The purchase of a stake in SolarWorks!, a company selling decentralized solar energy solutions, marks the beginning of a new strategy in this area.
SOVENTIX South Africa, a subsidiary of the international solar project developer SOVENTIX GmbH has been awarded the construction of the largest IPP Solar PV project in Zimbabwe.
Sharing the lessons learned will shorten the path for other MDB’s
Room2Run, the African Development Bank (www.AfDB.org) and partners’ innovative US $1 billion synthetic securitization of a portfolio of seasoned African Development Bank private sector loans, will serve as a model for other lenders, help reduce costs, and shorten execution time, finance experts told participants at a workshop on Saturday.
The landmark securitization instrument, a first for any multilateral development bank, has been described by investors as a “strong market fit.” The instrument offers other multilateral development banks and investors a roadmap for innovative financing and new ways to explore the release of much-needed capital to impact financing and catalyze private capital in developing markets.
"This is particulat, asrly importan it opens the door for significant scale in the future, both in Africa and in other continents where your institutions are present and financing development projects,” said Swazi Tshabalala, the Bank’s Vice President of Finance.
About 70 participants from the international finance community – investors, bankers and other financial institutions, attended the workshop entitled “A Look at Optimizing MDB Balance Sheets Through Securitization, “organized by the African Development Bank and the Mariner Investment Group, LLC (Mariner), a key investor in the deal. The participants heard presentations on the structure of the securitization, challenges and lessons learned, followed by a question and answer session.
The workshop took place on the sidelines of the International Monetary Fund and World Bank annual meetings and the 2018 Global Infrastructure Forum in the Indonesian island of Bali. The AfDB’s Chief Risk Officer Tim Turner said the meeting was convened in response to massive interest from sister development institutions following the announcement of Room2Run in September, 2018.
The Bank, the European Commission, Mariner Investment Group, LLC (Mariner), Africa50, and Mizuho International plc announced the pricing of Room2Run on 18 September in Ottawa, Canada - the first-ever portfolio synthetic securitization between a Multilateral Development Bank (MDB) and private sector investors, pioneering the use of securitization and credit risk transfer technology to a new and previously unexplored segment of the financial markets.
Tshabalala said Room2Run was timely in the light of new regulations in banking that would see more traditional commercial bank lenders scaling back some of their activities in the project finance and trade finance markets. “These regulations will make investments in regions such as Africa more expensive and capital intensive, and this is why we have to find new avenues to crowd-in non-traditional sources of funding, " Tshabalala said.
Describing Room2Run as the “crown jewel of our impact activity, Andrew Hohns, Lead Portfolio Manager of the IIFC Strategy, Mariner Investment Group, said that there is a common misconception about the performance of MDB’s loans as unattractive; but the risk perceptions were often unbalanced”, he said.
“These assets have performer pretty well,” Hohns, said, giving reasons for Mariner’s global involvement with impact financing – nearly US$14 billion of infrastructure assets covering 1,250 projects world-wide. Hohns said the investor’s decision to partner with the Bank rested on its strong track record. The Bank is by far the most positioned of institutions on the continent to offer this kind of securitization, he said and synthetic securitization deals such as Room2Run were a “strong market fit.”
“The level of interest in taking exposure to the assets within the MDB’s is high,” Hohns said.
Kay Parplies, Head of Unit Investment & Innovative Financing, European Commission, said Room2Run was “catalytic” and hoped its involvement would attract other private investors and rating agencies to refine their approaches to African assets. Parplies said our experience over two decades had shown many in the investor community that actual risks (in African investments) were often lower than the perceived risks.
Other presenters at the workshop included Juan-Carlos Martorell Co-Head of Structured Products Solutions, Mizuho International and Nicole Giles Director General, International Finance and Development, Finance Canada.
Room2Run Roadmap to be shared with MDB’s
Turner said the Bank would soon publish a detailed journey of the Room2Run initiative, including all the documentation involved in its set up, to encourage other MDB’s to consider adopting synthetic securitization models to free up capital and create new pathways for institutional investors to support development. The document would be a “technical manual” to help others lower the cost and shorten the time to develop similar transactions.
“There is no need for our development partners to redo what we did. This is a knowledge sharing session of learnings from the school of hard knocks,” Turner said.
By creating new pathways between those with savings and those needing capital for development projects, Room 2Run would generate excitement within investment spaces normally far removed from development financing.
“Imagine a pensioner in Toronto knowing that his retirement investments are financing a power plant that was giving electricity to a family in Yopougon (Cote d’Ivoire). It’s a win-win.”, Turner said.
Structured as an impact investment, Room2Run is designed to enable the African Development Bank to increase lending in support of its mission to spur sustainable economic development and social progress.
Synthetic securitization and other similar models are intended to bring together public and private capital to finance development.
“MDB’s need to look at more than the financial return,” Bank Director of Syndication & Co-Financing, African Development Olivier Weck said, adding that the Bank had itself invested time to educate its board about the deal. “We needed to demonstrate additionality and the development outcome,” Eweck said.
Room2Run, positions the Bank as an innovative leader in providing lending in pursuit of the global development agenda, which prioritizes its own High 5’s and the Sustainable Development Goals. Freed-up capital will be directed toward renewable energy projects in Sub-Saharan Africa, including projects in low income and fragile countries.
“The Bank is treating this (Room2Run) as a pilot project,” Hohns said. “Mariner is very much interested in doing more.”
