Author: Ntobeko Mangqwengqwe

TO ALL
MEDIA/NEWS EDITORS

SATURDAY 21 JANUARY 2023

NATIONAL ENERGY CRISIS COMMITTEE RELEASES SIX-MONTH PROGRESS UPDATE ON IMPLEMENTATION OF THE ENERGY ACTION PLAN

The National Energy Crisis Committee (NECOM) has today, 21 January 2023, released a six-month progress update on implementation of the Energy Action Plan.

This update follows a period of load shedding which was escalated to stage 6 due to a high number of breakdowns across Eskom’s generation fleet.

The declining Energy Availability Factor of Eskom’s fleet reflects the cumulative impact of historical underinvestment in maintenance and assets, exacerbated by flaws in the design of new power stations in the last decade.

To respond to the severe impact of load shedding on households, small businesses and the economy as a whole, President Cyril Ramaphosa announced a range of measures in July 2022 to improve the performance of existing power stations and add new generation capacity as quickly as possible.

The Energy Action Plan was developed through extensive consultation and endorsed by energy experts as providing the best and fastest path towards energy security.

The NECOM has since been established to coordinate government’s response and ensure swift implementation of the plan.

During the past week, the President has convened the NECOM in order to accelerate government’s efforts to reduce load shedding. He has also engaged with a wide range of stakeholders, including political parties, labour unions, business associations, community groups, interfaith leaders, traditional leaders, premiers and mayors to ensure a collective response to this national challenge.

The progress update released today outlines important steps that have been taken to follow through on the commitments announced by the President.

These include:
– Schedule 2 of the Electricity Regulation Act has been amended to remove the licensing requirement for generation projects, which will significantly accelerate private investment.
– Since the licensing threshold was first raised to 100 MW, the pipeline of private sector projects has grown to more than 100 projects with over 9000 MW of capacity. The first of these large-scale projects are expected to connect to the grid by the end of this year.
– The NECOM has instructed departments to cut red tape and streamline regulatory processes for energy projects, including reducing the timeframe for environmental authorisations to 57 days from over 100 days previously; reducing the registration process from four months to three weeks; and ensuring that grid connection approvals are provided within six months.
– Project agreements for 19 projects from Bid Window 5 and six projects from Bid Window 6 of the renewable energy programme, representing 2800 MW of new capacity. These projects will soon proceed to construction.
– A new Ministerial determination has been published for 14771 MW of new generation capacity from wind, solar and battery storage to accelerate further bid windows.
– An additional 300 MW has been imported through the Southern African Power Pool, and negotiations are underway to secure a potential 1,000 MW from neighbouring countries starting this year.
– Eskom has developed and launched a programme to purchase power from companies with available generation capacity through a standard offer. The first contracts are expected to be signed in the coming weeks.
– A team of independent experts has been established to work closely with Eskom to diagnose the problems at poorly performing power stations and take action to improve plant performance.

Six power stations have been identified for particular focus over the coming months through a comprehensive Generation Recovery Plan, with oversight from the new Eskom board.

While the power system remains constrained in the short term, these measures will reduce the frequency and severity of load shedding as new capacity is brought online.

President Ramaphosa said: “South Africans are right to demand immediate action to address the devastating impact of load shedding on our lives and on the economy.

“The Energy Action Plan provides a clear way out of this crisis. We do not need any new plans – we are focusing on implementing this plan fully and effectively to achieve energy security for all South Africans.”

The President has further instructed law enforcement agencies to ramp up efforts to protect electricity infrastructure.

A special meeting of the National Security Council will be convened in the next week to receive a report on operations underway to disrupt criminal syndicates and address theft and sabotage at several power stations.

Addressing the ongoing shortfall in electricity remains government’s single most important priority.

Further updates will be provided on a regular basis regarding progress in implementing the Energy Action Plan.

The full update can be accessed at http://bit.ly/3D4243A

Media enquiries:

Vincent Magwenya,
Spokesperson to the President

ISSUED BY THE PRESIDENCY OF THE REPUBLIC OF SOUTH AFRICA

www.thepresidency.gov.za

As we reflect with gratitude on George’s busy holiday season and its benefits for the economy and employment, we are immediately confronted with Eskom’s Stage 6 loadshedding disaster at a time when industry, business and schools are only beginning to return to work after the holidays.

Stage 6 is extremely debilitating for businesses and households alike. Electrical equipment is not designed for ongoing loadshedding and requires ongoing maintenance; diesel costs for generators approximate R120 000 per day; crime and vandalism also thrive under cover of darkness. Water and waste-water networks are constantly at risk. Teams are therefore at full stretch.

In March 2022, Council already took decisions to spend R220m over three years to start providing electricity security. As 8-10% of our bulk purchases of electricity are used on our own municipal infrastructure, we decided to procure Solar PV plants for these installations as a first step towards reducing our reliance on Eskom to avoid Stage 1 of loadshedding with the objective to avoid Stage 2 within the next 2-3 years.

We also decided to procure generators to ensure that important installations could still operate during loadshedding. These include the water and waste- water treatment works as well as key pump stations with many generators already operational. Uninterrupted power supply units were installed to ensure that traffic lights at 60 intersections could continue functioning. We have started installing energy efficient streetlights. Extensive preventative maintenance has been undertaken on the electricity network.

The procurement for 1,9MW of Solar PV plants is approaching the construction stage. The environmental approval process for the 9MW plant is underway which should permit construction to commence after July 2023.

It has now become clear that decisions on the early introduction of battery energy storage options are necessary. Technical solutions are being sought to integrate battery energy into sub-stations and the electricity network. The municipality is seeking technical and funding advice from leading specialists.

