’t any less labour- economic potential. It is an opportunity GDP) were massively inconvenienced. intensive than the mining sector. loss no one is likely to be called to In the weeks that followed, there were With municipalities in any case account for, least of all politically. For consequences. Specifically the gold struggling to provide new bulk services who would represent the dearly depart- mines, on a 10% electricity cut, have connections for residential developers, ed? had to cut 20% of production. Although the Eskom salvo aimed at non-residen- Lastly, there are the three large the higher precious metal prices and tial developers basically completes the smelters, between them apparently lower Rand would safeguard the cash overall hit to the building industry. absorbing 6% of electricity supply. If flows of the mines, or even improve it, The only real difference compared Eskom is prepared to buy back their 20% less output implies 20% surplus to mining may be that mining labour is guaranteed power supply, at a great labour. The real danger was losing the heavily unionized and mining owner- cost burdening all of us, the 10% elec- marginal production opportunities ship equally heavily concentrated. In tricity savings target is coming closer to longer term. contrast the building trades are frag- achievement. But the economic fallout A month on, it has become notice- mented, distributed over many sub- would still be considerable, though it 10 Energy Management News keeps shifting, apparently in no small measure dependent on the least- The New Energy Book squares political-cost method. Why insist on trying by hit and miss to find the optimal solution, yet all that one succeeds in displaying is govern- arah, Ward, Sustainable Energy A REVIEW OF THE FIRST EDITION ment failure in coming up with the least Africa (SEA), has published an The Energy Book is an impressive bou- costly economic option? Or is the real Senergy book titled: The New quet of well written text, interesting decision model one that seeks to mini- Energy Book for Urban Development in case studies, startling statistics, clever mize political cost, if necessary at max- South Africa. illustrations and practical applications. imum economic expense? Why not use The simple approach of the book not the oldest, most efficient optimizing WHAT IS IT ALL ABOUT? only makes it extremely readable but model invented by mankind, which allo- The New Energy Book aims to make also accessible to anyone interested in cates marginal resources according to the energy picture accessible to citi- sustainable energy. Fact is, everyone marginal cost and does so efficiently zens, professionals, policy makers, of us must be interested in sustainable economy-wide? development workers, teachers and energy – ignorance is no longer bliss! Eskom needs a doubling in cash students. It is a resource for people The Energy Book incorporates the big- flow to undertake all the new expan- seeking a more sustainable future. This ger energy picture with great success sion, maintenance and emergency second edition includes extensive new into a South African context. It makes measures, and a durable 10% cut in and updated information as well as new sense of day to day energy needs, the electricity demand. So if the electricity chapters on energy planning for cities energy options that are available to end tariff was doubled on 1 April, with a five- and on sustainable transport. users, planning with energy principles year phase-in for strategic electricity This book is a practical guide to as framework, and addresses many users (mines, hospitals, and not forget- sustainable energy approaches and other vital issues. The layout is excel- ting the Union buildings where the mid- practices. It takes the reader from the lent and the reader's mind is ever night oil must be burning furiously). big energy picture through energy plan- entertained with the array of facts, Most electricity users would intelligent- ning and projects for cities, to energy shared wisdom, graphs and illustra- ly decide to cut their electricity usage. It choices for the home and energy effi- tions. The Energy Book is highly rec- would be in their economic self-interest cient housing. In this book you can find: ommended. – JW du Toit, CSIR to do so. There should be minimal eco- • The global energy story nomic dislocation as all of us would • The South African energy story adapt to the new tariffs in the best ways • Sustainable transport that suit us individually. • Energy and local area development And the political cost? It could well • Access to energy be the lowest cost option of all, being • Energy in the home predictable, transparent and adaptable. • Making energy efficient housing But it would all be very upfront and vis- •Working with people and energy ible. It would be a political gamble. But • Energy planning for cities and any more costly than the serial may- towns hem now being dished out and is fool- The book also provides useful con- ing no one? Not likely. tacts, readings and websites. The struggle for human develop- With acknowledgement to FNB Subscrip- ment and democracy will be won, or tions lost, in our cities. Energy must be at the centre of any sustainable city develop- BOOK DETAILS G Contact: Cees Bruggemans Chief Economist, First National Bank ment strategy. This is the energy hand- The book contains138 pages; full Website: www.fnb.co.za/economics book we have all been waiting for. It is colour cover; 2 colour inside, fully illus- essential reading for those who are trated with drawings, photographs, working with urban housing, transport, maps and graphs. It is published by city planning or community develop- Sustainable Energy Africa, 2008 and ment in South Africa. the ISBN number is 978-0-620-40184- 5. ABOUT THE AUTHOR The price is R140 (VAT included), Sarah Ward is an urban planner spe- and an extra R20 for local postage. cialising in the field of sustainable ener- G Contact: Yachika Reddy (Orders) gy. She is a founder and former direc- Sustainable Energy Africa tor of Sustainable Energy Africa. She Tel: 021 702 3622 developed and co-ordinated the influ- E-mail: [email protected] or ential Sustainable Energy for Environ- [email protected] ment and Development (SEED) Pro- gramme and has been a leader in Sarah Ward (Author) establishing sustainable urban energy E-mail: [email protected] planning with cities and towns in South Website: www.sustainable.org.za Africa. Energy Management News 11
