Page 12 - AfrElec Week 19 2021

AfrElec NEWS IN BRIEF AfrElec

ESKOM HYDRO the dam expected to provide electricity to 60%
of the county.
NERSA to oppose Eskom’s Ethiopia to generate filling, put forward by US, UAE and African
An interim agreement on the second
desire to review old tariffs electricity from GERD in mediators, has been agreed to in principle by
Ethiopia, but has expressed disappointment
South Africa’s national energy regulator, August that it does not address the issue of
NERSA, has stated that it will oppose the participation in the filling process.
Eskom high court application to review its Ethiopia has announced that the Grand Ethiopia wishes coordination with
RCA. Ethiopian Renaissance Dam (GERD) will start downriver countries to be limited to the
The application by Eskom sets out producing electricity in August, following exchange of information and reporting alone.
to review the regulator’s decision on the intense disagreements between Egypt, Sudan
regulatory clearing account (RCA) and and Egypt.
supplementary applications for the 2018/19 A source from the Ethiopian government
financial year. informed The New Arab’s sister publication, INVESTMENT
NERSA confirms that at its meeting Al-Araby Al-Jadeed, that bodies had been
held on 28 April 2021, the energy regulator given notice for electricity generation, the Nedbank plans to phase out
resolved to oppose the High Court application New Arab reported
brought by Eskom Holdings SOC Limited The announcement came as the US envoy fossil fuel funding
(Eskom) against NERSA to review and to the Horn of Africa, Jeffrey Feltman, was
set aside the energy regulator’s decision in Addis Ababa, to discuss concerns with the South Africa’s Nedbank has pledged to stop
pertaining to the approval of a Regulatory project. funding new thermal coal mines by 2025
Clearing Account balance of R13.271bn for The generation of electricity is reportedly and halt direct funding of new oil and gas
the 2018/19 financial year, and the regulator’s dependent on a number of development exploration as it accelerates its commitment to
decision to grant Eskom’s supplementary plans, in which Ethiopia is partnered with finance renewable energy solutions.
revenue balance of R1.288bn in respect of the other countries, and a successful second Nedbank has adopted a new energy policy
2018/19 financial year. filling, that is scheduled to be completed by that redirects investment funds towards
In late 2020, Eskom indicated it would the end of July. cleaner energy alternatives. It will also align
study the regulator’s reasons for decision According to the plan, Ethiopia intends to its business strategy, policies, mandates and
before making a decision on challenging the produce 750 megawatts of electricity, which incentives with the Paris Agreement, while
RCA decision. The Eskom judicial review will be generated by two completed units. scaling up its commitment towards the fast-
application was received on 12 April 2021. The issue of the GERD has caused intense growing renewable energy sector.
The RCA application is a mechanism that disagreements between Ethiopia and its One of South Africa’s four largest banks,
allows the power utility to adjust for over or downstream Nile neighbours Sudan and Nedbank has committed not to provide
under-recovery of revenue for a particular Egypt. funding for new thermal coal mines from 1
year. This allows for any notable gap in the Both Egypt and Sudan have said that the January 2025. The bank also announced that
initial estimations made when the regulator GERD will impact its access to water and will it will not directly finance new oil and gas
initially grants the tariffs. The over or under- lead to acute water shortages in the country. exploration projects with immediate effect,
recovery is then accounted for in adjustments The Nile River supplies Egypt with 97% of and not advance any new finance for oil
in future tariffs. its fresh water. production from 1 January 2035.
Ethiopia views the project as a means to In addition to the ZARR50billon limits
help lift millions of people out of poverty with already committed to the South African
Renewable Energy Independent Power
Producer Procurement Programme, Nedbank
will further its embedded generation
financing to accelerate the transition and aims
to achieve ZAR2billion in financing by 2022.

INVESTMENT

Actis plans to double Africa
energy investments to $2bn

Actis LLP, a UK private equity firm focused,
said it had plans to finalise six African power
deals in 2021 as it looks to double its energy-
related investments on the continent within
the next five years.
The investments this year would total

P12 www. NEWSBASE .com Week 19 13•May•2021