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GAS with their African neighbours on building gas version in 2019. The IRP 2019 proposes to
import infrastructure.” add 39 696MW by 2030 to the national grid,
SA should urgently move on the continent, South Africa could also look including power generation by independent
Following that example, and others in
power producers.
gas monetisation to solve at LNG as an essential source to drive its launched the Independent Power Producers
In such regard, the government
economic growth.
problems imports, grow exports, expand access to Procurement Programme and the Renewable
Gas to power can help South Africa reduce
Energy Independent Power Producer
As Southern Africa’s leading economy, South electricity, improve its economy, and fund Programme, with the target of producing 17
Africa should evaluate the development of social development. 800MW by 2030. The REIPPP has procured
gas-to-power projects to address climate South Africa has mainly utilised coal projects from four bidding rounds, with the
change, increase its power generating capacity, power plants as its primary energy source; much-expected fifth-round launched in April
and stop load shedding, which represented an however, meeting the supply has been this year.
estimated loss to the South African economy challenging to the government as the demand Furthermore, under renewables, the
of R338 billion over the last ten years, for energy increases. government has also been exploring
according to Business Tech. Regularly scheduled mandatory load generating electricity using solar energy,
Such power projects could be fuelled by shedding started in 2007 to allow maintenance which also falls under the REIPPP.
liquified natural gas (“LNG“) considering periods of power generators and recovery According to government’s information,
sub-Saharan Africa’s significant natural gas of coal stockpiles before the winter when the program aims to bring additional MWs
resources, which remain underexploited. electricity usage surges. It has been 13 years of onto the country’s electricity system through
Such projects could be the key to the same problem with no practical solution private sector investment in wind, biomass,
transformative change, by making on sight. and small hydro, among others.
available reliable energy for growth and According to a Public Servants Association However, as much as it serves as a tool to
industrialisation at affordable rates, something (PSA) document published in 2015, South bring additional megawatts onto the country’s
that South Africa has been looking for a long Africa’s grid has inadequate capacity electricity system, it is unlikely to be the silver
time. to operate within reasonable operating bullet, as photovoltaic devices die out after
However, this will not be an easy task buffers due to overworking of aging power 20 years, need to be replaced and require a
as South Africa’s demand for affordable stations, triggering failures, and sparking backup energy source for the grid.
and reliable energy is expected to multiply load-shedding. The roots of the crisis lie in Furthermore, The Department of Mineral
multiple fold, considering its relatively young insufficient investment in new generation Resources launched the Risk Mitigation IPP
population, standing at a median age of 27.6 capacity. Procurement Programme in August 2020 to
years and rising urbanisation. With the introduction of load shedding procure 2000 MW of new generation capacity
The South African government needs to in 2007, the government took swift action by and connect to the grid as fast as possible.
elaborate energy plans for the next 50 years announcing a costly overhaul of two power The RMIPPPP was a success as there
to keep the economy growing and meet the plants, Kusile and Medupi, which were meant were eight successful bidders, including
anticipated growth in demand. If that does not to become fully operational by 2015; however, three contracts awarded to Karpowership,
happen, South Africa will not only fail to stop the construction was set back by spiralling a subsidiary of Turkey’s Karadeniz Energy
load shedding, but the system may deteriorate costs, delays, and corruption scandals. Group, to supply power ships in the ports of
under the weight of ever rising demand, Eskom informed the public, that the Richard Bay, Saldanha, and Coega, under a
leading to longer blackouts. first unit of the Kusile power station was 20-year Power Purchase Agreement.
In his book Billions at Play, Mr. Ayuk connected to the national grid in 2016, adding Energy will be produced from these
describes Qatar, Equatorial Guinea and 800MW to stabilise the power system. Kusile powerships from LNG. Per Business Insider
Trinidad and Tobago as an excellent example unit 2 achieved commercial operation on South Africa, the powerships, will feed energy
for the rest of the continent as they have 29 October 2020 and Unit 3 in March 2021, back into the grid at a cheaper cost than
“demonstrated a leadership position on the while Medupi Unit 1 will achieve commercial Eskom’s current diesel-burn rate and produce
importance of utilising its natural resources operation by July 2021. a total of 1,220 MW across all three ports.
for the benefit of its people and neighbours. According to Eskom, Medupi Unit 3 While not optimal due to the length of
Its use of natural gas for LNG exports, reached its full generation capacity (793MW) the contracts, the power ships can reduce
for gas-to-power facilities, for compressed in April 2020. The unit has completed seven load shedding in the short term, giving the
natural gas, and further down the road … consecutive months of improved performance government some time to develop the gas
provides a reference point for the rest of the since. industry trade and the option to explore or
continent”. This could serve as a “template for The government launched the Integrated build regasification plants to boost its energy
how African countries holding a wealth of Resource Plan for electricity (“IRP“) in 2010, industry.
natural gas can share their resources and work which was later replaced by an updated AFRICA NEWS

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