Sandisiwe Ncemane, Coega Development Corporation’s energy sector manager, comments on measures of ensuring South Africa’s security in the energy sector, as it undertakes extensive technical readiness work for up to 3 000 MW of gas-driven power.
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The Coega Development Corporation (CDC) welcomes the statements made by the Department of Mineral Resources and Energy minister Gwede Mantashe to catalyse developments to ensure electricity and energy supply within the short and medium term.
In the context of the CDC, access to reliable and affordable energy is a critical enabler to drive industrialisation and economic growth. To ensure a competitive investment location for its clients and future investors, the CDC has prioritised the provision of a stable, continuous energy supply and associated utility services. Furthermore, this advocates for the move towards a diversified energy mix to establish a well-integrated energy value chain, inclusive of electricity, liquid fuels and natural gas.
With a proven track record in delivering mega-projects, the CDC plays a pivotal role in advancing readiness for the realisation of various energy projects in South Africa. These comprise production, generation, manufacturing and services. The Coega Special Economic Zone (SEZ), includes world class infrastructure, extensive roof area and serviced land that is available to host various energy programmes, with spin-offs for other sectors.
Distributed generation solutions are rapidly providing an alternative for industries within the SEZ. Complementing this is the existing 48 kW solar plant, which feeds power to the CDC head office. Leveraging massive factory roof tops, the roll out of the Coega Solar Rooftop Programme will also draw from the innovative mechanisms available within the Nelson Mandela Bay Metro to address the short-to-medium term energy gap.
Embedded generation is a viable and attractive proposition in the Coega environment. Over the past decade, the Coega location has bolstered momentum to ensure it is a well-equipped site for integrated gas-driven power solutions and has secured key pre-requisites that support development in the shortest time.
“Coega continues to undertake extensive technical readiness work for up to 3 000 MW of gas-driven power, which demonstrates our eagerness to advance readiness for SA’s first LNG importation with the assistance of relevant stakeholders,” says Ncemane.
The Eastern Cape Government continues to support this programme, with a detailed plan for a provincial gas economy, comprising market analysis, logistics studies, third party (small-scale) gas localisation for SMMEs and black industrialists, as well as natural gas research and decision support.
The finalisation of Section 34 determinations will set in motion the development of these impactful energy programmes, and positively impact South Africa’s energy landscape. Ncemane believes the Coega SEZ is an ideal location to unlock South Africa’s diversified energy economy. “To advance this vision, the CDC continues to work hand in hand with the Eastern Cape Province, other state organs, and the private sector,” he explains.
Integrated to the Liquified Petroleum Gas (LPG) value chain, MM Engineering, a gas cylinder manufacturer, led by a black female industrialist is located in Zone 3 of the SEZ, within 5 km of the Port of Ngqura, where the liquid fuel tank farm is currently under construction. LPG will propel the regional gas market demand, and trigger inclusive gas localisation.
“The CDC`s initiatives for diverse energy investments are towards achieving government objectives of stimulating the South African energy sector,” concludes Ncemane.
