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South African Cabinet Approves New National Energy Plan

In the midst of more electricity outages, courtesy of faults with Eskom’s power generation plans, the South African Cabinet has approved a new national energy plan.

Cabinet on Thursday announced it had approved the promulgation of the Integrated Resource Plan (IRP), South Africa’s policy blueprint for the electricity sector.

The IRP spells out a proposed energy mix for the country until 2030. In a statement, Cabinet said “most of the inputs” from experts in the sector, the public and academia, received during a public consultation process last year were included in the 2019 IRP.

“The plan proposes nine interventions to ensure the country responds to the energy needs for the next decade. The interventions draw from the current baseline of the demand and supply of the country’s energy and the country’s international obligations to the minimum emission standards,” the statement said.

“The plan remains within the policy framework of pursuing a diversified energy mix that reduces reliance on a single or few primary energy sources. It will be revised in line with the changing energy sector environment.”

The approved IRP can be accessed on the mineral resources and energy website after it is gazetted. The IRP was released as the country is experiencing another round of rotational power cuts as Eskom moves to fix boiler tube leaks at five of the utility’s generating units.

Business Unity South Africa this week warned that any further delay in releasing the IRP would prejudice procurement and investment decisions to ensure security of power supply.

 

For information as to how Relocation Africa can help you with your Mobility, Immigration, Research, Remuneration, and Expat Tax needs, email marketing@relocationafrica.com, or call us on +27 21 763 4240.

Sources: [1], [2]. Image sources: Jan Kubita [1], [2].

Highlights From South Africa’s Second 2019 State of the Nation Address

South African President Cyril Ramaphosa delivered the country’s second State of the Nation Address yesterday evening, keying South Africans into his plans going forward, now that the country’s new Parliament is settling in, after the recent general election.

Below are 10 highlights from his speech.

  1. A special appropriation bill is to be tabled to allocate a significant portion of the R230 billion that Eskom needs to pay its debtors and keep the lights on.
  2. The president reaffirmed the constitutional mandate of the Reserve Bank “to protect the value of our currency in the interest of balanced and sustainable growth”.
  3. The Minister of Communications has been instructed to issue policy direction to the Independent Communications Authority of SA (ICASA) to begin licensing spectrum that will significantly reduce data costs.
  4. To return public money that has been looted, civil claims arising from investigations conducted by the Special Investigative Unit (SIU), estimated to be around R14.7 billion, will be fast-tracked.
  5. The Presidency plans to drive the implementation a comprehensive plan to create two million jobs for young people over the next 10 years.
  6. Government intends to double international tourist arrivals to 21 million by 2030, by introducing a “world-class visa regime”, and focusing on tourists from China, India and the rest of Africa.
  7. Government plans to accelerate efforts to identify and release public land that is suitable for smart, urban settlements, as well as for farming.
  8. Government plans to establish a gender-based violence and femicide council to guide the former’s efforts to eradicate gender-based violence in South Africa.
  9. Ramaphosa announced plans to train foundation and intermediate phase teachers to teach reading in English and African languages, and to deploy experienced coaches to provide on-site support to teachers.
  10. The President said he envisions the first new city built in the democratic era, with skyscrapers, schools, universities, hospitals, and factories, to ease the pressure on the congested cities of Pretoria, Johannesburg, Durban, and Cape Town. This includes the construction of a cross-country high-speed train.

To watch the full Address, click here.

South African President Cyril Ramaphosa delivers the country’s second State of the Nation Address on Thursday, 20 June 2019.

 

For information as to how Relocation Africa can help you with your Mobility, Immigration, Research, Remuneration, and Expat Tax needs, email marketing@relocationafrica.com, or call us on +27 21 763 4240.

Sources: [1], [2], [3], [4]. Image sources: [1], [2].

Eskom Plans to Keep South Africa’s Electricity On This Winter

Public enterprises minister Pravin Gordhan has provided an update on the current electricity crisis in South Africa, stating that there is a plan for winter, and the next nine months.

At a media briefing on Wednesday (3 April), Gordhan said that Eskom and the Department of Public Enterprises has a better understanding of the challenges facing the power utility, and how to tackle them.