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Globeleq, a power sector leader in Africa, and an affiliate of Brookfield Asset Management have reached a definitive agreement whereby Globeleq acquires Brookfield’s interests in its South African renewable energy portfolio. The agreement is subject to various closing conditions and once fulfilled, will give Globeleq a majority shareholding in six renewable projects totaling 178 MWs, as well as ownership in Brookfield’s South African asset management company.Globeleq, a power sector leader in Africa, and an affiliate of Brookfield Asset Management have reached a definitive agreement whereby Globeleq acquires Brookfield’s interests in its South African renewable energy portfolio.
The agreement is subject to various closing conditions and once fulfilled, will give Globeleq a majority shareholding in six renewable projects totaling 178 MWs, as well as ownership in Brookfield’s South African asset management company.
Globeleq is a long term strategic investor in Africa. The addition of the Brookfield assets fully complements its existing power plants in South Africa where it owns, operates and manages 238 MW of solar and wind projects and sets the stage for Globeleq to continue to expand its renewable energy portfolio throughout the continent.
Paul Hanrahan, Globeleq’s CEO stated: “Our team is working hard to complete this very exciting transaction. The expertise of our South African team will be able to enhance these assets by driving operational improvements and improve the existing social and economic development programmes.”
The assets include five solar assets: Aries (11MW), Boshoff (66MW); Konkoonsies (11 MW); Soutpan (31 MW), and Witkop (33 MW) and the Klipheuwel wind farm (27 MW). The six projects were part of rounds 1 and 2 of the South African Government’s renewable energy programme and reached commercial operations in 2014. All plants have a 20-year power purchase agreement with Eskom.
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Canadian Solar Inc. announced it established a joint venture with ET Energy, a global clean energy developer and operator. Together they will provide Engineering, Procurement and Construction services for two solar power projects totaling 132 MWp in South Africa for BioTherm Energy, an independent African power producer.Canadian Solar Inc., one of the world's largest solar power companies today announced it established a joint venture with ET Energy, a global clean energy developer and operator. Together they will provide Engineering, Procurement and Construction services for two solar power projects totaling 132 MWp in South Africa for BioTherm Energy, an independent African power producer.
The projects, Aggeneys (46 MWp) and Konkoonsies II (86 MWp), are located in northwest South Africa and cover an immense area of 387 hectares. They are Round IV projects of the Renewable Energy Independent Power Producer Procurement Programme (REIPPPP).
The two solar power plants are expected to be grid-connected by the end of 2019 and early 2020, respectively. Over 400,000 Canadian Solar's 1500V high voltage modules, CS6U-P, will be installed on single-axis solar tracking systems, with a total of 34 central inverters for the two solar projects. Construction of the projects is expected to start in September 2018.
Dennis She, President and CEO of ET Energy, said, "In partnership with Canadian Solar, BioTherm Energy, and other market leaders in South Africa, we have met all the requirements of the REIPPPP. With our South African subsidiary founded in 2016, and years of experience in project operation and EPC management, ET Energy will offer professional EPC and O&M services to utility scale PV plants in Sub-Saharan Africa, including South Africa."
Dr. Shawn Qu, Chairman and Chief Executive Officer of Canadian Solar, said, "These projects are the first large-scale applications of our products in Africa's high voltage market. We hope to set more benchmarks for the renewable energy market in South Africa with high-quality products, advanced PV technology, and global expertise."
As a signatory to the Paris Agreement of the United Nations Framework Convention on Climate Change, South Africa has long been a leader in the African renewable energy industry. In November 2016, the country released the latest draft of its Integrated Resource Plan, which outlines the country's electricity strategy to 2050. Under the plan, the country seeks to add 18 GW of PV plants over 2021-50. In recent years, the successful implementation of the REIPPPP has ensured that the South African renewable energy sector has adhered to this strategy.
BBOXX (www.BBOXX.co.uk), a next generation utility, and GE (www.GE.com) have launched a partnership to provide energy access for small businesses, schools and other organisations in Goma, Democratic Republic of Congo (DRC).
A large number of businesses and organisations across the DRC are currently without sufficient energy access. Many are paying excessive amounts for diesel and have to dedicate considerable time to solving problems caused by unreliable supply. This is hindering economic growth and acting as a barrier to improving quality of life in one of the least developed nations in Africa.
BBOXX has deployed the first of GE’s Hybrid Distributed Power (HDP) systems in the city of Goma, close to the Rwandan border, to connect up to 10 customers. The first is a local school, Kivu International School. More customers will be added to the “mini grid” over the following weeks.
GE’s HDP technology provides sustainable energy in off-grid settings, combining solar energy, battery storage and diesel generation to ensure a reliable electricity supply.
The systems will be linked between GE’s Predix digital remote monitoring and diagnostics platform to BBOXX’s cloud-based Pulse platform in the near future. This pioneering technology proactively troubleshoots issues with any system before they become a problem for customers. Pulse uses big data and predictive analytics to help improve customer service and provide a deep understanding of customer behaviour.
The partnership forms part of BBOXX’s strategy to improve access to vital utilities for customers with a range of needs, from small solar home systems of 50W in rural communities, to businesses in urban areas with higher energy demands of 0.5kW – 5.0kW, and beyond. GE’s HDP system in Goma is capable of delivering up to 30kW.