ProBEC’s news
ZAMBIA cators were reached and, since the through inefficient burning. Mmathabo n the 12th – 14th of June, youth of today are the leaders of tomor- introduced ProBEC and its stove pro- ProBEC Zambia was involved row, it is hoped that its contribution will gramme, and the reception was posi- Oin an exhibition, hosted by vari- equip them with an environmentally tive and welcoming. ous organisations in Zambia to create friendly approach to life and a green- Recommendations after the field awareness on energy conservation. minded attitude. visit: An intervention of ProBEC to This was in light of the current load In another project, ProBEC has col- assist in an efficient use of wood would shedding and the need for the public to laborated with the City of Cape Town certainly be of use to reduce the pollu- be aware of how they can conserve and the University of Stellenbosch. tion and health or environmental and reduce the energy they are using. ProBEC’s South African partner organ- impacts. However, given that the Rock- The exhibition took place in one of the isation is The Association for Renew- et stove technology is not ideally suited busiest shopping malls in Lusaka. able Energy Cooking Appliances to the “braaiing” (barbequing over an (AFRECA), a wind-ranging marketing open flame) application, which is the and product development association predominant use of the meat traders, for producers of safe and efficient cook- the Rocket stoves could serve to give ing appliances. the traders an additional product offer- ProBEC/AFRECA supported the ing in the form of pap or samp beans, City of Cape Town in the first step to as they currently offer only bread with implement the Khayelitsha Air pollution the meat. Study – ProBEC was asked to investi- To develop a new technology to gate opportunities to work with the improve the braaiing of meat, it would meat traders dotted around the town- be necessary to scope the full potential ship of Khayelitsha in order to reduce of all the meat traders in the area in the air pollution posed by the burning of order to determine whether a tailored Exhibition on energy conservation in large quantities of wood. technology could be applied. Addition- Lusaka The city’s Khayelitsha Air Pollution ally, an education programme to high- Study is a pilot project to improve air light the health and environmental SOUTH AFRICA quality in informal areas of the city. The impacts of wood-burning (especially ProBEC was invited by the City of study identified the informal meat wet wood) combined with training on Cape Town’s Environmental Resource traders as possible major contributors energy efficient techniques like the dry- Management to participate in the Youth to air pollution in the survey area. Wood ing and storage of wood would be ben- Environmental School (YES) Pro- is the main source of fuel used by the eficial. gramme. informal meat traders burnt daily (8 am ProBEC awarded a tender for the YES is a year-long programme of -9 pm) every day of the week. Both the baseline study on energy efficient activities for all schools in Cape Town household survey and informal trader’s behaviour and kitchen management which focuses on major commemora- survey revealed that there is extensive practices in South Africa, which was tive days and weeks, and this year use of wet wood. Generally, wet wood awarded to the University of Stellen- ProBEC participated in the Energy and is mixed with dry wood to prolong the bosch. Climate Change Week that took place life of the fire as wet wood “burns between 14 – 18 April 2008. Mmathabo longer” especially during windy days, TANZANIA Mrubata of AFRECA was contracted by and dry wood is scarce during the win- Commemoration of World ProBEC to conduct a series of energy ter season. The traders also believe Environment Day efficiency and kitchen management that the wet wood assists in keeping From the 1st – 6th June, ProBEC Tan- techniques lectures to the pupils of the flies away. zania joined the rest of the world in several schools. Afreca’s Mmathabo Mrubata visited commemoration of World Environment ProBEC aimed to drive home the the Khayelitsha meat traders who were Day (WED). In Tanzania, this year’s importance of the efficient use of ener- selling meat at the street corner using WED theme was ‘Hifadhi mazingira, gy; kitchen management techniques big, open, braai stoves that use a lot of dhibiti uchomaji moto na panda miti and alternate energy appliances to wood. The meat traders use 3 to 5 big (Conserve environment, stop wildfire (predominantly) the Home Economics sticks of wood at a time in one braai and plant trees). students from the schools identified. stove. The wood burns for 40 to 50 ProBEC Tanzania commemorated A total of 1 300 pupils and 20 edu- minutes and a lot of wood is wasted this day in the Shinyanga region (North 12 Energy Management News
