Energy

Africa’s development depends on a power revolution. Energy

At a World Economic Forum on Africa, former United Nations Under-Secretary-General Kandeh Kolleh Yumkella, said, “Without access to affordable, reliable, sustainable energy, Africa cannot really take advantage of the Fourth Industrial Revolution.”

The Sierra Leonean was also the chief executive officer of the Sustainable Energy for All Initiative, which aims for faster action towards the Sustainable Development Goal which calls for universal access to sustainable energy by 2030. Yumkella urged African leaders to do in energy what was successfully done in the mobile telephony sector – deregulate, privatise and incentivise.

Africa had installed capacity of 96GW in 2015 and 600-million of its citizens do not have access to electricity. Sub-Saharan Africa’s Commodity traders are looking for opportunities in power. Sector Insight

electrification rate is 32% (African Development Bank, AfDB).

Although all infrastructure sectors need funding, the energy sector is where Africa has the most catching up to do. In response to

this imperative, the AfDB will invest $12-billion in the energy sector in the period 2016-2021.

D i v e r s i f i c a t i o n i s a n important goal for countries in the power sector, both to improve security of supply and to reduce the carbon footprint. Many nations are dependent on hydropower and that cannot always be relied upon. Finding the right mix is key.

While South Africa has not excluded the possibility of building new nuclear power stations, no new allocations have been made in the most recent Integrated Resource Plan. Two nuclear reactors in Cape Town supply 6% of South Africa’s current grid capacity. Kenya has decided that the first of four new nuclear power plants should begin construction in 2024 and Nigeria has also included nuclear in its plans.

Oil-exporting Nigeria has a Transmission Rehabilitation and Expansion Programme which aims to address the fact that its citizens spent about $14-billion every year on generators.

South Africa’s enormously successful Renewable Energy Power Producer Procurement P r o g r a m m e ( R E I P P P P ) encouraged foreign investors and local companies to bid for projects and started delivering power in record time. Between November 2011 and July 2016, commitments to the value of $14-billion had been received to invest in solar, wind or hydro projects.

Egypt plans to source 20% of its electricity from renewables by 2022 and 42% by 2035 in terms of its 2035 Integrated Sustainable Energy Strategy. The plan outlines a system with 2% hydropower, 14% wind and 25% solar, most of which will be delivered by the private sector.

Special Economic Zones are a favoured means of the delivery of infrastructure: having a concentration of industry in one place allows for economies of scale. A new business park in Ghana is to be powered solely by renewable energy. Siemens will produce a microgrid at Takoradi.

Gas is proving popular as a source for power plants. Italian company Ansaldo Energia has more than 16 000MW in various parts of Africa and offices in six countries. Two peaking-power plants have been developed in South Africa and projects are underway in the Republic of Congo and Tunisia.

A gas-fired power plant built by the Temane Energy Consortium will provide 400MW to Electricidade de Moçambique at Temane. The TEC, comprising Globeleq and eleQtra, has delivered gas-fired power projects in Cameroon, Ghana, Ivory Coast and Tanzania.

Regional cooperation is vital for functioning power grids. The various regional economic communities such as ECOWAS and SADC are key. A transmission line between the Democratic Republic of Congo (DRC) and Zambia is one of the projects being pursued by the Southern African Power Pool.

Renewable energy

In at least six African countries, hydropower is responsible for 90% of electricity production. Ethiopia is Africa’s biggest producer, at 3 822MW. The controversial Grand Ethiopian Renaissance Dam project will add a further 6 450MW, making it the largest single project on the continent, but there are serious disputes about who has what rights on the Nile River. Other countries almost wholly dependent on hydropower are the DRC, Namibia, Sudan, Togo and Zambia. Projects are underway in Angola, Ivory Coast and Sudan.

The much-delayed Grand Inga project could be a game-changer if it ever comes to fruition. Inga3, a portion of the bigger plan to dam part of the Congo River, is estimated to cost $13.9-billion and will greatly assist mines in the Copper Belt. The greater project could produce as much as 50 000MW.

The Global Wind Energy Council estimates that wind could supply 18GW to the SADC grid by 2030. That amounts to a third of the existing power pool in the region. The fact that such estimates are published is evidence of the ambitions of the promoters of renewable energy. A giant wind project at Lake Turkana in Kenya will supply 310MW from 365 turbines on 40 000ha.