“Many businesses and small organisations in the DRC, and across the developing world, do not have a reliable, affordable way of maintaining electricity supply. Hybrid distributed power and micro-grid technology provides one solution to solve this pressing problem by delivering an on-grid experience in an off-grid setting,” said Mansoor Hamayun, CEO and co-founder of BBOXX.
“We look forward to working with our technical partners in the future to supply energy and other utility services to more customers across the distribution mix, from small rural homes through to urban SMEs and public institutions, improving productivity and powering economic growth.”
“We are excited to partner with BBOXX to enable energy access in the DRC. GE’s Hybrid Distributed Power system offers flexibility to deliver fast, reliable power with a digital backbone found in utility scale power plants,” said Brian Selby, Managing Director of Licensing at GE.
BBOXX is already positively impacting the lives of 750,000 people living in off-grid communities in Africa and Asia by providing clean, reliable and affordable solar electricity. BBOXX recognises that electricity is the entry point to a broader range of products and services as well as further economic development.
“No country can possibly move forward in the 21st century if it leaves half of its talent on the sidelines,” African Development (www.AfDB.org) President, Akinwumi Adesina told delegates at the launch of FinDev Canada, in Montreal, while making the Bank’s case for supporting women.
FinDev Canada is a subsidiary of Export Development Canada (EDC), the country’s export credit agency. Launched six months ago, FinDev’s mandate is to support the growth and sustainability of businesses in developing markets.
According to Honourable Marie-Claude Bibeau, Minister of International Development, “With its universities, international organizations and multicultural population, Montreal is the ideal home for FinDev Canada. From its Montreal base I am confident it will play a critical role in advancing our country’s international development agenda by offering a blend of public and private capital and building partnerships with businesses in developing countries, especially those operated by women and youth.”
Adesina gave the keynote address at the inaugural conference.
“All of us in this room understand the need to support women instinctively. Many of us have come from places – and have family in places – where the labor of women is absolutely essential to holding communities together. And yet so often, their labor is not even fully recognized. And all too often, women are denied their fair share of wages for equal work,” he said.
According to Adesina, the challenge was not just in Africa or even in North America. “In every society, this challenge represents a truly foolish squandering of resources.”
The status quo that must change
The President of the African Development Bank called for an end to the status quo on gender as women and youth are the backbone of countless small businesses. “All too often, women are denied their fair share of wages for equal work. The status quo must change. “We know that investing in women can create a true multiplier effect in communities. Women reinvest up to 90% of their income on their families and in their communities. That money goes toward feeding and educating children, and paying for doctor’s visits.”
Adesina urged partners to work strategically, innovatively, and collaboratively to bridge the estimated $42 billion financing gap between men and women. “While societal limitations and belief systems often kill many a woman’s dream, it is often at the bank counter that dreams come crashing down. Without collateral and without access to land or other financial resources, the bank is the end of the road for many women entrepreneurs,” he deplored.
Working visit to strengthen bilateral ties with Canada
Montreal is the first stop of President Adenisa’s four day working tour in Canada. The Bank’s President is leading a delegation along with David Stevenson, Executive Director at the Bank representing Canada, China, Republic of Korea, Turkey and Kuwait. Other senior members of the delegation include Stella Kilonzo, Senior Director of the Africa Investment Forum; Vanessa Moungar, Director for Gender, Women and Civil Society; Timothy Turner, Group Chief Risk Officer, and Victor Oladokun, Director of Communication.
Before his keynote address at FinDev, President Adesina held bilateral talks with Paul Lamontagne, Managing Director of FinDev Canada. Later in the day, in Ottawa, Finance Minister, Bill Morneau and the Bank delegation are expected to exchange views on a number of issues including inclusive growth, and Canada’s leadership on innovative finance mechanisms for development. The delegation will attend a dinner hosted by Minister Bibeau, where gender, climate change, and renewable energy, will top discussions.
Adesina is expected in Toronto on Wednesday and Calgary on Thursday, for the third and final legs of his four-day working visit in Canada.
Canada has been a full member of the African Development Bank (AfDB) (www.AfDB.org) since January 1983 and has contributed to all General Capital Increases since joining the Bank. Canada is the 4th largest contributor to the Bank among non-regional members. As of 31st December 2016, its capital subscription to the Bank was over $3 billion.
Public lecture by Deputy Minister Reginah Mhaule on the Outcomes of the 10th BRICS Johannesburg Summit at the Sol Plaatjie University, Kimberley, Northern Cape, 19 September 2018 :
Our Programme Director, Prof Mary Jean Baxen,
Prof Collin Miruka,
Prof Patrick Fitzgerald,
Members of Senate and Council present,
MEC of Education, Ms Barbara Bartlett and other members of Exco present,
Academics and Staff,
Provincial Chairperson of the ANC, Dr Zamani Saul, the leadership and all other political parties present,
President of SRC, Mr Zolani Jack, Members of the SRC and the entire student leadership present,
Officials present here,
I am honoured and of course delighted to interact with you today, particularly because of our focus of engagement which is the outcomes of the recently concluded 10th BRICS Summit which was held in Johannesburg in July this year. You will recall that before the commencement of the Summit, we criss-crossed the length and breadth of our country presenting and informing our people what our partnership within the BRICS entails. We further focused on ensuring that South Africans understands the importance we attach to the BRICS formation and the benefits we derive thereof.