West of the country) through the • How to insert firewood sticks in the that leaves just a small gap. The demonstration of Basic Energy Conser- combustion chamber in order to wall does not need to be a 100% vation (BEC) technologies, both house- have a quality flame with less round circle. This will increase the hold and institutional rocket stoves, to smoke construction speed and reduce the various people that visited ProBEC’s • Quenching fire with sand when amount of bricks used. An addition- pavilion. The Vice President of Tanza- cooking is done al benefit is a reduced surface area nia, His Excellency Dr Ali Mohammed of the upper part which might result Shein, who was the guest of honour, LESOTHO in reduced heat losses. visited ProBEC’s pavilion. He insisted A five-day training course for bricklay- • Redesign the slab to be made from that the government continues support- ers in construction of the Lion stove 4 parts. That will ease transport and ing the project, especially in tobacco was conducted by Andi Michel and handling. growing areas where tobacco farmers Dexter Matelakengisa at ATS in • Consider prefabrication of some are the major biomass energy con- Maseru from April 21 – 25. parts of the chamber at a central sumers. Other people that visited The course included theory about place but keep transportability of ProBEC’s pavilion were the Minister for stove design, stove construction prac- prefabricated parts in mind. Environment, Mr Shinyanga, Regional tice (without mortar) and the construc- •Try to reduce the weight of the parts Commissioner, Mr Yohana Balele, as tion of one Lion Stove. Three bricklay- that need to be transported. Maybe well as MPs and other governmental ers and two entrepreneurs were the outside walls could be built with and non-governmental officials. trained. All five trainees were success- bricks that are made locally. ful in both the training and the final construction test, and are now ready to BOTSWANA start constructing Lion Stoves in In Botswana, planning has commenced schools. They hope to get their first on the operationalisation of the ‘Kitchen assignment as soon as possible, while Performance Baseline and Energy Effi- they retain the expertise on stove con- cient Behaviour Baseline Study’. struction fresh in their heads. MOZAMBIQUE Excitement is running high after strenu- ous tests revealed that the new mix for a ceramic charcoal stove, prepared by Ceramic Arte in collaboration with ProBEC’s new commercial partner, Demonstration of basic energy shows no sign of cracking. Prepara- conservation technologies tions are being made for a return to full production. Installation of institutional rocket stove in Zanzibar MALAWI On May 1st, Evodius Rutta, Tanzania’s A training programme for the tobacco Monitoring and Evaluation Officer and industry to achieve their plan of rolling- Sylvester Mwambije, a stove producer, out 500 energy efficient barns next year travelled to Zanzibar to install an insti- is being developed by Peter Scott tutional stove in Stanet School. Follow- assisted by Francis Chagunda, Trywell Bricklayers and the construction of a ing an agreement between ProBEC Khonje and Mac Lean Mafubza. The Lion stove and Stanet Schools’ Director of Studies, first training was to take place at the Ms Tabitha Neposa, ProBEC has The following observations were beginning of May 2008. agreed to install a 120 litre-Institutional made on the training course: Caps Msukwa and Dekiwe Kat- Rocket Stove in the school kitchen for • The current design of the chamber songa will conduct a survey on the demonstration purposes. The school is easy to reproduce with the avail- existing 5 best clay stove groups in has 200 boarding students who take able bricks. order to identify improved commercial- their meals at school. • Filling material for the upper stove ization opportunities for these groups. After a demonstration of the stove part (between skirt and outside Technical Officers are training part- at the school kitchen for 30 days, the wall) had to be sourced by the ner organizations to develop additional stove has been given to the school school. clay stove production groups in the administration for school cooking activ- • Building the combustion chamber country. ities. The installation exercise also was easier for the trainees than A discussion has been launched involved user training for the Stanet building the outside walls straight with the Mulanje Mountain Trust Con- Schools’ cooks. and rectangular. servation group to form an organisation The following issues were covered: • If the ATS training ground is to be that could implement part of the work of • How and when to prepare very dry used in the future, reformulate the MMCT as well as the ProBEC mandate firewood sticks before and after six-step construction guidelines to in Malawi. cooking ensure all steps use the same Topham Sukasuka has started a • Preparation of cooking ingredients method of assembling the bricks study on biofuel in the framework of the and utensils before starting fire • Redesign the upper part of stove: BEST development in Malawi. • How to light the stove build a round wall around the skirt Field surveys have been completed Energy Management News 13 for the evaluation of the clay stove pro- the stoves to the current specifications. gram in Malawi by Britta Malinski and Further collaboration has taken place the report is being drafted. with a group in Zimbabwe that has The national staff representative expressed interest in the stoves. (Trywell Khonje) was elected and two focal persons for HIV/Aids Mainstream- Biofuel task team ing were elected. They are Dekiwe Kat- ProBEC is to support the drafting team songa (External Mainstreaming) and of the Biofuels Development Strategy Samuel Mangame (internal main- and Action Plan for Swaziland, which streaming). has been assigned and will be financed by the UNDP. The deadline for comple- SWAZILAND