Page 5 - AfrElec Week 30 2022

AfrElec COMMENTARY AfrElec

capacity to the grid on an urgent basis,” Rama- generate 6,000MW have been made over the
phosa said. past few months, with some of them advancing
“As an immediate measure, surplus capacity towards construction stage.
will be bought from existing independent power “Following the success of this reform and the
producers. These are power plants which built enthusiasm shown by the private sector, we will
more capacity than was required and can now remove the licensing threshold for embedded
supply this excess power to Eskom. As part of generation completely. This will enable private
addressing the shortage of megawatts, Eskom investment in electricity generation to rise to
will now also purchase additional energy from higher levels,” he said.
existing private generators such as mines, paper The country, Ramaphosa added, has abundant
mills, shopping centres and other private entities sunshine which businesses and households can
that have surplus power.” harness through rooftop investments to produce
The continent’s most developed economy has energy for own consumption. His government
battled an electricity supply crisis since 2007. will incentivise the solar projects.
It, however, worsened over the past few weeks Eskom will be unbundled into three units
with around 18,000MW being lost. This forced responsible for generation, transmission and
Eskom to institute a strict national power ration- distribution. The law would be amended to
ing programme. accelerate private sector investment in power
South Africa has an installed capacity to pro- production.
duce 46,000MW, 80% of it coal-fired and has a “These measures are preferable to declaring a
peak demand of about 32,000MW. However, state of disaster or even emergency, as some have
only 60% of the installed capacity is available at suggested,” Ramaphosa said.
any given time due to planned maintenance of “These interventions will allow us do what is
some units and others having unplanned out- necessary to accelerate new generation capacity
ages. Also, many of the Eskom’s facilities are 35 while protecting the rights of all South Africans

years old averagely, which affects their efficiency. and upholding the rule of law. We do not need a
On local procurement, Ramaphosa said state of emergency or national disaster to imple-
5,200MW of solar and wind capacity will be ment common sense regulations that should
added. About 80 private sector proposals to help in resolving our energy crisis.”™

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