EnergyWeek South Africa
EnergyWeek South Africa took place from 11-12 December in Cape Town to discuss the progress of energy projects in Southern Africa. Within this week EnergyNet hosted the separate investment meetings International gas Cooperation Summit, Southern Africa Renewable Energy Summit and the Black Industrialists Energy Summit to explore opportunities for gas and renewable energy project development in the region.
The International Gas Cooperation Summit (IGCS)
This meeting was a platform to explore South Africa’s aspirations to build an energy hub for gas cooperation with international partners along the gas value chain. The Summit put the objectives of South Africa and the region at the forefront of international gas development, showcasing South Africa as a gas hub. IGCS outlined the next steps of the Gas IPP Programme and the scale of opportunity for investors.
This meeting showcased gas procurement and utilisation strategies, bringing together a global gathering of energy leaders who will enable Southern Africa to achieve its objectives in becoming an energy hub for the region. This meeting was co-located with the Southern Africa Renewable Energy Summit and the Black Industrialists Energy Summit.
The next opportunity
As one of Africa's most developed economies, South Africa has a successful track record of initiating an IPP Programme for renewable energy to complement its largely coal-dominated energy mix.
The introduction of natural gas is a natural progression for the country that could help diversify the energy mix, transform the country’s infrastructure and create jobs. The Industrial Policy Action Plan set out by South Africa’s Department for Trade & Industry (DTI) emphasises the industrial and economic benefits of natural gas, highlighting the development of the gas sector as a critical project.
How can natural gas play a greater role in South Africa’s energy mix?
With investor confidence high and a strong regulatory framework in place, IGCS examined the next steps in South Africa’s journey to becoming a commercial gas hub, exploring where the real opportunities lie for investors and what timelines the Government is working towards.
The upcoming release of South Africa’s IRP (Integrated Resource Plan) is set to clarify the future of coal, nuclear power, renewable energy, and the incorporation of the 3 “D”s – decentralisation, decarbonisation and digitalisation. This meeting will explore the scale of opportunities on these sectors not only in SA and beyond with a particular focus on increasing security and investor confidence.
This is an exciting time for gas development in Southern Africa. Mozambique is currently attracting a lot of interest from the energy sector due to its extensive gas reserves. South Africa’s role is essential in bringing those gas resources to the market. Launched in 2012, the South African government’s Gas to Power Programme guides the development of the country’s gas industry, supported by the Gas Utilisation Master Plan (GUMP), Integrated Resource Plan (IRP) and Liquid Fuels Master Plan.
The upcoming Integrated Resource Plan (IRP) will outline the roles of coal and renewable energy in the country’s energy mix, providing investors with greater clarity on strategies and priority projects. South Africa’s Energy Minister Jeff Radebe has commented that the IRP will be aligned with the SADC regional gas master plan. We’ll be exploring the impact of the IRP not just on South Africa’s potential for gas development, but also on regional energy co-operation across Southern Africa.