In this context we made a commitment to get back to the people and report on the outcomes of the Summit. Certainly this is our first public lecture of this kind which is held at the university named after the first Secretary General of the South African Native National Congress, later named African National Congress (ANC) and also the first Black South African to write a novel, Solomon Tshekisho Plaatje.
The summit took place during the 10th anniversary of the BRICS formation which coincided with a very significant year where South Africa celebrates the centenary of the two giants in our liberation, namely Mama Albertina Sisulu and former President Tata Nelson Mandela. Whose contribution shape our current democratic dispensation and internationalist character.
The Summit indeed afforded us a fitting platform to again reflect on the important pillars of our foreign policy, particularly our cooperation with countries of the South. Tata Madiba alluded to this in his inaugural State of the Nation Address (SONA) on 24 May 1994 when he said: “We will also be looking very closely at the question of enhancing South-South cooperation in general as part of the effort to expand our economic links with the rest of the world.”
I can inform you that it is in this context that South Africa accepted the invitation to join BRICS in 2011. We believe that economic cooperation remains an important instrument to pursue our national interests and improve the living conditions of our people while contributing to the well-being of our fellow Africans and all those in communities across our nations.
Having said that, I would like to take an opportunity to briefly reflect on the history of our membership to the BRICS formation before outlining the outcomes of the summit and the benefits we have leveraged from the opportunities it continues to provide.
Ladies and Gentlemen,
It must be public knowledge that our foreign policy outlook and continued focus on strengthening relations with formations and people of the South is largely informed by our history as well as identity. We however must emphasise that we are Africans who share historic commonalities with countries of the Global South which includes amongst others, the struggle against apartheid and colonialism. We also share common aspirations in regard to the kind of the world we wish to live in and the shared future which can benefit humanity.
Similarly, the BRICS formation in this context signifies a long standing tradition of solidarity that was firmly established 63 years ago, in April 1955. This was when countries of Asia and Africa met at the historic Bandung Conference in the emerging Cold War era situation of which the meeting’s significance and outcomes are well documented. I must however remind you that the Bandung Conference resulted in the formation of the Non-Aligned Movement (NAM) in later years.
Amid pressure from the Cold War bipolarisation, those countries were able to concertedly affirm that they would choose neither the East nor the West, but pursue their own path and strategy under the “Bandung Principles” of the Afro-Asia solidarity. For us it is important to recall that South Africa was at the Bandung Conference, represented by selected ANC leaders.
Subsequently, with the attainment of our democracy, it is again common knowledge that South Africa shared the same socio-economic and underdeveloped challenges as countries of the Global South. To a certain extent our challenges continue to be compounded by an international system that perpetuates the marginalisation of the Global South and the poor in every corner of the globe.
The BRICS formation has demonstrated potential to change the world. This is possible considering that the BRICS formation has joined an array of inter-regional bodies that contribute to global diffusion of power. Of course we joined the BRICS formation to advance our foreign policy objectives that are predicated on our domestic interests and the promotion of the African Agenda.
We can, once again, underscore that our 2018 Chairship of the BRICS Forum has been guided by our commitment to ensure that the African Agenda, as well as that of the Global South, remain on the Agenda of BRICS, particularly as it relates to garnering BRICS support for industrialisation and infrastructure development. We have sought to harmonise policies adopted in regional and international fora with those pursued in BRICS, more notably the African Union’s Agenda 2063 and the United Nations 2030 Agenda for Sustainable Development.
The benefits that South Africa and the African derive from our membership of the BRICS are both practical and tangible. A case in point is that South Africa-BRIC trade has grown from $28bn in 2010 to $35bn in 2017.
Additionally the establishment and operalisation of the BRICS New Development Bank as well as the Africa Regional Centre (ARC), which we proudly host in Johannesburg, has brought closer the alternative project funding institution to our people and the continent.
Just as a reminder, infrastructure and sustainable development project funding by the BRICS bank will also be extended to countries that are not members of the formation, and therefore African countries will benefit a great deal. I can say without any fear of contradiction that the ARC will enable us to identify projects that will enhance economic connectivity and bolster intra-Africa trade, among others.
It must further be noted that we witnessed with pride the first tranche of NDB project loans disbursed in 2016. I recall that this trench included a project in renewable energy amounting to 180 million USD to our own country. This has enabled us to stabilize our electricity grid supply and keep the much-needed jobs through continued operations in factories. There are those who are already saying the NDB could be the new World Bank, as far as I know this was not the objective of its creation. In May 2018 South Africa was granted an additional loan of USD 200 million by the NDB for expansion of the Durban port. It is worth noting that thus far the NDB has disbursed loans totalling USD 5.1 billion.
Let me at this juncture turn my focus to some specific outcomes of the 2018 10th BRICS Summit. South Africa in its capacity as Chair of the BRICS grouping hosted the Johannesburg Summit on the 25-27 July 2018, in Sandton, Johannesburg, under the theme, “BRICS in Africa: Collaboration for Inclusive Growth and Shared Prosperity in the 4th Industrial Revolution”.
President Ramaphosa in his opening address to the Summit expanded on the theme, further stating, quantum leaps in technology and innovation present enormous opportunities for growth, development and human progress.The president also indicated that the surge in innovation has the potential to dramatically improve productivity and to place entire countries on a new trajectory of prosperity. It has the potential to solve many of the social problems we face, by better equipping us to combat disease, hunger and environmental degradation.
