Projects and energy weekly snippets

Weekly projects and energy updates in South Africa

New power generation exemption framework creates fresh hurdles for IPPs

Titled “Licensing Exemption and Registration Notice”, the amendment was published in the Government Gazette of 10 November 2017, and signed by former Energy Minister Mmamoloko Kubayi-Ngubane. 

Specialist energy lawyer Sue Röhrs argues that the amendment reduces the scope of those generation activities that can be exempt from licensing. It also raises new uncertainties, which could delay the implementation of independent power producer (IPP) projects.

She further explains that a key area of uncertainty relates to the need to register exempt projects with the National Energy Regulator of South Africa (NERSA). 

Engineering News, 28 February 2018 

Madagascar joins Scaling Solar scheme with added energy storage

Madagascar is the third African country to join the Scaling Solar programme, with the planned 30-40 MW solar facility envisaged to help ease daily interruptions of power service. 

The World Bank highlighted that the island nation suffers from frequent power outages, and under one fifth of the population has access to electricity.

The planned Scaling Solar project will provide a reliable alternative to expensive diesel generators, drawing on an abundant source of renewable energy.

ESI Africa, 2 March 2018 

Cape Town to transmogrify toxic waste into clean energy

Xanthea Limberg‚ the MMC for water‚ waste and energy‚ launched a gas extraction and flaring facility at Coastal Park landfill in Muizenberg, which will destroy methane produced by the landfill by burning it at 1000°C.

In as little as 18 months the plant is expected to add a methane-powered generator that will produce 1 MW of power — enough to run the waste-water treatment facility in nearby Pelican Park.

Limberg said the production of electricity would not only help the City save money but reduce its carbon emissions and accumulate UN carbon credits. 

Similar projects are taking place at the city’s other two landfill sites in Vissershok and Bellville South.

Business Day, 2 March 2018

A Madiba legacy – Robben Island adopts a green energy supply

The National Department of Tourism (DoT) commissioned a solar microgrid, awarding Cape Town-based SOLA Future Energy an EPC contract to design and construct a solar energy microgrid to reduce the island’s dependency on expensive heavy fuel oil. The project is the first of its kind on an island as part of a grid resolution, among other things, aimed at reducing the carbon footprint.

The DoT commissioned this microgrid in order to promote sustainable tourism at key monuments around South Africa, as part of their Tourism Incentive Programme.

The solar microgrid will reduce the island’s fossil fuel consumption by 235 000 litres of diesel per annum or 50% of previous usage. This will result in a reduction of the site’s carbon emission by at least 820 tonnes, and will save the island money during its 25 years of operation. 

ESI Africa, 1 March 2018 

The above reflects a summary of certain news articles published during the preceding week. It is not an expression of opinion in respect of each matter, nor may it be considered as a disclosure of advice by any employee of Hogan Lovells.

For more information contact Charles MaraisPhilip van Rensburg or Mzimasi Mabokwe.  


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