Government reaches green accord

Consolidated Infrastructure Group says its newly established renewable energy division in South Africa,focusing on wind power, will be a major growth driver for the company.PHOTO SUPPLIED 1

Consolidated Infrastructure Group says its newly established renewable energy division in South Africa,focusing on wind power, will be a major growth driver for the company.PHOTO SUPPLIED 1

Published Nov 18, 2011

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The government has forged widespread support for a “green accord” that is aimed at creating 300 000 climate friendly jobs within a decade, while plans are on track to produce 3 700 megawatts of renewable energy to be channelled into the electricity grid by 2016.

Jobs are expected to be created on mass transport routes through the upgrade of the Passenger Rail Agency of SA (Prasa) infrastructure and rolling stock construction across the country, feeding into bus rapid transit systems in major cities.

Scores of jobs in the solar water heating systems industry – including the manufacture of solar water panels – are also envisaged. South Africa is also set to benefit from the switch to biofuels to replace fossil fuels.

It is uncertain though if the target will be realistically met given the current constraints with skills, technology and investment.

Business Unity SA and the labour federations represented at Nedlac – Cosatu, the National Council of Trade Unions and the Federation of Unions of SA – joined the government in supporting and signing the green accord at Parliament yesterday.

Ebrahim Patel, the Economic Development Minister, noted that bids had closed for independent power producers (IPPs) to feed in 3 725MW of renewable energy for use in the grid. “That is roughly a little bit more than the total energy needs of a city like South Africa’s second-largest city, Cape Town,” he told a briefing that included the ministers of energy, transport, agriculture and finance.

Energy Minister Dipuo Peters reported that there had been 80 bids for the renewable energy tender, when the bid procedure closed earlier this month. “We are considering these bids soon… more than 80 independent power producers have been able to submit qualifying bids.”

This, in turn, created the opportunity “to kick-start local assembly of different technologies for wind turbines and wind towers and blades”.

Peters also reported that the government planned to install 1 million solar water heating systems by 2014/15. A plant to produce the solar panels for these systems had been officially opened in East London recently “and there is space for more (companies)”. She believed there were vast opportunities for new business in this area as “we have already installed 115 000 units”.

Although she did not put a number on the potential for jobs, she said that South Africa “has ample sun (radiation) that we are not using”.

The business sector should be looking at supplying the equipment required to convert thousands of traffic lights and billboards in cities and towns to using “green” power.

Patel had previously focused on the need for insurance companies to promote the use of locally manufactured solar water geysers for insured replacement of damaged electric hot-water geysers.

He recently told the economic development portfolio committee that 200 000 households suffered burst electrical geysers annually. He said the government was in discussions with the insurance industry to boost the use of domestically supplied solar heating systems.

Peters said the aim was for renewable energy to make up almost 35 percent of all new energy use by 2020.

Transport Minister Sbu Ndebele said the aim of the transport sector was to reduce the dependence on private motor vehicles and make it safe “and attractive” to travel by public transport. He noted that Prasa was spending R2 billion by 2014 on improving its rolling stock, signal systems and other infrastructure.

“As we speak 30 new coaches and a new signalling system are being rolled out,” he said.

Tina Joemat-Pettersson, the Agriculture, Forestry and Fisheries Minister, said plans were afoot to convert sorghum, sugar cane and sugarbeet to biofuel, but the government would ensure that efforts to promote the use of clean fuel for vehicles would not compromise food security.

Without detailing the potential for job creation in biofuels, she said: “The development of biofuels requires a mindset change… all farmers are called upon to seize the opportunity it brings to agriculture.”

Cosatu general secretary Zwelinzima Vavi said given the 25 percent unemployment rate the 300 000 jobs target “may look very small… but it gives you a starting base (from which) you can launch all your other initiatives to green the economy.”

He agreed that a mindset change from the dependence on the mining and heavy chemical sectors in the economy was needed. “Green jobs are the solution to the challenge we are facing. The train is turning slowly in the right direction.” - Donwald Pressly

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