Page 23 - Energize November 2022

AMEU CONVENTION

mining sector and by five companies Let us work together, to be customer- gas and LNG imports into South Africa;
(Anglo Coal, BHP Billiton/South32/SAEC, centric and service orientated. Let and the promotion of small-scale LNG
Sasol, Exxaro and Xstrata) which together us try harder to maintain the current projects around Virginia in the Free State.
account for over 80% of coal capacity. infrastructure, she concluded. Adv. Sithole said that the Regulator
This in itself poses a danger, she must ensure that all regulated entities
said. This sector lost over 10 000 jobs NERSA Address embrace JET by gradually investing in JET
over the last ten years, partially as result Advocate Nomalanga Sithole, the CEO production technologies. Nersa seeks to
of an overemphasis on the move away of the National Energy Regulator of continuously improve its regulatory tools,
from coal to other sources. According South Africa (Nersa) said that the role align them to international best practices
to the minister, that overemphasis and of the Regulator had evolved through with full recognition of South Africa’s
loss of jobs had a negative affect on policies and procedures passed by the energy needs, and in support of the JET
the economies of four municipalities minister responsible for the Department agenda, she added.
in Mpumalanga: eMalahleni, Steve of Mineral Resources and Energy, to
Tshwete, Govan Mbeki and Msukaligwa, facilitate a just energy transition in South Panel discussion
where 76% of all coal workers live. Africa. The Regulator therefore seeks Under the leadership of the AMEU’s
Despite these job losses the level to promote efficient distribution and strategic advisor, Vally Padayachee, a
of absorption of the workers in the pricing of electricity, natural gas and panel of five experts discussed “The
renewable energy sector has not been transportation of petroleum products. response to the impact of the South
good, as the renewable sector requires a African electricity crisis on sustaining an
slightly higher level of skills and over 81% effective service delivery by municipality
of coal mine workers have matric or less. electrical utilities to its end customers.”
These coal workers therefore The panel included Prof Pat Naidoo, a
make a very small portion of the 28 former Eskom board member; Nhlanhla
000 employed in the sector, which Gumede from Nersa; Roy Wienand from
incidentally is also 45% of the continent’s eThekwini Municipality; Tom Garner
renewable energy workforce. We must from the South African Independent
also take into consideration that our Power Producers Association (SAIPPA);
energy demands going forward are likely and Fanele Mondi of the Energy Intensive
to double by 2050. Therefore, to mitigate Adv Nomalanga Sithole - Nersa CEO Users Group.
the possibility of a greater energy crisis,
rather than disinvesting in coal, we must The Electricity Regulation Act of 2006 The panel identified four main areas
place greater emphasis on researching allows the minister, in consultation with which should receive focus to overcome
and investing on getting cleaner and the Regulator to the energy crisis in South Africa:
more efficient coal-based technologies • Determine that new generation • Demand side management: Effective
and solutions. capacity is needed to ensure the measures are needed to improve
While it is important to migrate to continued uninterrupted supply of the management of available
cleaner technologies, the minister said, electricity power generation to match load,
we must find the appropriate energy • Determine the types of energy with minimal negative impact on
mix that will give us the most just of sources including their percentages production.
transitions. Electricity significantly from which electricity must be • Eskom Generation: Power plant
contributes to the improvement of generated performance must be addressed
human lives. In addition to its positive • Determine that electricity thus urgently to increase each power
social effects, electricity stimulates the produced may only be sold to the station’s energy availability
economy. The economic growth and persons or in the manner set out in in factor (EAF). This will require
development process is powered by a determination effective maintenance with proper
energy. Without energy, development • Determine that electricity thus performance monitoring.
is impossible. Access to electricity in produced must be purchased by the • IPPs: Independent power projects
South Africa, as with access to other persons set out in a determination which have been approved by the
basic services such as housing, education minister must be accelerated to
and water is paralleled by high levels of Adv. Sithole defined Nersa’s objectives as minimise the electricity supply gap.
poverty and socio-economic inequality. facilitating electricity generation through • Transmission and distribution: The
We must therefore work together as part gas-to-power projects; the expansion of grid must be strengthened to support
of the District Development Model to the natural gas sector through investing and accommodate additional power
deal with the challenges we are facing in activities such as the hydrogen injections as new generation projects
and to embrace the energy revolution. economy; the facilitation of more piped come on stream.

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