tion is the 30th of November 2008. The ProBEC enters into a new ProBEC National Coordinator of Swazi- partnership for the installation of land is part of the biofuels task team. Lion stoves for orphans ProBEC entered into a new partnership Socio-economic and technical for the installation of Lion stoves for survey for defining basic energy orphans. Swaziland is setting up train- uses and needs of households in ing courses in the construction of Insti- Swaziland tutional Lion Stove production and Energy for Sustainable Development sales. Five working days are required Ltd (ESD) has been commissioned to for a course: Day 1: General brick lay- conduct a socio-economic and techni- ing skills and introduction to the stove, cal survey for defining basic energy Day 2 and 3: Actual construction of uses and needs of households in stoves, Day 4 and 5: Actual testing of Swaziland. This survey is an endeav- stove. our to inform the development of a The ProBEC national co-ordinator, ProBEC plan for this phase. Other Feziwe Hlatshwayo, held a meeting objectives of the survey are to provide with Daran Rehmeyer, Swaziland’s baseline information for policy formula- Director of Children’s Cup International tion and also to constitute a benchmark Relief and Lindiwe Dlamini, Energy for future monitoring and evaluation. Officer, in connection with this training This exercise will detail energy plan. demand and supply assessment infor- The Children’s Cup International mation; forms of energy used, appli- Relief has an established network of 13 ances in use, costs of energy and Neighbourhood Carepoints (NCPs) in ascertain the willingness and ability to urban and peri-urban areas to work pay. A specific focus will be on thermal with orphaned and vulnerable children, energy, in particular cooking energy mainly in Mbabane and Manzini. Its and heating energy (type of fuel used, main partner is the Alliance of Mayors time to collect fuel wood, source of fuel, Initiative for Community Action on AIDS species, etc) and will determine a set of at the Local Level (AMICAALL). It technical specifications for efficient restricts activities to areas of Swaziland cook stoves adapted to the population where the World Vision organization of Swaziland. does not operate. It favours the Lion This survey will take cognizance of stove because it is safer than an open disaggregating data by gender in order fire, and also because its fuel saving to reflect the specific needs, uses, features puts less pressure on existing demands and priorities. Data to be col- firewood shortages. lected will be subdivided into basic To establish a care point, a mini- socio economic data, cooking habits, mum of 150 children are needed and space heating, energy use and hence an Institutional Stove is needed demand. to cater for large quantities of food to G Contact: Erika Schutze feed so many children. The organiza- ProBEC tion is planning to train a number of P O Box 13732, Hatfield 0028, unemployed youths from the care Pretoria, South Africa points so that they can reliably build the Tel: +27 11 339 6633 stoves. Mr Rehmeyer also plans to Fax: +27 11 3396634 train trainers, ensuring that there skills E-mails: [email protected] or are verified and that they are compe- [email protected] tent in stove construction. Several Physical organizations have expressed interest in building the stoves, but for now, efforts are concentrating on building 14 Energy Management News
Eskom’s ‘trust bust’
eliability, integrity, empathy expectations. Service brands naturally and familiarity are four of the Its most crucial create high expectations – they have ‘Rdimensions on which trust is to. Who could sell a banking brand built. By not adhering to these tenets, that’s ‘Today. Tomorrow. Together. Eskom is facing load shedding of its ‘load-shedding’ Mostly.’ or ‘Inspired. Motivated. Invol- own; that of its credibility.’ ved. Sometimes.’?’ These two sentences, from Brand to date? Levitan concludes: ‘As with most Economics’ senior vice-president, Jon- virtues, the key lies in actions rather athan Knowles, succinctly summarise than words. Start with a review of cur- what every good marketer, brand rent practices from the perspective of builder or public relations professional the four dimensions of reliability, has been thinking since the entity fields – accountability, transparency integrity, empathy and familiarity. The plunged South Africa into its current and receptiveness,’ she argues. aim is to eliminate behaviours that may energy crisis. Brands & Branding launched the be damaging your perceived trustwor- They also form the core of an article Brand Trust Index™ in conjunction with thiness and identify behaviours that written by HKLM’s Brand Consultant, Ipsos Markinor in the 2007 edition. This actively promote it constantly.’ Lori Levitan, AD, in the 2008 edition of highlighted which brands, out of a The Encyclopaedia of Brands & The Encyclopaedia of Brands & Brand- cross-section of product categories, Branding in South Africa is published ing in South Africa, which will be were most trusted by South African by Affinity Publishing, and the 2008 edi- launched in September this year. consumers. The top 10 most trusted tion will be on sale in September this In this article, Levitan points out that brands that year were (from number 1) year. the currency of brand trust has in- Discovery Channel, Tastic, Nokia, Ace, creased in value over the latter part of Koo, All Gold, Kellogg’s, SABC1, White With acknowledgement to Bizcommuni- the 20th century as the functional dif- Star and Cadbury’s Dairy Milk Choco- ty.com ferences between the goods and serv- late. G Contact: Affinity Publishing ices on offer from competing providers Interestingly, despite several serv- Tel: +27 11 