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FTW Pick: ‘SA’s energy supply chain model must change’

02 Aug 2018 - by Adele Mackenzie
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The next evolution of manufacturing and production will demand large quantities of energy – and the costs associated with that will have to be sustainable.

Alf Hartzenburg of the National Cleaner Production Centre (NCPC) South Africa told delegates at the Manufacturing Indaba in Sandton recently that to sustain and grow South Africa’s industrial base, it was necessary to lessen its dependence on the current national electricity grid. Matleng Energy Solutions’ Neliswa Magubane agreed, pointing out that energy prices needed to drop to around 66 cents per kilowatt hour (KwH).

To achieve this, the right mix of energy was necessary, she said – and this meant new energy solutions such as renewables, gas and nuclear still needed to be supported by the grid. “But it will be a very different grid to what we’re used to.

Eskom will have to re-examine its business and supply chain model,” said Magubane, noting that the power parastatal would need to de-centralise its energy distribution and look at smaller, more regionalised grids.

To read the full article, and other stories from FTW, click here.

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