South Africa was hit with unexpected stage 4 load shedding in March, leaving roads grid-locked and citizens without power for hours at a time.

During that time, Gordhan could not provide any guideline on how to end load shedding, saying that an independent team of engineers was in the processes of assessing Eskom’s power plants to determine the extent of the problems.

While the team’s work is not yet complete – needing an additional few weeks – there is now enough information to plot a way forward, Gordhan said, particularly in preparation for the winter months, where demand on the grid is higher.

The minister said that while the aim is to ensure no future load shedding going forward – this is not a guarantee. “(If this aim fails), at the most, we will see only level 1 load shedding between now and the end of August,” he said.

Eskom chair, Jabu Mabuza, provided an update on major constraints that led to load shedding:

Coal stockpiles have improved;
Coal quality is also being focused on;
Eskom has been able to source more diesel, and is handling forward planning around diesel better;
Eskom is not retrenching workers, but is looking at voluntary separation packages to tackle its workforce issues.

Plan for winter

Eskom’s plan for winter is to look at different scenario’s based on available capacity on the national grid. The power utility has installed capacity of 46,500MW, with support from 2,000MW from renewable sources.

Unplanned outages due to boiler leaks, led to as much as 13,000MW being taken off the grid last month.

In a ‘no load shedding’ scenario, these unplanned outages need to be kept below 9,500MW, Gordhan said.

These are the scenarios:

Scenario 1

Unplanned outages is kept to under 9,500MW
No load shedding
Planned outages within a range of 3,000MW to 5,000MW

Scenario 2

Unplanned outages exceed 9,500MW
Maximum of 26 days of stage 1 load shedding over the 5 months
Eskom said that its units actually perform better in winter, due to lower temperatures, so it is confident it will be able to keep unplanned outages below the 9,500MW limit.

To keep the situation at scenario one, Eskom said it will increase supply from existing units, while bringing more power online.

Key to the plan, Gordhan said that there needs to be a shift from all South Africans in how they consumer electricity, along with more accountability from Eskom.

“Clearly plans are nice to have, the key is the discipline to ensure that implementation occurs. We need increased levels of accountability, said Gordhan. We are appealing to all to reduce the use of electricity. We don’t want load shedding,” he said.

 

For information as to how Relocation Africa can help you with your Mobility, Immigration, Research, Remuneration, and Expat Tax needs, email marketing@relocationafrica.com, or call us on +27 21 763 4240.

Sources: [1], [2]. Image sources: American Public Power Association [1], [2].

Load Shedding (Power Outages) in South Africa Explained

Load Shedding Explained

Currently, South Africa has one major electricity provider – Eskom. Due to financial and maintenance constraints, Eskom has periods where it needs to shut off power delivery to areas, on rotation, during periods of maintenance, in order to prevent a full-scale blackout.

In a blackout, almost the entire country’s electricity would go out, and may take days to come back up again. It goes without saying that everything must be done to prevent this from happening, as the consequences would be dire. Hence the process of load shedding.

Various areas simultaneously have their power disconnected for a period of a few hours during periods of load shedding. When one group comes back online, another goes down, while Eskom manages delivery and performs necessary maintenance.

Load shedding does not occur every day in South Africa. Residents follow local news, apps, and city websites, in order to see if and when shedding will occur. The South African government says that it is developing long-term solutions to make load shedding a thing of the past, but until these become a reality, load shedding will be an unfortunate part of life for South Africans. This does not mean that people have to sit idly by while it happens, however. We have provided some information and tips below to help during periods of load shedding.

Load Shedding Stages

Load shedding may take place under a number of different stages, depending on the degree to which Eskom is short on power. The higher the stage, the more areas need to have their power turned off simultaneously. When load shedding is announced, the stage that applies is announced at the same time, and corresponding schedules need to be checked.