A report by the World Economic Forum predicts that by 2020, which is roughly two years from now, three most important skills for an employee will be complex problem-solving, critical thinking and creativity. Admittedly this require emerging markets to institute innovative programmes to re-skill the current workforce to be able to match the advances in technology. This of course will be achieved within the context of BRICS and also in cooperation with other formation across the globe.
In line with the theme, we informed our guests that, as a country, we have already committed to establish a Digital Industrial Revolution Commission. It will include the private sector and civil society, among others. In this regard, the BRICS Summit has adopted the Johannesburg declaration and an Action Plan based on this thematic focus and other pressing international issues. The BRICS Heads of State also presided over the signing of a couple of memorandums of understanding.
During deliberations of the Annual Meeting of the BRICS Business Council, we recognised the achievements and progress the Council had made over the past year and analysed the opportunities and challenges facing the emerging economies. The five BRICS countries reinforced their ongoing commitment and agreed on the importance of ensuring greater economic, trade and investment ties amongst the BRICS countries.
The three major focus areas identified during South Africa’s BRICS Business Council’s rotating chairmanship were: 1. Youth – Fostering Entrepreneurship 2. The Digital Economy – Skills Development for the 4th Industrial Revolution 3. Agriculture and Food Security
Perhaps I must state that, flowing from the above and our commitment to the Establishment of the BRICS Credit Rating Agency, there is growing global interests in how we manage the BRICS affairs. Just a few week ago, two of the ‘Big Three’ rating agencies has given the BRICS New Development Bank positive ratings, Standard & Poor's (S&P) has assigned its AA+ long-term and A1+ short-term issuer ratings with a stable outlook while Fitch assigned the NDB a long-term issuer default rating (IDR) of AA+ with a stable outlook and a short-term IDR of F1+. This is a positive development in that it provides the NDB with a unique opportunity to establish itself as an important player in the multilateral development finance space. This further negates the perception of naysayers that the BRICS grouping lacks the required clout to influence global power dynamics.
Also, the Council reviewed the major work and achievements during South Africa’s presidency in 2018 and listened to the reports presented by the nine working groups, on energy and the green economy, financial services, deregulation, manufacturing, infrastructure, agribusiness, skills development, regional aviation and the digital economy.
Further moves towards enhancing economic development came in the form of the establishment of a BRICS Tourism Track and the BRICS Women’s Initiative.
On a separate matter, a proposal was made to the Summit, arising from deliberations from the 2018 BRICS Youth Summit, to consider the establishment of a Youth Working Group, as the 10th Working Group of the Council. This matter is receiving the attention it deserves.
Ladies and Gentlemen,
Let me underscore that all the BRICS partners utilised the summit occasion to recommit to the pursuit of a rules-based, transparent, non-discriminatory, open and inclusive multilateral trading system, as embodied in the World Trade Organisation (WTO). Importantly, this commitment of the BRICS Leaders was also strongly supported by the BRICS Outreach partners.
This brings me to an important aspect of our hosting. We convened, on the margins of the summit, the BRICS-Africa Outreach Dialogue and the BRICS Plus Initiative. Thus the following Heads of State/Government attended the Summit: Rwanda, Ethiopia, Angola, Zambia, Namibia, Senegal, Gabon, Togo, Uganda, Jamaica, Argentina, Turkey, Botswana, DRC, Lesotho, Madagascar, Malawi, Mauritius, Mozambique, Seychelles, Tanzania and Zimbabwe
I must indicate that both the Outreach Dialogue and the Initiative were held simultaneously to reflect the broad partnerships BRICS has stimulated with the African continent and the Global South.
Key outcomes of the Johannesburg Declaration, included amongst others: establishment of a BRICS Working Group on the 4th Industrial Revolution through the BRICS Partnership on New Industrial Revolution (PartNIR) and its Advisory Group consisting of respective representatives of BRICS Ministries of Industry; BRICS Networks of Science Parks, Technology Business Incubators and Small and Medium-sized Enterprises were established to further support initiatives of the 4th Industrial Revolution; BRICS Vaccine Centre was established here in South Africa.
The declaration, which was reached to the principles of consensus further committed to the principals of mutual respects, sovereignty, equality, democracy, inclusiveness and strengthened collaboration in key subthemes; namely: Strengthening multilateralism, reforming global governance and addressing common challenges; Strengthening and consolidation BRICS cooperation in International peace and Security; BRICS partnership for global economic recovery, reform of financial and economic global governance institutions, and the Forth Industrial Revolution; and People to People Cooperation.
Ladies and Gentlemen,
In conclusion, allow me to turn my attention to education as a matter that received a focused attention of the summit. Our leaders agreed that there is a need to develop an outcome based education that will assist us in meeting the developmental challenges brought by the Fourth Industrial Revolution. In this vein the BRICS Heads of State/Governments reaffirmed the importance of higher education exchange for BRICS and called for a network of universities across the BRICS countries to collaborate and exchange knowledge and research experience.
Again, I am alluding to this so that the Institution we visiting today, knows that it also has a role to play in the development of the BRICS educational Programme. The BRICS University Network is therefore an important structure that will undertake the research that is needed to inform the overall BRICS collaboration and how it must evolve.