Various scenarios involving capital expenditure of R750m-R1500m to avoid up to Stages 3-4 of loadshedding within 3 years have been prepared. For George to avoid the implementation of Stage 1 loadshedding, we need to reduce Eskom’s current load availability of 85MW by 13MW. It is clearly in the interests of all citizens that this is urgently achieved. Every household can assist by requesting the municipality to lower their domestic 60amp usage capacity to 40 amps or below. These measures can reduce load capacity by 5-6MW and thereby contribute to bringing forward the avoiding of Stage 1 loadshedding.

As we strive to alleviate the loadshedding burden for users, the municipality will shortly be meeting with large business electricity users to explore innovative and collaborative solutions.

Ald Leon van Wyk

Executive Mayor of George

Issued on behalf of the Western Cape Ministry for Local Government, Environmental Affairs and Development Planning.

16 January 2023

Anton Bredell, Western Cape Minister of Local Government, Environmental Affairs and Development Planning today supported the City of Cape Town’s recent call to the public to use water sparingly. “All Western Cape residents must help to conserve the water available in our dams as we continue to experience a hot and dry summer. Weather patterns are increasingly unpredictable, so we cannot assume there will be plentiful rain in the next winter season. The best strategy is to adopt a permanent water-saving culture.”

Bredell was reacting to the latest data released by the Department of Water and Sanitation, showing a current combined Western Cape dam level of 57.79%. This is down from 59.57% last week. In terms of the dams supplying Cape Town, it is at a combined level of 65.16%, also down from 67.12% last week. Compared to the same time last year, the provincial combined dam level was 74.51%, and for the Cape Town dam system it was 90.64%.

Minister Bredell said the link between water availability and current high levels of load shedding is compounding the challenges many municipalities are facing to provide uninterrupted water and sewage services to residents. “Without rain in our catchment dams, there is no water security, and without reliable electricity, it becomes very difficult to purify and deliver water to household taps. Also, without electricity, it is a challenge to remove and treat wastewater in a hygienic and environmentally safe manner. We are therefore urging the public to save water, as this will improve our water security profile, while also helping municipalities to manage water and sewage services during increasingly high levels and prolonged periods of load shedding.”

Issued by Corporate Communication, Department of the Premier

As Executive Mayor of George Municipality, I am writing to you on behalf of the citizens of George, to object in the strongest possible terms to NERSA granting Eskom an increase in the price of electricity of 18,65% for the 2023/24 financial year.

This enormous price increase is unaffordable, unfair and unjust.

Our customers, inclusive of residents, small and medium businesses, simply cannot afford these continuous price increases that is once again well above that of the consumer price index (CPI). The majority of South Africans are already struggling to make ends meet.

Our communities are also struggling to keep businesses open with stage 6 blackouts being implemented by Eskom. On most days, communities are left without electricity for 8 – 10 hours per day and the situation is not expected to improve in the short term.

Eskom is proving to be unable to be a reliable supplier of electricity. NERSA as the regulator is seemingly unable to provide the necessary guidance and direction to ensure that Eskom fulfils its mandate. Eskom has been permitted to continue its mismanagement and practices of corruption for years. Further its Board of Directors has failed in its responsibilities in not ensuring that corrective action is taken to reduce the bloated workforce, collect its outstanding debtors, stop the purchasing of sub-standard coal, ensure an appropriate and financially sound equity structure, proper and timely maintenance of its generating facilities or support for its Chief Executive Officer and Chief Operating Officer.

It is therefore totally unfair and unjust for South Africans to be constantly expected to pay more for electricity while receiving less of it. Our residents will now be expected to pay even more exorbitant prices for electricity they simply do not get. South Africans are rightfully tired of having to foot the bill for years of corruption and mismanagement at Eskom.

Municipalities are expected to distribute electricity and maintain their networks, but this is becoming increasingly difficult as Eskom is clearly unable to supply electricity on a consistent 24-hour basis. As a result, municipal revenue from electricity is declining through lower sales of kilowatt-hours.

Any increase should be in line with the CPI. A 18,65% increase is outrageous and unjust, especially given the fact that we are experiencing the worst loadshedding on record.

In addition, Eskom provides no preference to its good customers who regularly pay their accounts, in terms of price increases or regular supply of electricity.

As a Municipality, we are continuing with our plans to mitigate the risks of the unreliable supply of electricity by having to secure alternative energy to protect our communities from Eskom’s load shedding. This includes the installation of solar PV plants and battery storage to supply our own infrastructure and to assist our business and domestic consumers. We are also undertaking wheeling transactions and encouraging independent power producers.

It is an extreme injustice to expect that ordinary citizens of George (and, indeed, residents of every municipality in the country) should be forced to bear the cost of Eskom’s inability to supply electricity and to fix its own problems. It is likely that the approved increase will be widely condemned, destroying chances of economic recovery in South Africa and adding to our burden of unemployment and poverty.

I trust that this letter will receive your urgent attention to reverse the price increase that has been granted.

Yours faithfully
Ald Leon van Wyk
EXECUTIVE MAYOR
GEORGE MUNICIPALITY

The Thembalethu Library held a holiday programme in December, stretching from 8 to 20 December 2022 at the library. Fourteen (14) children participated in a story reading from an Isi-Xhosa book called, “Isibedlele siyandoyikisa” (A hospital scares me). On 15 December 2022, 22 children participated in another story reading event from an Isi-Xhosa book titled “Ekhaya” (At home) and another one titled “Icikilishe eliluhlaza elinamaqhinga” (A cunning green lizard). And lastly, on 20 December 2022, 19 children participated in a story reading from an Isi-Xhosa book titled, “Ukuzalwa kukaYesu” (The birth of Jesus).

10 January 2022