Vertical integration costs

For some, the unbundling of South Africa’s vertically integrated electricity utility is viewed as a wonkish problem somewhat akin to insisting that line departments should not have shareholder... 

Transnet’s recovery plan lacks the ambition needed for higher growth, government and business warn

Government and business are urging Transnet to show greater ambition in its plans to recover freight volumes, describing the current recovery plan as falling well short of what is required to... 

‘Necom 2.0’ to focus on system-wide constraints to electricity security and affordability

Amid waning loadshedding, government and business have agreed to begin “repurposing” the National Energy Crisis Committee (Necom) to shift focus from interventions aimed at arresting the... 

DBSA urged to play leading role in fixing municipalities during next phase of Operation Vulindlela

Deputy Finance Minister David Masondo has called on the Development Bank of Southern Africa (DBSA), which is a major lender to local government, to play a leading role in supporting the Government... 

Transnet Property mulls investment-property vehicle as it moves ahead with sale of residential stock

The property division of Transnet has been given board approval to sell its residential and non-core commercial properties over the coming two years, while moving to package the balance of the... 

Expanded pilot project planned to help munis pay Eskom as arrear debt continues to rise

Electricity and Energy Minister Dr Kgosientsho Ramokgopa reports that a new pilot project is being prepared to further “stress test” an initiative aimed at ensuring that municipalities settle their... 

Port of Richards Bay moves to diversify beyond bulk exports while bolstering climate resilience

The Port of Richards Bay, in KwaZulu-Natal, is progressing with planning for infrastructure and terminal investments aimed at consolidating its position as a bulk export hub for key minerals such... 

Eskom again moots 20 GW clean-energy build programme

Eskom will replace its declining coal capacity with clean-energy options in line with country policy and the Just Energy Transition, Eskom GM for primary energy Dan Mashigo told participants at a... 

No easy road ahead

Electricity and Energy Minister Dr Kgosientsho Ramokgopa is correct when he says South Africa’s electricity pricing policy is in need of review, including the approach being taken to set tariffs... 

Cabinet questions EU citrus restrictions as South Africa moves ahead with formal WTO dispute

Cabinet has questioned the imposition by the European Union (EU) of what it describes as “stringent” restrictions on South Africa’s citrus exports, which are now the subject of a formal dispute... 

$613m in JET-IP grants have been allocated to projects, Presidency reports

The Presidency has released new details showing that $613-million of the $821-million in grants pledged to support South Africa’s Just Energy Transition Investment Plan (JET-IP) have now been... 

Securing ringfenced revenue for NTCSA seen as key first step for tackling R390bn grid backlog

Ringfencing revenue for the National Transmission Company South Africa (NTCSA) is regarded as a crucial short-term step for ensuring that the newly operationalised Eskom Holdings subsidiary is... 

Eskom releases names of transformer suppliers amid rising localisation pressures

Eskom has released the names to Engineering News of the five transformer companies appointed to a panel of suppliers that will compete for upcoming contracts for a total of 101 large-scale... 

NTCSA to make own application to Nersa in bid to secure dedicated revenue to maintain and expand grid

National Transmission Company South Africa (NTCSA) interim CEO Segomoco Scheppers has confirmed that the newly operationalised entity is making an allowable revenue application to the regulator... 

Eskom makes shock objection to issuance of trading licences

Eskom has lodged a surprise objection to the issuance of licences to private traders in areas where its distribution entity currently holds a licence, arguing that the current rules of the National... 

Localisation to be used to create early stage demand in targeted sectors – Tau

While proclaiming industrial policy to be the “centre piece” of the government of national unity’s economic development strategy, new Trade, Industry and Competition Minister Parks Tau indicated he... 

Regulator grants Eskom permission to extend life of Koeberg Unit 1 to July 2044

South Africa’s National Nuclear Regulator (NNR) board has approved a 20-year life extension for Koeberg Unit 1, but has deferred a decision on the nuclear power station’s Unit 2 until late 2025,... 

Confidence or arrogance

As loadshedding wanes, Eskom’s confidence is growing. This is not a bad thing, as South Africa needs its State-owned companies to be places of delivery and, eventually, even centres of excellence.... 

Steel giant sees first demand ‘green shoots’ in years as GNU prioritises infrastructure and localisation

Steel producer ArcelorMittal South Africa (AMSA), which has been bemoaning weak domestic demand conditions for several years, reports that it is witnessing signs of “green shoots” in manufacturing... 

AECI in early-stage move to produce green explosives as internationalisation drive accelerates

Explosives and mining chemicals group AECI is moving to secure green ammonia for use in the production of lower-carbon explosives, demand for which is expected to grow in some of the mining... 