There are pockets of excellence in all our universities and our goal should be to benefit all.
https://www.africa-newsroom.com/ Press releases from Africa-Neswroom.com en
The Department of Trade and Industry (the dti) will assist ten grassroots innovators as well as innovators supported through the Technology and Human Resources for Industry Programme (THRIP), the Support Programme for Industrial Innovation (SPII) and the Technology Venture Capital Fund (TVC) to showcase their inventions and participate at the South African Innovation Summit (SAIS) that will be taking place at the Cape Town Stadium from 12-14 September 2018.
the dti contingent will also be accompanied by thirty Black Industrialists that will participate in the CEO’s Forum hosted by SAIS for the purpose of exposure to potential technologies that will prepare them for the new digital industrial revolution.
The Minister of Trade and Industry, Dr Rob Davies explains that the South African Innovation Summit is an annual ﬂagship event on the South African Innovation Calendar that nurtures, develops and showcases African innovation, as well as facilitate innovation thought-leadership.
“The Innovation Summit concept was created purposely to support and promote innovation and facilitate collaboration within its own eco-system. The initiative brings together corporates, thought leaders, inventors, entrepreneurs, academia and policy makers to amplify South Africa’s renowned competitive edge and to inspire sustained economic growth across the continent of Africa. The outcomes that will be achieved by the Summit will bring together thought leaders and accelerate innovation in South Africa, and into the African continent as whole,” says Davies.
Davies adds that participation at the summit will bring invaluable evidence for the dti in terms of gaining an industry insight on stakeholder perspective regarding areas where government’s intervention in shaping the South African innovation system has been successful and on which areas to improve going forwards.
“The innovators at the dti stand will range in expertise from infrastructure development, health, energy, satellite engineering, textile manufacturing, fire detection, electronic fleet management, agriculture, biotechnology and clean energy for renewable resources. Furthermore, participation at the Summit will afford the dti an opportunity to profile the outputs of the technology incentive programmes,” he says.Distributed by APO Group on behalf of The Department of Trade and Industry, South Africa.]]>
Tue, 11 Sep 2018 11:09:59 +0000
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Speaking on Africa’s hydrocarbon development, Niall Kramer, CEO, South African Oil and Gas Alliance (SAOGA) said, “Growing a gas economy in South Africa and regionally is imperative. We need to do this to partner and to enable renewables but fundamentally to provide the catalyst for the sorely needed growth, business activity and jobs that give us the opportunities for inclusive growth.
The wherewithal that oil and gas can bring is potentially large, but to know that we must explore for indigenous gas and import LNG. Policy attractiveness is certainty needed, as are regional partnerships. The biggest opportunity I see is the massive proven gas resources in Mozambique alongside South Africa as the largest industrial economy in Africa. My vision is the region becomes like the North Sea. But with good weather.”
The global energy industry has been experiencing a radical transformation in recent years. Replacing large-scale nuclear and fossil fuel power stations, the energy supply of the future will be secured by millions of decentralized renewable energy plants in combination with intelligent storage, distribution and consumption solutions for existing oil & gas resources.
A new beginning
Africa’s newly launched meeting point, the Future Energy Africa Oil & Gas Exhibition & Conference 2018, propositions a power packed 3-day exhibition and conference, dedicated to advancing future oil, gas and energy solutions for the continent. With far reaching industry collaboration, under the esteemed patronage of the Department of Energy of the Republic of South Africa, the event will provide in-depth analysis and an honest reflection of Africa’s set to revolutionize the future. In addition, the event provides an intensive tour across Africa, revealing insights on the issues confronting Africa’s future commercial, business and socio-economic trajectories.
International industry support
The event is supported by numerous international industry associations including South African Oil & Gas Alliance (SAOGA), South African Chamber of Commerce & Industry (SACCI), European Association of Geoscientists and Engineers (EAGE), Association for the Development of Energy in Africa (ADEA), Power Africa (a USAID initiative), Oil & Gas Safety
Council (OGSC), Petroleum club of Romania, Nigerian Gas Association and CEDIGAZ.
Driving the conversation forward
As Sub-Saharan Africa charges towards a low carbon energy future, events such as the Future Energy Africa Oil & Gas Exhibition & Conference 2018 provide valuable forums for the international oil, gas and future energy industry to debate the issues directly with Africa’s leaders. Projected to attract over 1,500 trade visitors, 50+ exhibiting companies, 120+ conference and technical speakers and 300+ delegates, the three-day event promises to be a valuable platform for interactive networking and knowledge exchange.
Who will you meet?
• Government Leaders
• National Oil Companies
• International Oil Companies
• Independent Oil & Gas Operators
• Financiers & Investors
• Gas & LNG Companies
• Integrated Energy Companies
• Technology Providers
• Power Generation
• Transmission & Distribution
• Legal & Industry Analysts
4 Reasons to Visit
• Visit the exhibition & technical seminar and network with resource owners looking for partners to help them get the most from their assets through operational excellence, cost effectiveness and profitability
• Register & learn about new technologies and solutions that integrated energy companies are bringing to some of the most complex challenges facing the global oil and gas sector today
• Attend to explore products and services from 50+ exhibiting companies including contractors, service companies and technology providers across the full value chain from more than 20 countries worldwide
• Join hundreds of trade professionals to identify new business opportunities, market trends, and potential business partners. Learn from global experts and benefit from business conducted during the event
Why Future Energy Africa?