442 2366 become harder to identify. Living in ice categories being included in the E-mail: [email protected] uncertain times has also significantly survey, none of the big and powerful altered the attributes people ascribe to service brands featured in the top 10 being ‘trustworthy’. list. Using the most dramatic ‘trust bust’ ‘The difficulty for service brands is in the South African commercial arena that they rely on the human factor to in recent times, Eskom, she explores meet these high expectations, while what the company can do now to manufactured goods (such as choco- rebuild trust in the eyes of its profound- late) rely almost solely on the product ly sceptical consumers, and then asks itself – certainly an easier variable to with trust as the competitive advantage manage. Not sweet enough? Just add of the 21st century, what practical steps more sugar. It’s not that easy with peo- can brand and business managers take ple who lack ‘sweetness’,’ explains to build it? Brands & Branding’s publisher, Ken This is achieved by an in-depth dis- Preston. cussion about the concepts of ‘brand ‘Trust is very closely linked to versus reputation’, ‘trust versus confi- expectation, which is shaped by brand dence’ and ‘building trust’. promises. Trust is created when prom- ‘In the business world, trust repre- ises – and thus expectations – are met, sents a competitive advantage, infinite- but it is destroyed when promises are ly exploitable and virtually impossible to broken. replicate. Without the requisite ac- ‘It’s the fine line that brands have to countability, however, it’s easy to lose tread – if you create high expectations and far more difficult to regain. with bold promises, you simultaneously ‘So to build trust, companies should create a potentially long and hard fall focus on their performance in these from grace if you don’t meet those Energy Management News 15
BOTSWANA from Mozambique for possible cogen- Eskom reducing power supply eration projects in South Africa. This Eskom will be reducing its power sup- follows on from complaints that Sasol ply to neighbouring Botswana from the demonstrated "bad faith" by entering current 410 MW to 250 MW in 2009, into serious engagements with industri- and 150 MW in 2010 and 2011, as it Energy al customers, which have now been struggled to keep up with demand, a told that there is no surplus gas avail- top Botswana government official, able for their energy projects. Akolang Tombale, said. Botswana's www.sanea.org.za current peak consumption was current- news ly 530 MW, and it generated 120 MW of NIGERIA its own power, leaving a shortfall that it Nigerian government approves was hoping it could secure from nearby strategy for additional 16 000 MW Mozambique. However, there were in The Federal Executive Council (FEC) challenges in getting the power from has approved the recommendations of the coastal country to Botswana, which the Presidential Committee on the mainly had to do with transmission. Accelerated Expansion of Nigeria's Rainfall and vandalism were the main Africa Electricity Infrastructure. The measures problems. are intended to increase the electricity www.sanea.org.za supply in the country to 6 000 MW at a cost of $2.7 billion in the next 18 CAMEROON months and to add a further 10 000 Over 100 killed during strike over MW by 2011. fuel prices Nigeria currently produces less More than 100 people are reported to than 3000 MW but needs at least 6 000 have died in clashes between demon- MW to meet current national consump- strators and police in the African state that the Southern African country was tion demand, and at least 10 000 MW if of Cameroon. Violence broke out in rich with hidden reserves and looking the whole country is electrified. Cur- various parts of the country after a for investors. ‘One of our major objec- rently only 30% of the population have strike against a rise in fuel prices and tives in the energy sector is to secure access to electricity. protests at the overall high cost of new projects for the generation, trans- Meanwhile, 21 gas turbines are rot- essential products. The strike was mission and distribution (of hydropow- ting away at ports because of a halting called off after union leaders negotiated er) with the aim to meet our current and of work on some National Integrated a small cut in recently hiked petrol future needs, therefore, we need to Power Project (NIPP) sites as a result prices. attract foreign investments for the of payments by the Federal Govern- www.energynews.co.za industries. Each participant should ment being put on hold. The cost of the share experiences aimed at benefiting imported power-generating equipment MOZAMBIQUE the socio-economic development of is estimated at over $300 million, and it $8bn refinery planned for Mozambique.’ is feared that it may no longer function Mozambique www.sanea.org.za optimally because it is not being well An $8-billion oil refinery with a capacity preserved. of 350 000 barrels per day has been Eskom increases supply from www.energynews.co.za approved by the Mozambique govern- Mozambique's Cahora Bassa ment. The refinery, which is expected Eskom will increase its capacity by 250 NNPC says ending gas flaring in to become operational in seven years, MW from Mozambique's Cahora Bassa Nigeria by 2009 is unrealistic will be developed by OILMOZ and hydro-electric power station, following The Nigerian National Petroleum Cor- financed through foreign banks. The a $60 million refurbishment of the facil- poration (NNPC) has told the House environmental and feasibility studies ity. The five-year agreement will bring Committee on Petroleum that meeting are expected to be completed within the total amount Eskom can import the government's target to end gas flar- two