Algeria's Energy Future was launched at a half-day round-table seminar at Chatham House, London, on Wednesday 6 April.
The report was presented at the seminar by its lead authors, Jon Marks and John Hamilton, and critically assessed by Algerian and international experts. Read more
The African Energy Atlas has established itself as an indispensable resource for energy industry professionals.
The 2011 edition features more than 45 maps and charts drawn with expert care by journalist cartographer David Burles. Read more
Briefings and Reports 2
AfricaHardball is an executive dialogue that brings together policy-makers, industry leaders and analysts to discuss the key political issues affecting African markets in frank and open terms.
The next AfricaHardball roundtable will be held on 1 December in London, focusing on North Africa Read more
Briefings and Reports 3
A detailed and frank analysis of Libya’s energy sector
Published in July 2010, Libya's Energy Future provides authoritative, independently sourced analysis of Libya’s energy sector policy and history, examines the country’s governance and financial record and assesses the potential for international partners to do business with its institutions and interest groups.
On the page below you will find a selection of articles from the African Energy archive. All links preceded by a padlock symbol require a subscription.
Alcan and Eskom have signed their much-anticipated power purchase agreement for the supply of up to 1,355MVA of electricity for the proposed Coega aluminium smelter project. The agreement provides for a 25-year supply from 2010. Issue 105, December 2006.more
Further turmoil for restructuring
The National Energy Regulator of South Africa (Nersa) on 29 November said it would decide soon whether to extend Cape Town-based pilot regional distributor RED1’s licence. This followed comments from the City of Cape Town (CCT) suggesting the key municipality wanted to pull out of the electricity distribution industry restructuring, adding further major complications to the already protracted history of RED1’s emergence. Issue 105, December 2006.more
FID due by year-end on Sasol’s biodiesel plant, first algae unit planned in Johannesburg
Petrochemicals giant Sasol has said it will make a final investment decision by year-end on a proposed soya bean-based biodiesel plant, which has been delayed by questions of project economics. Sasol Nitro managing director Bernard Klingenberg said the technology bids received were far higher than anticipated, which had affected the project economics – and this could hold back approval. Issue 104, November 2006.more
Inga, other regional projects gain further boost from SA shortfall fears
The AfDB’s raised profile will allow DRC to bring 750MW back on line at Inga and underlines donors’ growing enthusiasm for major cross-border schemes to provide the electricity essential to maintain growth south of the Equator. Apparently, even the murky outlook for Congolese politics cannot hold back Inga’s irresistible rise, as ever more Southern African projects leave the drawing board, writes Jon Marks with African Energy correspondents. Issue 104, November 2006.more
SAPP wants accelerated project implementation
The Southern African Power Pool has resolved to accelerate the implementation of projects across the Southern African Development Community (SADC) region, where demand is already beginning to outstrip supply and the hopes for the rapid development of a major regional electricity market remain unfulfilled, as the SAPP’s STEM short-term energy market is under-used. Issue 104, November 2006.more
Cabinet approves, unions oppose REDs
The South Africa Municipal Workers’ Union (Samwu) added to the political pressures that have delayed the creation of six regional electricity distributors – which was finally approved by the cabinet in mid-October – by complaining that the REDs’ creation out of Eskom and local government electricity distribution assets was “unconstitutional” and could be challenged in court. Issue 104, November 2006.more
Power hungry Coega zone generates range of investments
Projects and funds are starting to line up for the Coega industrial development zone, where Alcan is close to signing a power contract for its proposed aluminium smelter. With Eskom’s power capacity under heavy pressure, other players including the ambitious AIM-listed IPSA Group are looking to ever bigger deals in Coega. Issue 103, October 2006.more
Will South Africa follow a conventional nuclear path as well as PBMR?