• Meet with Ministers from across Africa to address the industry on country strategies
• Centre of Technical Excellence Seminar Learn about latest technologies boosting efﬁciency and lowering costs
• Policy makers discuss confronting challenges of transformation
• Country Market Focus with unrivalled insight from Eastern-Western-Southern Africa regions
• Forge new operating models that will challenge conventional practices
• FEA TV: A dedicated platform for on-stage interviews, “in conversation” dialogues, digitization megatrends, corporate commercials, knowledge sharing and industry insight.
• Renewables in Africa: Tap into development initiatives and solutions supporting the advancement of renewable energy in Africa
• Finance & Investment focus for equitable economic growth and enhanced bi-lateral trade
• On-stage Interview with Africa's large upstream independent explorers led by CNBC Africa
• Africa's Natural Gas inspect how the continent will succeed in it's role to decrease the carbon footprint
• Increasing & Strengthening Local Content address challenges and opportunities for capacity building
• IOC-NOCs Panel Discussion reinventing strategies for a sustainable energy future
• Prime networking opportunities to facilitate dialogue between senior level executives and decision makers
• Global Exposure to international and domestic oil, gas & energy value chain
• Power Generation meet with Utilities and IPPs, build strategic partnerships to meet Africa's growing energy demandDistributed by APO Group on behalf of dmg events.
Senior Marketing Executive, dmg events
Dubai: +971 (0)4 248 3205 | South Africa: +27 11 7837250
M: +971 (0)55 505 4707
76 11th Str., Sandton, Johannesburg 2196, South Africa]]> Thu, 06 Sep 2018 14:38:39 +0000
https://www.africa-newsroom.com/ https://www.africa-newsroom.com/press/africa-welcomes-first-ever-fullstream-oil-gas-and-energy-transformation-dais?lang=en Africa,Business,Economy,Energy,Events/Media Advisory,Investment,Mozambique,Nigeria,Oil and Gas,Renewable energy,South Africa,Trade,MBC
For years, the African renewable energy development market has been dominated by foreign investors and financial institutions. Now is the time for African investors to step up to the plate and join the continent’s solar energy transition.
Africa is now even preparing to feed Europe’s growing energy needs through various projects, such as the TuNur CSP project. The project is currently in the early phases of development and will comprise a 2.3 GW concentrated solar power plant situated in the Sahara desert and a 2-G high-voltage DC submarine cable from Tunisia all the way to central Italy. Additional plans of building other export routes to Malta and France are on the table. The project is being financed mostly by European investors and will be constructed using the most modern technology. Europe will soon enjoy of the benefits of green energy coming straight from African soil. But while Europe seeks to power more coffee shops, chain stores and crypto mining server-farms, 50% of Africans are not electrified at all, and the other 50% are often connected to unreliable energy sources.
There are vast opportunities for local African investors present in the solar sector. The continent has an abundance of land available for project development and is home to some of the sunniest places on earth, which makes it an ideal location for solar energy development. Lydia van Os, Africa Lead at Solarplaza, believes that this is the right time for local investors to take action and get involved in Africa’s rapidly growing solar industry. She is convinced that this can only succeed if the movement of people committed to providing clean, reliable and affordable energy is inclusive, from Wall Street investors to Congolese rural households.
To fulfill its mission of accelerating the global sustainable energy transition and create the platform for international and local solar stakeholders to meet and share knowledge, Solarplaza is hosting Unlocking Solar Capital (“USC”) Africa. The third edition of this leading conference will take place on 7 to 8 November 2018 in Kigali, Rwanda. The two-day event is being organized in partnership with the Global Off-grid and Lighting Association (GOGLA), and is wholly focused on unlocking capital for new solar project development in Africa.
For those who can’t wait for the conference to get an in-depth look into the African solar landscape: Solarplaza has published an exhaustive 128-page regional report (http://Africa.UnlockingSolarCapital.com/request-solar-facts-figures-africa-2018/) on Africa’s solar energy situation. The report offers an overview of the key facts & figures related to the most relevant solar PV markets in Africa. The detailed country profiles provide overviews of a range of issues related to solar PV project development and include summaries of key demographic info; insights into legislation and policy; electricity generation capacity; and assessments of the current status of the solar industries in: Morocco, Algeria, Tunisia, Egypt, Senegal, Mali, Ghana, Nigeria, Ethiopia, Kenya, Uganda, Rwanda, Tanzania, Zambia, Namibia and South Africa.Distributed by APO Group on behalf of Solarplaza.
For program and organizational related business, please contact:
Lydia van Os
Africa Lead, Solarplaza
+31 10 3027907
For sponsorship and exhibition opportunities, please contact:
Account manager, Solarplaza
Media partnerships and press outreach, please contact:
Irene Rodríguez Martín
+31 10 3027912
About Unlocking Solar Capital Africa
Unlocking Solar Capital Africa (Africa.UnlockingSolarCapital.com) is an event entirely focused on connecting solar project development and finance & investment across the entire African solar sector (On-grid Solar, micro-grids, off-grid lighting and household electrification). Unlocking Solar Capital Africa 2018 will bring together hundreds of representatives from development banks, investment funds, solar developers, IPPs, EPCs & other solar stakeholders to engage in extensive discussions to solve Africa’s solar energy funding gap - and get projects realized.
As a professional solar event organizer, Solarplaza has hosted over 100+ events in 36 countries around the world, ranging from exploratory trade missions in emerging markets to large-scale conferences with 450+ participants. Unlocking Solar Capital Africa 2018 is Solarplaza’s 12th conference on the African continent.