years. The project is the second from Cahora Bassa to 1 500 MW. Elec- ing by 2009 is unrealistic without prop- refinery to be announced in the past tricidade de Mozambique (EDM) will er funding. Nigeria's Department of year, and is aimed at reducing the also receive 50 MW additional capacity Petroleum Resources (DPR), which energy-hungry nation's dependency on from the fifth generator at Cahora regulates the industry, has warned that imported fuels. Bassa. The power will be supplied over companies that fail to end flaring by a network extending through Zimbab- end of the year risked having their pro- www.energynews.co.za we and Botswana to the South African ducing fields shut in until they install grid or via the HVDC line to Apollo. facilities for flare out. Looking for investors www.energynews.co.za Minister of State for Petroleum Mozambique invited foreign investors Odein Ajumogobia suggested that poor to promote and explore the country's No surplus gas for energy projects environmental practices in the industry mining and energy resources, which Petrochemicals group Sasol said it did are a cause of insecurity in the Niger include coal, natural gas and titanium. not enter into any negotiations with, nor Delta. Shell Regional Vice President of Energy Minister Salvador Nambuerete make any commitments to, companies Exploration and Production Anne told an energy and mining conference seeking to use additional natural gas Pickard said it would cost Shell $6 bil- 16 Energy Management News lion to end flaring at the 1 000 or so ing to the Federation of The Swaziland capacity of 500 MW. Half of the power wells Shell owns in Nigeria. Nigeria is Employers and Chamber of Commerce generated from the three stations, known for flaring the most gas of any (FSE&CC). Swaziland's petrol price Harare, Bulawayo and Munyati, would country in the world. Gas flaring is a increases tend to follow trends in be exported to South Africa and the cause of health and environmental neighbouring South Africa. remainder would be for local consump- problems, and wastes valuable The South African Petroleum Indus- tion. Eskom has proposed to inject resources that could be processed into try's Avhapfani Tshifularo warned that between US$15 million and US$25 mil- usable fuels. consumers could expect another price lion to recapitalise Hwange Colliery www.energynews.co.za hike in May, but was unlikely to be as Company Limited, which would supply much as the latest 68 cents per litre the power stations. SOUTH AFRICA increase. www.energynews.co.za PetroSA gas-to-liquid fuel plant www.energynews.co.za shut down The 45 000 barrel a day, PetroSA gas- ZIMBABWE to-liquid fuel plant, in Mossel Bay, had Eskom in talks with Zimbabwe's to be shut down for safety reasons, Zesa for additional 500 MW after a 100 mm crack was discovered in South African electricity company the company's gas inlet pipe. Eskom is negotiating with the Zimbab- It will also spend $650-million over we Electricity Supply Authority (Zesa) the next two years to help secure ener- for the refurbishment of three power gy to help alleviate the country's power stations with a combined generation crisis, a senior official said. PetroSA was also in talks with power utility Eskom to provide gas for new gas-fired power stations. PetroSA also expects its Coega oil ISES Solar World Congress 2009 refinery project to run 250 000 barrels 11 – 14 OCTOBER, JOHANNESBURG, SOUTH AFRICA per day, up from a previous 200 000 bpd forecast, a senior official said. "Moving from 200 000 to 250 000 (bpd) frica, the continent of sunshine, line registration and abstract submis- is really not costing you a lot, so this is will host the International Solar sion. Please visit www.swc2009.co.za now the base case," PetroSA's vice AEnergy Society Solar World for more information, pre-registration president for midstream ventures, Jorn Congress 2009 in Johannesburg, and submission of your abstract. Falbe, told reporters on the sidelines of South Africa, from 11 to 14 October, a gas and oil conference in Cape Town. 2009. EXHIBITIONS www.sanea.org.za The SWC2009 is organised by the The congress will include an exhibi- Sustainable Energy Society of South- tion section for international and local Sasol's expansion ern Africa, a regional representative of companies, industry bodies and asso- South African synthetic fuels producer ISES for the past 35 years. The con- ciations to display a variety of renew- Sasol reported that it had become the gress theme, Renewable Energy: able energy solutions. first company worldwide to receive Shaping our future, is particularly apt The exhibition offers excellent international acceptance for its fully in this age of increasing world energy marketing and advertising opportuni- synthetic jet fuel, produced through its prices and a lack of access to basic ties for your company to introduce proprietary coal-to-liquids (CTL) pro- electricity, especially in Africa. and promote your products to the cess, to be used by commercial airlin- SWC2009 offers a unique oppor- attending delegates and associated ers. tunity to showcase renewable energy visitors. To ensure that you do not Sasol has also announced that its in Africa, for Africa, to Africans. miss out on this chance, visit subsidiary, Sasol Wax, had acquired SWC2009 also provides international www.swc2009.co.za to book prime the remaining 50% share of its North networking opportunities in a conti- exhibition space well in advance. American joint venture (JV) Luxco Wax, nent that can and is ready to absorb G Contact: ISES Solar World Con- turning it into a wholly owned Sasol renewable energy solutions to benefit gress 2009 Wax operation. Luxco Wax, which its people. Website: www.swc2009.co.za operates a plant in Richmond, Califor- nia, is a supplier of wax specialities to a REGISTRATIONS AND diverse group of industries, with partic- ABSTRACTS ular strengths west of the Rocky Moun- The SWC20009 is now open for on- tains. www.sanea.org.za