Transnet says reforms advancing to enable third-party rail access

State-owned freight logistics group Transnet reports that the vertical separation of its rail business is on track and that the operating models and organisational designs for the rail operating... 

Grid rules should favour shovel-ready projects whether public or private – Minister

Electricity and Energy Minister Dr Kgosientsho Ramokgopa indicates that he is in favour of grid-access rules that ensure as much new capacity is added as quickly as possible regardless of whether... 

IRP2023 comments to be workshopped to ensure ‘credible’ outcome

Electricity and Energy Minister Dr Kgosientsho Ramokgopa has committed not to dismiss the more than 4 000 public comments received in response to the draft Integrated Resource Plan 2023 (IRP2023),... 

Ramokgopa announces electricity tariff review amid affordability ‘crisis’ for poor households

Electricity and Energy Minister Dr Kgosientsho Ramokgopa reports that a review of South Africa’s electricity pricing policy will be launched with the aim of addressing a rising affordability... 

TotalEnergies exits Brulpadda and Luiperd gas finds, describing them as ‘too challenging’ to develop

TotalEnergies has formally announced its withdrawal from the Brulpadda and Luiperd exploration blocks off the southern coast of South Africa, where TotalEnergies EP South Africa holds a 45%... 

Growth levers

It was far from certain only weeks ago how a government of national unity (GNU) of ten political parties, some with strongly divergent ideological positions, was going to agree on a common... 

South Africa’s 2030 decarbonisation target at risk, climate commission warns

The Presidential Climate Commission (PCC) is cautioning that South Africa may miss its 2030 decarbonisation target in light of a decision to further delay the decommissioning of three aged coal... 

Standard Bank backs 500-MW-worth of decentralised electricity projects post reforms

Standard Bank reports that it has provided funding to South African decentralised electricity projects with a combined capacity of more than 500 MW over the past two years, following regulatory... 

SOEs to report to line departments while reform unit oversees creation of Holdco

The State-owned Enterprises (SOEs) that were previously under the stewardship of the Department of Public Enterprises (DPE) will report to their respective line departments in terms of policy and... 

Port of Richards Bay moves to diversify beyond bulk exports while bolstering climate resilience

The Port of Richards Bay, in KwaZulu-Natal, is progressing with planning for infrastructure and terminal investments aimed at consolidating its position as a bulk export hub for key minerals such... 

Eskom again moots 20 GW clean-energy build programme

Eskom will replace its declining coal capacity with clean-energy options in line with country policy and the Just Energy Transition, Eskom GM for primary energy Dan Mashigo told participants at a... 

Ramaphosa signs legislation establishing single public procurement framework

President Cyril Ramaphosa has signed the Public Procurement Bill, which aims to create a single framework for the procurement of goods and services by all organs of state in a manner that... 

Growth and transformation two sides of one coin, Ramaphosa insists as he takes on GNU critics

President Cyril Ramaphosa has again underlined the need for higher levels of economic growth, urging lawmakers not to allow themselves “to be led into a false choice between policies that are... 

Leveraging firms

South Africa, everyone agrees, has a growth problem. The country has performed poorly when compared with its middle-income peers for more than a decade, averaging growth of only 1.1%. There is also... 

Decision to impose duties on PV modules met with surprise and support

The South African Photovoltaic Industry Association (SAPVIA) has expressed surprise at government’s decision to introduce a 10% import duty and rebate on “photovoltaic cells assembled in modules or... 

Vulindlela 2.0, green industrialisation, infrastructure at centre of GNU’s growth vision

A second round of economic reforms under Operation Vulindlela, together with green industrialisation and scaled-up infrastructure development have been placed at the centre of the Government of... 

Eskom makes shock objection to issuance of trading licences

Eskom has lodged a surprise objection to the issuance of licences to private traders in areas where its distribution entity currently holds a licence, arguing that the current rules of the National... 

Ramokgopa urges ‘timeous’ passage of Bill to usher in new SOE shareholder management model

Minister in the Presidency of Planning, Monitoring, and Evaluation Maropene Ramokgopa, who has taken over the coordination of State-owned Enterprises (SOEs) that previously fell under the... 

Treasury to sign agreements in transport and water sectors aimed at fast-tracking private investment

Finance Minister Enoch Godongwana reports that the National Treasury is working on signing memoranda of agreement in the transport and water sectors with the goal of fast-tracking private sector... 

Localisation to be used to create early-stage demand in targeted sectors - Tau

While proclaiming industrial policy to be the “centre piece” of the government of national unity’s economic development strategy, new Trade, Industry and Competition Minister Parks Tau indicated he...