South Africa - International Franchise Association

_Buildings_14October2010.pdf
A variety of incremental Green Technology measures can be expected in the
foreseeable future, including:
• A progressive carbon tax implemented in 2010 on fuel-inefficient internal
combustion motor vehicles, going hand-in-hand with mandating the latest
technology fuels from South African oil refineries to power EURO 5-compliant
internal combustion engines.
• An increased focus on recycling, water efficiencies and treatment and waste
management;
• A sharply increasing electricity tariff regime (recently announced by the South
African regulator to be increasing by 25 percent per year on average over three
years).
• Increasing the efficiencies of the Eskom-dominated power grid. With the
increased tariff regime, cost structures may become more attractive for
Independent Power Providers (IPPs).
• Long term, the development of a Smart Grid.
• A reduction of South Africa’s coal energy reliance - around 92 percent of all
power generation is coal based;
• The use of Clean Coal Technologies (CCT), which may alleviate some pressure
to reduce reliance on coal power generation.
• Medium term, the establishment of a nuclear power generation capacity, to
supplement the only, problem-prone, facility at Koeberg in the Western Cape
(commissioned in 1984, Koeberg has a capacity of 1,800MW and supplies six
percent of South Africa's electricity needs).
• The use of commercial-scale CCS technologies in the future for both power
generation and the Coal to Liquid (CTL) petro-chemical industry – at present a
cornerstone of the South African petrochemical landscape.
• The use of solar and (to a lesser degree) wind power generation as a long- term
Green Technology option, given the country’s abundant sunshine and long coast
line.
Industry sector developments in this field overlap with these headings, as treated
elsewhere in this CCG:
• Pollution Control Equipment
• Electrical Power Systems
• Green Building Technology
• Standards (in Chapter 5)
•
Electrical Power Systems Return to top
Overview Return to top
Eskom, South Africa’s national power utility, generates about 95% of electricity in South
Africa. Approximately 88% of South Africa’s electricity is generated in coal fired power
stations. Koeberg, a large nuclear station near Cape Town, provides about 6.5% of
capacity. A further 2.3% is provided by hydroelectric and pumped storage schemes.
South Africa supplies two thirds of Africa’s electricity and is one of the cheapest