Browsing by Subject "Eskom (Firm)"

Now showing 1 - 3 of 3
  • Thumbnail Image
    Item
    Open Access
    A case for incorporating standby generators into the South African electricity system
    (University of Cape Town, 2007) van Es, D; Bennett, K F
    This paper examines how existing standby generators may benefit the South African electricity system. Eskom, the national electricity utility, supplies 92% of South Africa’s electricity needs at a price to consumers that is the lowest in the world, making it virtually impossible for alternative generation to compete. Installed electricity generation capacity is 38 154MW with a reserve margin of 8-10%. Eskom would prefer a margin closer to 15% but demand growth for the next year will reduce the margin further, to 3.75%. One response has been to introduce a demand management programme The country has begun to suffer more frequent outages, particularly during winter when demand is highest. One aspect of the management programme is to shift the two daily peaks to the ‘valleys’. Eskom estimates a possible 3 000MW capacity available from standby generators. The research should deliver a more accurate figure, as well as the location of these generators, particularly with respect to network constraints. Also considered are issues of synchronisation with the grid, emissions, noise and other environmental impacts associated with the operation of distributed generation, as well as the contractual conditions under which such an arrangement may be possible.
  • Thumbnail Image
    Item
    Open Access
    Energy efficiency and the CDM in South Africa: constraints and opportunities
    (University of Cape Town, 2007) Winkler, Harald; Van Es, Denis
    Energy-efficiency projects were expected to constitute an important project type under the Clean Development Mechanism (CDM). In South Africa, there is significant potential for energy savings in several sectors. The savings possible in industry have been demonstrated through plant-level energy audits, measurement and verification of Eskom’s Demand Side Management (DSM) programme and national energy modelling. Enabling policy for energy efficiency and demand-side management has been adopted by government and the utility, Eskom. A dedicated National Energy Efficiency Agency (NEEA) was established in 2006. Yet, energy-efficiency still fails to realise its potential. The paper seeks to dispel the misconception that energy efficiency projects might not be ‘additional’ under the CDM. Analysis of barriers, which is well understood by those dealing with energy efficiency, can be used to demonstrate additionality. A standard tool for demonstrating additionality is now available, as are baseline methodologies for both large and small-scale CDM projects. It should, therefore, be clear that energy efficiency projects are not a priori ruled out as non-additional. Each project has to demonstrate additionality, as for any other project type. Finances are available from various sources, and the CDM can offer further funding for initial costs, or in removing the barriers to energy-efficiency projects. Internationally, energy efficiency initially did not account for large numbers of CDM projects, nor a major share of carbon credits. With the recent growth in CDM projects, however, the numbers of energy-efficiency projects are increasing internationally. In South Africa, analysis of the emerging CDM portfolio shows that energy-efficiency projects are much better represented at the concept stage than in fully designed CDM projects. The major elements for implementing energy efficiency projects exist – dedicated institutions, enabling policy frameworks, approved methodologies and even an electricity crisis to raise awareness. Funding is available from various sources, and the CDM can offer further funding for initial costs or in removing the barriers to energy-efficiency projects. The CDM rules should soon allow for registration of entire programmes, which could include energy efficiency standards or demand-side management. Innovative financing solutions such as clean energy lending can assist as well. All that seems to be needed is a concerted effort to realise the potential. Such efforts could be driven by the Designated National Authority or the National Energy Efficiency Agency. Together with initiatives from the private sector, a dedicated effort might help South Africa find a clear route for energy-efficiency projects under the CDM in South Africa.
  • Thumbnail Image
    Item
    Open Access
    Procurement models applied to independent power producer programmes in South Africa
    (University of Cape Town., 2014) Martin, Brenda; Winkler, Harald
    What is the procurement model in South Africa as it applies to renewable energy (RE) and base load (BL) independent power producer procurement programmes (IPPPP) and how might these be improved? What lessons have been learned in the RE IPPPP? What challenges might the emerging BL IPPP programme face and how might these challenges be addressed? To what extent are lessons from RE applicable to BL? This research paper provides conclusions from consideration of these questions, shares research findings, highlights remaining critical questions, and provides recommendations for the future. Procurement is an aspect of governance, and improved governance is one of five goals of energy policy, as outlined in the 1998 White Paper, which considers procurement as ‘that step within planning during which government determines what is to be built; and which ends with the announcement of preferred bidder(s)'. Research findings are based on primary data gathered through a literature review followed by interviews with 20 senior respondents from the following zones within the energy sector: government, business, investment, consultancy and advisory, labour and NGOs. A listing of secondary literature consulted is provided on the final pages of this report. Overall, the REIPPPP is viewed by many respondents as a positive and innovative programme. Caution is mainly expressed in relation to the long-term prospects for benefits that really accrue to South Africa’s development agenda. A key finding is that Eskom’s future financial health presents a significant risk to both RE and BL IPPPPs.