Governments at each end of Africa are talking about building big new nuclear generating capacity, for the first time since the 1970s. South Africa has sent out a strong signal by adding to the number of governments who say they are considering the construction of a new conventional nuclear plant, in addition to its Pebble Bed Modular Reactor (PBMR) plans. Issue 103, October 2006.more
Honeywell contract for mothballed Grootvlei plant
Eskom has given Honeywell a three-year contract worth $41.4m to provide the distributed control system in the reactivation unit and upgrade the Grootvlei electric power plant, ready to bring it back into service. Issue 102, September 2006.more
DME expects IPP bids
Bids are due by end-September for the SA government Department of Minerals and Energy’s much-anticipated two new open-cycle gas turbine (OCGT) plants, whose development is intended to establish a framework for future independent power producer projects (AE 97/Online 3). Issue 101, August 2006.more
IPSA secures new financing
Independent power plant developer IPSA plc has signed a $4m bridging loan agreement with Standard Bank for the initial development of projects at Coega and Elitheni (AE 97/13). Issue 100, July 2006.more
IPP prospects looming larger, says SA banker
As southern Africa’s power surplus starts to run out, bankers in the region see a marked improvement in the prospects for IPPs, writes Kevin Godier. Issue 99, June 2006.more
New SA doubts as Globeleq pulls out of Kelvin
Globeleq’s decision to pull out of running South Africa’s first IPP points to the continued problems of putting the theory of liberalised markets into practise. Issue 98, May 2006.more
Second nuclear plant option
The government is considering building a second nuclear power station near Cape Town to ensure uninterrupted power supply in the region, Public Enterprises Minister Alec Erwin confirmed in mid-April. Following problems at Eskom’s Koeberg plant, “the government believes there is a need for another big baseload station in the Western Cape and I have asked Eskom to examine the options available,” he said. Issue 98, May 2006.more
Cost and return equation continues to dog Southern Africa’s supply prospects
As the shape of South Africa’s power development in the next two decades becomes clearer, Kevin Godier asks whether renewable energy sources can address southern Africa’s electricity shortfalls, or will cheap coal continue to dominate? With additional reporting by Jon Marks. Issue 97, April 2006.more
IPSA aims high in Eastern Cape
IPSA Group, which shipped a combined heat and power plant from Lancashire to KwaZulu Natal, has branched out with preliminary agreements for two new power generation projects in the Eastern Cape. Issue 97, April 2006.more
Moody’s rates Eskom’s E500m bond issue
Moody’s Investors Service assigned a provisional (P)A2 rating with stable outlook to the proposed issue of approximately E500m-worth of euro-denominated fixed-rated notes. Issue 96, March 2006. more
Botswana’s Mmamabula development casts shadow over Eskom’s Matimba B scheme
The emergence of apparently competing coal developments in Botswana, linked to major power station projects the bulk of whose sales are targeted on the South African market, means Eskom is being bombarded with schemes to help fill the looming hole in its generating capacity. With much to play for, Eskom’s choice at this moment seems to be whether to go ahead with its Matimba B scheme or back a Mmamabula scheme across the border. Issue 95, February 2006.more
Local partnerships promote energy saving in South Africa
In a hot and arid country like South Africa the level of water pressure, partly determined by the energy used at the pumping stage, has a particularly important role to play in determining the efficiency at which system work. Issue 95, February 2006.more
South Africa starts to practise the theory of renewable energy
Projected to be among the fastest-growing corners of SA – and the wider region – in the next decade, Western Cape and the more impoverished Eastern Cape urgently need new power to supplement the supplies that originate in South Africa’s traditional industrial heartland of Gauteng and Eskom’s huge coal-fired generating capacity. Issue 93, January 2006.more
PBMR contract
The development company for a prototype nuclear reactor has signed its first construction contracts as the project starts the move into its implementation phase. Mitsubishi Heavy Industries (MHI) has received two orders from PBMR (Pty) Ltd related to the core barrel assembly (CBA) of the company’s demonstration pebble bed modular reactor (AE 92/10). Issue 93, January 2006.more
Massive gap remains between theory and practice of SADC’s ESI co-operation
With Zambia forced to turn off supply to Namibia and other customers, it is not just South Africa’s Eskom that is having to rethink its power priorities. The press is full of articles talking up Inga and the potential of power pools, but many ESI managers’ practical experience will revolve around staving off local crises for years to come. Issue 93, December 2005.more
South Coast Gas gets under way
PetroSA is due to start drilling operations in December on the South Coast Gas project as part of efforts to extend the life of the gas-to-liquids refinery at Mossel Bay. Issue 93, December 2005.more
Out of angst come projects as SADC rethinks its power options
As South Africa’s years of surplus electricity come to an end, SADC governments are being forced to rethink their supply strategies, giving impetus to projects that were stuck on the drawing board. Major funding initiatives are needed to help a vulnerable region to cope as Eskom focuses on the home market, writes Jon Marks in Johannesburg. Issue 92, November 2005.more
Two steps forward and some shuffles backwards for South Africa’s electricity sector reforms