  • Stage 1: Requires the least amount of load-shedding (up to 1,000 MW) and can be implemented three times over a four-day period for two hours at a time, or three times over an eight-day period for 4 hours at a time.
  • Stage 2:  Will double the frequency of Stage 1, which means you will be scheduled for load-shedding six times over a four-day period for two hours at a time, or six times over an eight-day period for four hours at a time.
  • Stage 3: Will increase the frequency of Stage 2 by 50 percent, which means you will be scheduled for load-shedding nine times over a four-day period for two hours at a time, or nine times over an eight-day period for four hours at a time.
  • Stage 4: Will double the frequency of Stage 2, which means you will be scheduled for load-shedding 12 times over a four-day period for two hours at a time, or 12 times over an eight-day period for four hours at a time.

More information about the various stages can be found on the Eskom website here.

Area Schedules

It is a good idea to bookmark or print your schedule, so that you can check it easily. It is quite likely that your work is in a different load shedding area to your home, so it is advisable to check the schedules for both.

A popular app (for Android and iOS devices) that will notify you when it is your time for load shedding can be found here.

Eskom schedules can be found on the Eskom website here.

City schedules can be found on the websites of local municipalities:

Due to the Steenbras dam’s hydro-power system that feeds into the local grid, the City of Cape Town often manages to avoid Stage 1 load shedding.

Action Plan

There are some important things to consider if you may be caught up in load shedding. We have outlined a few below.

  1. Keep flashlights, candles, and lighters in close reach to provide light when the power goes out. There are also battery-powered emergency lights available online, some of which charge during normal power delivery, and turn on automatically when load shedding begins.
  2. Small supplies of battery power can be bought on the cheap these days. Examples are power banks to keep phones, routers, and laptops running. These can be bought easily from stores like Takealot and Loot.
  3. Make sure your food and medication can stay cool in your fridge for a few hours during power outages.
  4. Ensure you have sufficient gas in your car, as many stations are unable to pump during load shedding.
  5. Ensure you have sufficient cash, as many card machines do not function during load shedding.
  6. Consider methods of contact, as not all cellular towers have backup generators, and you may therefore not be able to make cell phone calls during load shedding.
  7. Make sure that all electrical outlets have surge protectors. Power surges when electricity returns are rare, but if they do occur, they can severely damage items plugged into affected outlets. Considering the cost of surge protectors as compared to the value of items, such as TVs and computers, plugged into outlets, they are worth buying.
  8. Plan your meals (a gas stove may help), showers (geysers should stay warm during single outage periods), and other daily activities around the load shedding schedule. Even if there is no planned shedding, it is advisable to get into a pattern around the schedule, as load shedding can begin at any time. It is a good idea to check the schedule for your city at the start of each day.
  9. Check the batteries attached to any essential parts of your home and business, to be sure they are in working order as a backup if the power goes out. These items include gate and garage motors and alarm systems.
  10. Consider investing in an inverter and battery backup system to keep preferred items on during outages. These range quite widely in price, depending on the desired amount of electricity generated, and can be bought from numerous online stores, as well as brick and mortar stores such as Makro and Game, or from specialized installation companies. Costs involved for getting completely off the grid (for example by using a solar power system) may be high, but doing so provides a comprehensive, long-term solution.

Businesses

It is important to note that, unlike Relocation Africa, which has a solar power system you can read more about here, many businesses in South Africa do not have backup power provision for when load shedding occurs. Even those that do may have periods when they switch over, during which they do not have a supply of electricity. This may mean that their employees may not have access to emails when servers are down, and phone lines may not work for inbound and outbound calls. Many supermarkets use backup generators to keep certain lights on, as well as continue to run fridges, so you should still be able to do shopping at certain stores when the power in the area is out. The only sites where load shedding does not occur are buildings deemed essential to the operations of the city as a whole (such as Parliamentary buildings, waste processing plants, and hospitals), and certain buildings in close proximity to those. All other businesses have to react to the outages in much the same way as South African residents do at home.

 

For information as to how Relocation Africa can help you with your Mobility, Immigration, Research, Remuneration, and Expat Tax needs, email marketing@relocationafrica.com, or call us on +27 21 763 4240.

Sources: [1], [2]. Image sources: Frédéric Paulussen – Fredography [1], [2].