Weekend Argus (Saturday Edition)
Firms’ electricity use to be monitored
Mines, factories to submit reports on energy consumption
HIGH energy consumption businesses will soon have to draw up energy management plans and submit these to the government as part of a multipronged approach to tackle the country’s energy crunch.
Energy Minister Tina Joemat-Pettersson released draft regulations for public comment this week which would require all businesses using more than 180 terajoules a year to report on their consumption annually, while those burning more than 400 terajoules would have to submit five-year energy management plans.
These would include an accurate baseline of their cur- rent consumption, areas of potential savings, performance indicators to measure energy use, a list of savings measures that are “technically viable, cost effective and within the financial means” of the business, and timelines for implementing these measures.
At the end of each financial year the business would have to report on energy savings achieved, efficiency measures implemented, and “any barriers encountered in trying to achieve the performance improvement anticipated”.
Mining and manufacturing are identified as the sectors that will be required to submit this data, which includes consumption of electricity, coal, natural gas and petroleum products, as well as off-grid renewable sources.
Explaining the move, the document says the department is developing an energy efficiency monitoring system, for which reliable data is required.
Trends would be reported only at an aggregate level, so the department is able to distinguish between efficiency gains and other factors, such as structural changes in the economy.
This suggests businesses will not be individually penalised if they fail to meet efficiency targets, though spiralling electricity costs will in any case encourage businesses to find savings.
The Treasury is also expected to table a draft carbon tax bill later this year, for implementation next year.
According to the government’s five-point plan on the electricity crisis, about 500MW of electricity could be saved within six months if demandmanagement steps were implemented quickly.
However, the plan, released in December, said 1 390MW of co- generation capacity – in which private producers sell surplus power to Eskom – needed to be contracted for by the end of last month. Another 1 000MW was expected to be brought online within 18 months.
Joemat- Pettersson
also appears to have missed a revised deadline she set herself to sign off on the fourth bid window for the renewable independent power producers programme. There has also been no sign of movement on a promised private coal- fired power station programme, expected to supply 2 400MW.
Meanwhile, Deputy President Cyril Ramaphosa met representatives from business and labour on Thursday to discuss the crisis, progress with the five-point plan, and solutions.
He admitted there were “challenges” at Eskom – after a boardroom showdown over a proposed inquiry into the sources of problems at the parastatal culminated in the resignation on Monday of chairman Zola Tsotsi.
Public Enterprises Minister Lynne Brown said this week she had accepted his resignation and the board’s nomina- tion of Ben Ngubane as interim chair.
“Over the next few weeks I will undertake a consultative process to appoint a permanent chairperson.”