NATURAL gas is a key component of government’s soon-to-be announced energy and resources plans and the Eastern Cape will be central to the successful roll-out of those plans.
That was the message from Energy Minister Mmamoloko Kubayi while on a visit recently to the Coega Industrial Development Zone (IDZ).
The minister said the Eastern Cape, and Coega in particular, had been identified as a hub of the government’s plans to boost the use of natural gas as part of wider efforts to shift the country’s dependence on coal to alternative sources of energy.
“Our plans still need to be finalised to see where coal, wind, nuclear and other energy sources will be utilised,” she told media during the visit. She said her department planned to finalise the integrated energy plan (IEP) and integrated resource plan (IRP) within the next few months.
“We can say with certainty that gas will be critical for power generation,” Kubayi said, adding that supplies of natural gas would have to be imported until local sources had been found. Several gas
exploration projects we underway, she said.
Kubayi, accompanied by economic development MEC Sakhumzi Somyo and Nelson Mandela Bay Mayor Athol Trollip, visited the Dedisa Peaking Power plant, where its Chief Executive, Arnaud de
Limburg, explained that while the facility was currently running on diesel, it was able to switch over to gas quickly once the decision to do so was made. Such a shift, he said, would boost its output significantly from 335KW to 500KW.
In addition to the R3,5-billion Dedisa plant, The Coega SEZ has been identified by the Department of Energy as one of two preferred locations for a 1000 MW gas-to-power facility with an estimated investment value of R25 billion. The other location is in KZN, but the minister’s latest comments
about Coega’s future role as a gas power hub has fuelled speculation that the zone may now be the preferred location for this mega power project.