Africa has a plentiful supply of every kind of resource that could conceivably produce power. Japanese company Toshiba believes there is potential for geothermal power generation. It has established a plant in Kenya and signed agreements with Ethiopia,

Djibouti, Tanzania and Uganda.

M o ro c c o h a s p a s s e d legislation allowing private producers to sell power to clients directly and a $140-million loan from the European Bank for Reconstruction and Development and the Climate I nvestment Funds’ Clean Technology Fund enabled ACWA Power Khalladi to build a wind farm which is now operational.

Tanzania’s first wind farm is to be developed by a subsidiary of Australia’s Windlab Ltd. The 300MW Miombo Hewani Wind Farm will cost $300-million.

The Deser t to Power Programme, the plan to build solar projects in the Sahel region, is backed by Africa50, the Green Climate Fund (GCF) and the AfDB.

O n e o f t h e b i g g e s t challenges faced by the renewable energy sector is the lack of skilled technicians. The International Renewable Energy Agency reports that only 16 000 people work in the sector in Sub-Saharan Africa (excluding South Africa).

Financing

The AfDB’s investment portfolio of $52-billion will not include any new coal projects. The bank has declared that it wants to help Africa move away from fossil fuels. The AfDB has allocated $20-billion to solar and clean energy plans that will produce about 10 000MW for the Sahel’s rapidly increasing population.

T h e E u r o p e a n B a n k for Reconstruction and Development (EBRD) is also funding renewable energy. A $202-million loan to the Egyptian Electricity Transmission Co will be used to integrate 1.3GW of new renewable energy generation capacity into the national grid.

Entrepreneurs in the renewable energy sector are the target of the $120-million Energy Entrepreneurs Growth Fund. The Shell Foundation and FMO, the development bank of the Netherlands, are behind the initiative.

Private-sector commodities companies are taking an interest in the energy sector. The Daily Telegraph reports that in November 2019 Trafigura, a $180-billion commodities broker, launched a new division for trading in power and investing in power generated by gas and renewable energy. With demand for hydrocarbons likely to fall in response to environmental demands, gas, wind and solar power are obvious replacements, and the traders are following the trend.

Microgrids

Microgrid solutions are becoming more popular in sectors such as agriculture and mining. Financing for such projects can be problematic but there is an expectation that development financers such as the World Bank will provide solutions. Rapidly falling costs for solar photo-voltaic solutions are making the idea of power generation in remote areas more feasible.

Technological advances should allow Africa to jump ahead, connecting in better and cheaper ways than was the norm in the past. French energy company EDF told Engineering News in 2019 that it intends expanding its operations in Africa, including in microgrids and renewable-energy projects. The company cited the need to deploy appropriate technology (wind in South Africa, biomass in Ivory Coast, for example) and noted that it has a household off-grid solar kit.

Several mining houses in Africa provide their own power solutions and are increasingly looking to renewable energy. Siemens and renewable energy company juwi have jointly developed a microgrid that is running successfully at an Australian gold mine.

The Ethiopian Electric Utility is utilising AfDB funding to contract private contractors to develop minigrid systems for rural areas, including backup generators and battery storage. ■

Alliance for Rural Electrification: www.ruralelec.org Global Wind Energy Council: www.gwec.net International Hydropower Association: www.hydropower.org Programme for Infrastructure Development in Africa: www.au-pida.org International Renewable Energy Agency: www.irena.org Sustainable Energy for All Initiative: www.seforall.org Online Resources

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342 MW Dedisa Peaking Power Plant driven by diesel/gas

Inter-modal transportation linkages, including good access to the National Road (N2)

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Services Corridor

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Dedisa 400kV ESKOM Substation

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Zone 13 Gas-ToPower Power Plant Site

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Refinery

Port of Ngqura

FSRU & LNG Tanker

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LNG Terminal & Gas-To-Power Plant

For investors who wish to take advantage of opportunities in the energy sector at the Coega SEZ, please contact, Sandisiwe Ncemane on:

E-mail: sandisiwe.ncemane@coega.co.za Telephone: +27 41 403 0630 Fax: +27 41 403 0401

www.coega.co.za

Superfecta Trading

Provinding electro-mechanical services into Africa.

Superfecta Trading is an electro-mechanical engineering company with a national footprint and a record of successful delivery of projects in all nine provinces. The company was founded in 2002 and has extensive experience in mediumand high-voltage products and related services. In 2018, after 16 years of trading as a close corporation with the Registration Number: 2002/024381/23, Superfecta Trading 209 (Pty) Ltd was founded with its new Registration Number: 2018/231813/07.