SWAZILAND Swaziland petrol price increase will harm local industries The petrol price hike in Swaziland will deal a blow to local industries, accord- Energy Management News 17
Energy management training courses
outh Africa is in the grip of an steam turbines. tion technologies. Utility managers and energy crisis, which not only • Learn how to conduct a feasibility engineers will gain an understanding of Sendangers the country’s eco- analysis and make realistic and various CHP and cogeneration applica- nomic development, but our standard successful economic decisions. tions to support customer needs and of living. Government announced a • Learn how to use software to model interests. pre-emptive plan to reduce the strain and optimise CHP economics (soft- on the grid. This plan will consist of ware is provided CERTIFIED ENERGY MANAGER massive load shedding and power to attendees). COURSE rationing in an attempt to reduce This interactive and hands-on The Energy Training Foundation (ETF) national demand by at least 10%. Vol- course has been developed to provide in conjunction with the Association of untary rationing was set to become you with tools to implement successful Energy Engineers (AEE) in the USA is mandatory through regulation from combined heat/cool/power systems- presents a 5-day comprehensive ener- April 2008 onwards. using cogeneration technology, distrib- gy management training course. This This will run in conjunction with the uted generation, and microturbines. course forms also part of the Certified Power Conservation Programme (PCP) You will receive an extensive textbook Energy Management (CEM) pro- which includes quotas that require 10% containing course materials and benefi- gramme that has been presented in reductions in energy use and demand cial software for future reference. This Southern Africa since 2002. The Certi- for all industries, software is a spreadsheet that ana- fied Energy Manager (CEM) Course 15% for all commercial and office lyzes cogeneration options and heat has been Continuous Professional buildings, and 20% for hotels, resorts recovery. Development (CPD) accredited and will and shopping malls. Harsh penalties earn you 4.0 credits. will be enforced if these targets are not Ideal candidates for Cogeneration This special in-depth five-day semi- met, whilst incentives will be given if Technologies nar is ideal for professionals who seek they are. Industrial plants, universities, commer- a more detailed program of instruction It is consequently clear that every- cial campus-type facilities, research covering the technical, economic and body has a role to play in averting a full parks and centres, medical campuses, regulatory aspects of effective energy scale national crisis. Penalties will have hospitals, and large and small commer- management. The program offers a a direct impact on your bottom-line cial facilities are often excellent candi- comprehensive learning and problem- whilst incentives will make it worth your dates for the use of cogeneration tech- solving forum for those who want a efforts if you become energy efficient. nologies and distributed generation. broader understanding of the latest Can you afford not to become part of Frequently, facilities with a 12-month energy cost reduction techniques and the solution? electrical demand and large seasonal strategies. The Energy Training Foundation load variations, such as food process- The seminar outline includes the (EFT) offers the following energy train- ing plants or institutions with large air- following: ing courses. conditioning loads, can benefit from • The Need for Energy Management implementing these technologies. • Conducting an Energy Audit COGENERATION TECHNOLOGY In this course, system cost guide- • Energy Audit Instrumentation COURSE lines along with a discounted cash flow • Energy Codes and Standards This interactive and practical course is economic computer model will help you • Building Energy Use and Perfor- your opportunity to: to evaluate the internal rate of return mance • Expand your knowledge of current and payback periods. Extensive work- • Energy Accounting cogeneration technologies, distrib- shops and group problem-solving exer- • Energy Rate Structures uted generation, combined heat cises will promote thorough knowledge • Electric Rate Structures and power (CHP) plants and micro- transfer, encourage discussion, and • Economic Analysis of Alternative turbines. provide in-depth student-instructor Investments • Understand the combination of interaction. • Alternative Financing heating, cooling and power loads This course will help owners, facili- •Waste Heat Recovery and how to optimize their time-of- ty engineers and managers, ESCO • Life Cycle Costing use characteristics. developers, and consulting engineers • Fuel Supply /Fuel Switching • Examine the economics of typical to plan, select and evaluate the best • Electrical Energy Management installations using gas turbines, combined heat/cool/power plant using • Lighting internal combustion engines and distributed generation and cogenera- • Motors and Adjustable Speed Dri- 18 Energy Management News