This should be a time of celebration for the electricity supply and distribution industries, and for supporters of wider energy sector reform in SA. But a wide range of political and industry stakeholders continue to influence – and delay – reform in this complex polity, and the outlook is not as rosy as this month’s headline announcements suggest, writes Jon Marks in Johannesburg. Issue 92, November 2005.more
SA’s new regulatory landscape
The long awaited Gas Act, Petroleum Pipelines Act and sectoral regulatory legislation came into force on 1 November. Creation of the new National Energy Regulator South Africa (Nersa) will help to consolidate transparency and accountability in the electricity, downstream oil and gas sectors. Issue 92, November 2005.more
IPP documents awaited
Few doubt the Department of Minerals and Energy’s much-anticipated independent power plants will eventually go ahead – the government has shown its determination to make them happen – but in a still uncertain regulatory environment, when they happen remains to be seen. Issue 92, November 2005.more
PBMR budget boost, potential ‘new investors’ in talks
R1.3bn ($197m) supplemental spending for research and development in South African Finance Minister Trevor Manuel’s 25 October mini-budget specifically allocated R540m to the Eskom-led pebble bed modular reactor project. Issue 92, November 2005.more
Vaal pipeline to start as finance falls into place
Construction of the R2.5bn ($395m) Vaal water pipeline is expected to start soon following the signing of an agreement between the government’s Department of Water Affairs and Forestry, state-owned water management company TCTA and key offtakers Eskom and Sasol Synfuels to go ahead with the public/private partnership scheme. Issue 92, November 2005.more
City Power CEO to leave after critical NER report
Chief executive Mogwailane Mohlala is to leave the Johannesburg utility in January, “to pursue [other] business interests”, it was announced following an agreement reached with the City Power board soon after the National Electricity Regulator released a highly critical report. Issue 91, October 2005.more
UK firm ships power to Newcastle
It is a real signs of the times: a UK-based company that plans to ship a power plant from Lancashire to KwaZulu Natal listed its shares on London’s Alternative Investment Market (AIM) on 20 September. Issue 91, October 2005.more
Sasol’s BEE deal spreads Uhambo wealth, challenges industry
In the most eagerly anticipated – and long awaited – deal in the South African downstream, Sasol’s black economic empowerment partner Tshwarisano LFB Investment is to acquire a 12.5% stake in the new Sasol/Engen liquid fuels JV Uhambo Oil Ltd for R1.45bn ($222m). Issue 91, October 2005.more
Pretoria takes 30% stake to keep PBMR afloat
Commercial demonstration of pebble bed modular reactor technology could cost up to $3.8bn, but the South African government sees even this huge burden worthwhile to get the controversial technology to market. Issue 90, September 2005.more
Siemens wins turbines contract
Siemens Power Generation has won a E230m ($280m) contract to supply seven gas turbines, including ancillary systems and associated transformers, for two new power plants to be built by Eskom to meet increasing electricity demand. Issue 89, August 2005.more
IPP prequal bids in
The government’s Department of Minerals and Energy (DME) has taken the first steps towards awarding two new independent power projects with the close of prequalification bidding on 22 June (AE 87/2, 86/15). Issue 88, July 2005.more
Crunch time approaches for South Africa’s power industry
The path of policy implementation often moves slow in South Africa but when the crunch arrives everyone must adapt – as the electricity supply industry is about to find out, writes Jon Marks in Cape Town. Issue 87, June 2005.more
Peaking power tender opens way to IPPs
The Department of Minerals and Energy (DME) has initiated government plans to offer 30% of future new generation capacity for development by the private sector, inviting expressions of interest from companies to build, own and operate new peaking power generation. Issue 86, May 2005.more
PBMR awards fuel plant order
In another sign of progress in South Africa’s plans to build a commercial nuclear industry, the Pebble Bed Modular Reactor (PBMR) company has awarded a $20m contract for design, procurement, construction and cold commissioning of pilot fuel plant utilities and infrastructure at Pelindaba, near Pretoria. Issue 86, May 2005.more
Africa’s first “green energy” market launched in Johannesburg
South African companies can buy renewable energy from a national grid under a ground-breaking “green energy” market created in Johannesburg. Although the market is embryonic, limited to just 40GWh, its creator, Amatola Green Power, is hoping that volumes will grow steadily and spawn a secondary market trade in certificates that prove users’ green power credentials. Issue 86, May 2005.more
China to co-operate on PBMR
South Africa and the People’s Republic of China are to co-operate on the further development of pebble bed high-temperature reactor technology following the signing on 6 March of a memorandum of understanding between PBMR (Pty) Ltd and Beijing-based Chinergy. Issue 85, April 2005.more
Danes plan SA’s wind farm
Denmark’s Oelsner Group is set to begin development of South Africa’s first commercial wind farm after receiving clearance from the Department of Environment Affairs and Tourism. Issue 85, April 2005.more
Court ruling delays PBMR project
Government plans to develop a pilot pebble bed modular reactor (PBMR) at Koeberg face further delays after a court ordered the environment ministry to re-open consultation on its environmental impact assessment (EIA). Issue 84, March 2005.more