Superfecta manufactures high-tension products under the TMA Dynamics brand and related services. TMA Dynamics products include transformers, mini-substations and switchgear. Superfecta also employs a team of mechanical experts. The company prides itself on the supply, installation and maintenance of mechanical work and boasts over 14 years of experience in the mechanical field.

Superfecta has strategically partnered with three internationally recognised companies: Thomas C. Wilson (New York), Schneider Electric (South Africa) and Jinshanmen Electrical Co. (China). The partnerships have enhanced our performance and enabled us to be the providers of the latest technology. Ownership Status 100% black-owned registered company, with 55% of the shares owned by women. Our Vision To be the leading electro-mechanical specialist in energy solutions across Southern Africa. Superfecta aspires to excellence, innovation and transparency; three prominent features that distinguish us in the marketplace and uphold our vision. Our Mission To enable our clients to ensure reliable energy supply through costeffective and quality manufacturing, supply, installation and maintenance of infrastructure. Superfecta strives to deliver the best solutions which are achieved with strong partnerships and joint ventures with local and international entities that share our values and objectives. We have a full complement of highly skilled engineers, technical and administrative staff. All efforts are geared towards compliance with health and safety standards. Sectors Superfecta works in a variety of sectors, including but not limited to: • mining • provincial and local government • utilities • transport • oil and gas. Professional Services Superfecta is a one-stop shop for all transformer and transformerrelated work and we pride ourselves on delivering a comprehensive and complete service, including the supply of transformers for: • The mining industry • Dry-type mining • Distribution transformers • Power transformers. All our transformers are SABS and IEC compliant and operate at

higher efficiencies than any other on the market. Our turnaround time is less than 60 days, which is a market-beater.

What gives Super fecta a competitive edge in the industry is investment in the latest systems and technologies. The company invested millions of rands in an integrated maintenance software called Archibus. Our maintenance system goes above and beyond the management of the maintenance process and asset control by recognising that these processes are just a small part of a full life cycle. The intellectual capability of the system enables us to ensure that our customers are well taken care of by indicating when the following maintenance schedules should take place. We also provide our clients with 24/7/365 support.

Transformer oils undergo electrical stresses while the transformer is in operation. This, combined with the contamination caused by the chemical interactions with windings and other solid insulations, gradually render it ineffective. Regular purification is paramount. We periodically test for electrical and chemical properties to make sure that the oil is suitable for further use and provide the purification services needed to extend the life of your transformer oil. This can be done online or offline.

Superfecta has played a significant role in the economic development of South Africa, not only through employment, but also through infrastructure development both in rural and urban areas. We pride ourselves on having installed electricity in over 500 households in rural parts of South Africa. The company has not only done an outstanding job but raised the bar in successfully electrifying villages in the geographically challenging landscape of KwaZulu-Natal.

With a professional team of mechanical technologists, Superfecta prides itself on the supply, installation and maintenance of mechanical work. Our services include, but are not limited to: • Supply and installation of heat exchangers tubes, boiler tubes, steam pipes and primary air heater • Supply and replacement of pipe works (ash, sluice lines, etc)

CONTACT INFO

Physical address: 23 Catalunya Raceway Industrial Park, Gosforth Park, Germiston, Johannesburg 1419 Telephone: +27 11 869 3607 Fax: +27 11 825 0086 Email: info@superfectatrading.co.za Website: www.superfectatrading.co.za

• Replacement and new installation of steel pipe works • Supply and installation of pumps • Supply and hire of tube-testing machine, tube cleaners, vacuum leak dictator, tube cutters, expanding machine • Mechanical engineering (pipe fitting and rigging) • Steel pipe jacking and fitting, supply and install concrete jacks, jacks under roads and gas lines.

All industrial concerns require a complex system of electrical

networks to function efficiently and successfully. Superfecta both installs and conducts repairs to high-tension electrical circuits.

We also oversee electrical reticulation (urban and rural), electricity meters (prepaid and smart meters) and electricity works.

Clients Superfecta is an ISO 9001:2008 certified company that fully embraces a Total Quality Management philosophy in streamlining all its business processes. Clients include Rand Water, FNB, MTN, Airports Company South Africa, Total, Transnet, Passenger Rail Agency of South Africa and Eskom. Superfecta has done work for the public works departments of three provinces, the City of Johannesburg and several other municipalities. ■