ves nel from: G Contact: Christina den Heijer Energy Training Foundation • HVAC System • Management; Cell: +27 (0) 82 334 0923 • Controls and Energy Management • Plant operations; Fax: +27 (0) 18 294 7174 • Insulation • Maintenance; E-mail: [email protected] • Boilers and Steam Generation • Engineering; and • Cogeneration • Finance. Marietjie Strydom • Maintenance Energy Training Foundation On day five, the Certified Energy Man- ENERGY AUDIT TRAINING COURSE Cell: +27 (0) 83 401 7709 ager (CEM) examination will be admin- This is a four-day skills development Fax: +27 (0) 18 294 7174 istered to participants who have applied programme that will earn you 2.0 CPD E-mail: and pre-registered for the exam in credits. [email protected] advance. Energy Audit Training consists of There is no obligation to write the two elements: CEM exam on the last day of the 5-day • The Energy Audit Training training course. Persons who are inter- Course aims to develop the skills and ested in attending only the 5-day ener- knowledge required of individuals that gy management are free to do so. It is conduct energy audits in government preferred that you register in advance if and other commercial and Industrial you want to write the CEM exam and buildings. submit your CEM application. However, • The Energy Audit Training if you decided not to write the CEM Course will develop the skills and exam but change your mind during the knowledge required of engineers who course to write the exam we will will manage and monitor the audit pro- accommodate you. You will then have gramme. to submit the CEM application after- The first three days will consist of wards. Persons attending the 5-day course presentations and, on the fourth CEM Course will receive a certificate of day, the trainees will have a theoretical attendance. exam. Target groups that will benefit from INDUSTRIAL ENERGY MANAGE- the training are: MENT TRAINING COURSE • Energy Service Companies This is a four-day programme that was (ESCOs) developed by the Department of Miner- • Service providers als and Energy (DME) with support • Facility managers from Danida. The Industrial Energy • Building managers Management Training (IEMT) Course • Industrial managers is CPD accredited and will earn you 4.0 • Maintenance personnel Credits. • Property owners The four-day programme offers a very practical and hands-on treatment Course contents include: of the management aspects of energy • Basic principles of energy management. In addition to developing • Overview of energy audits an understanding of the issues, it is • Historical energy assessment intended to begin the actual planning • Analyzing the demand profile process of energy management of • Energy assessment methodology industrial clients. and approach Because the course outcomes • Energy efficiency in electrical and essentially involve increased organisa- thermal building and Industrial sys- tional capacity for energy manage- tems ment, it is especially beneficial if more • Business case development and than one person from a given organisa- reporting tion attend as a group. The common • Audit quality assurance understanding of the issues arising • Project development cycle from the course will help to bridge any • Measurement and verification gaps that might exist within the organi- sation regarding the importance and practicality of energy management.
Target groups that will benefit from the training Energy management is not exclusive for engineers and operational mangers. It is thus important to note that this course could greatly benefit all person- Energy Management News 19
Energy events: 2008
AUGUST 2008 9 – 12 5 – 7 INTERNATIONAL BUSINESS EXCHANGE FORUM – 2008 DOBLE AFRICA INTERNATIONAL TRADE FAIR AND CONFERENCE CONFERENCE FOR RENEWABLE Eskom Convention Centre, Midrand, ENERGY South Africa Augsburg, Germany Contact: Steve Svendsen Contact: Anja Ungemach, International Tel: 033 3860 155 Department, REECO GmbH, Unter E-mail: [email protected] den Linden 15, 72762 Reutlingen, Website: www.doble.com Germany 21 Tel: +49 (0)7121 30160 EXT: 137 Fax: +49 (0)7121 3016 200 ENERGY EVENTS E-mail: [email protected] Fourways, Johannesburg, South Website: www.energy-server.com Africa Contact: South African National Ener- 27 – 30 gy Association 2008 AMEU CONVENTION Tel: +27 (0)11 789 1384 Buffalo City, Eastern Cape, South Fax: +27 (0)11 789 1385 Africa E-mail: [email protected] Contact: Marlindi Bosch, AMEU Secre- Website: www.sanea.org.za tariat Tel: (011) 789 1384 E-mail: [email protected] SEPTEMBER 2008 Website: www.ameu.co.za 8 – 13
ELECTRA MINING AFRICA 2008 DECEMBER 2008 EXHIBITION Expo Centre, NASREC, Johannes- 5 – 13 burg, South Africa THE FOURTH INTERNATIONAL Contact: John Kaplan, Specialised JOINT CONFERENCES ON Exhibitions COMPUTER, INFORMATION, AND Tel: (011) 835 1565 SYSTEMS SCIENCES, AND E-mail: [email protected] ENGINEERING (CISSE 2008), University of Bridgeport, Bridge- port, USA OCTOBER 2008 Contact: Khaled Elleithy, CISSE 2008 General Co-Chair, Associate Dean, 7 – 9 School of Engineering, University of 4TH ANNUAL INFRASTRUCTURE Bridgeport, Bridgeport, CT 06604, PARTNERSHIPS FOR AFRICAN USA DEVELOPMENT CONFERENCE E-mail: [email protected] Kinshasa, DRC Website: www.cisse2008online.org Contact: For registration and travel Rue Limekhaya: rue.limekhaya@spin- telligent.com Conference and general Nicole Smith: nicole.smith@spintelli- gent.com Visit www.erc.uct.ac.za for further events and details The newsletter is published quarterly by the Energy Research Centre (ERC) of the University of Cape Town. (ERC is an amalgamation in 2004 of two organisations at the University: the former Energy Research Institute and the Energy and Development Research Centre.) Energy Management News is available free of charge. The articles do not necessarily reflect the views of the editor or of ERC. Enquiries, comments, articles, and information on energy events are welcome, and should be sent to:
Richard Drummond Energy Research Centre University of Cape Town Private Bag Rondebosch 7701 South Africa. Tel: 021 650 3894 Fax: 021 650 2830 E-mail: [email protected]
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