For more information regarding the program, attendees, and registrations, visit Africa.UnlockingSolarCapital.com]]>
Mon, 03 Sep 2018 11:29:04 +0000
https://www.africa-newsroom.com/ https://solarplaza.africa-newsroom.com/press/now-is-the-time-for-local-investors-to-step-up-and-electrify-africa?lang=en Africa,African Development,Algeria,Congo (Republic of the),Democratic Republic of Congo,Egypt,Electricity,Energy,Environment,Ethiopia,Events/Media Advisory,France,Ghana,Italy,Kenya,Mali,Malta,Middle East,Morocco,Namibia,Nigeria,Renewable energy,Rwanda,Senegal,South Africa,Tanzania,Tunisia,Uganda,Zambia,MBC
The inclusion of new coal in the updated draft Integrated Resource Plan for Electricity (IRP) will cost South Africa close to R20 billion more than we need to spend, and will make electricity more expensive for all South Africans. If the Department of Energy were to publish the least-cost plan that civil society organisations have been demanding, it would not include any new coal.
Allowing the two new coal plants contemplated by the draft IRP to go ahead would be disastrous for water resources, air quality, health, land, and the climate.
The Life After Coal Campaign (https://LifeAfterCoal.org.za/) (consisting of Earthlife Africa, the Centre for Environmental Rights, and groundWork) and Greenpeace Africa (http://www.Greenpeace.org/Africa/en/) argue that the inclusion of an additional 1000 MW of new coal-fired power - on top of existing and under-construction coal - puts the Department of Energy in conflict with the rights enshrined in the Constitution, given that there are safer, cleaner, and less-expensive energy options available.
“While we recognise the increased emphasis on renewable energy in the draft IRP, unless the Minister of Energy substantially revises and amends the draft IRP to ensure that the Constitutional right to a healthy environment is preserved and protected - and specifically excludes any new coal - the Department runs the risk of the IRP being challenged in court,” warns Melita Steele, senior climate and energy campaign manager at Greenpeace Africa.
Robyn Hugo, head of the Pollution & Climate Change Programme at the Centre for Environmental Rights, says that the updated IRP fails to take sufficient account of the external costs of the various available technologies. “Coal is an outdated and dirty technology – the environmental and health costs of which have not been factored into electricity planning.” At present, almost 90% of South Africa’s energy mix is already comprised of coal, despite many of these plants failing to meet the required emission standards and causing devastating health impacts.
A 2016 report by UK-based air quality and health expert Dr Mike Holland (http://bit.ly/2ohBMUo), found that air pollution from Eskom coal-fired power stations kills more than 2,200 South Africans every year, and causes thousands of cases of bronchitis and asthma in adults and children annually. “This costs the country more than R33 billion annually, through hospital admissions and lost working days”, says Bobby Peek, Director of groundWork.
“In addition to these severe health impacts, coal-fired electricity is also enormously water-intensive and the estimated costs of rehabilitating old mines and mining areas runs into the billions”, says Steele.
“Even discounting the health and environmental dangers of coal, it simply makes no economic sense to include coal in the IRP, as it is more expensive than other technologies such as wind and solar power,” says Makoma Lekalakala, director of Earthlife Africa.
The Campaign and Greenpeace Africa will reiterate all of these – and other concerns – in comments on the draft IRP. It is crucial that South Africa’s future electricity plan is least-cost and in the public interest. All South Africans – including coal workers and the unemployed – must be part of the process to ensure a just energy transition.Distributed by APO Group on behalf of Greenpeace.
Notes to Editor:
Photos: http://bit.ly/2NpjAmM (Photo credits to Mujahid Safodien)
Mbong Akiy Fokwa Tsafack
Head of Communication
+27 716881274]]> Tue, 28 Aug 2018 14:25:28 +0000
https://www.africa-newsroom.com/ https://greenpeace-africa.africa-newsroom.com/press/life-after-coal-and-greenpeace-africa-slam-inclusion-of-new-coal-in-electricity-plan?lang=en Africa,Electricity,Energy,Environment,Health,Mining,Not For Profit,Renewable energy,South Africa,MBC
Director General, Thabane Zulu;
Deputy Directors Generals from the Department;
Ladies and Gentlemen;
As you may be aware, Cabinet on the 22nd August 2018 approved the draft updated Integrated Resource Plan (IRP 2018) report for publication for public input.
Today we will be releasing this long awaited report for public input. We have called you here to share some key aspects from the report.
The National Development Plan (NDP) identifies the need for South Africa to invest in a strong network of economic infrastructure designed to support the country’s medium- and long-term economic and social objectives. Energy infrastructure is a critical component that underpins economic activity and growth across the country; it needs to be robust and extensive enough to meet industrial, commercial and household needs.
The first IRP for South Africa was promulgated in March 2011. It was indicated at the time that the IRP should be a “living plan” which would be revised by the Department of Energy (DoE) frequently.
The promulgated IRP, commonly referred to as the IRP 2010 is currently being used to roll out electricity infrastructure development in line with Ministerial Determinations issued under Section 34 of the Electricity Regulation Act.
The electricity generation and distribution landscape in South Africa is changing at a rapid pace compared to the period before 2010. In keeping to our climate change commitments, the country has also introduced renewable energy through independent power producers. Technology advancements and the decline in cost make it possible for end users to now generate their own electricity. Increasing electricity prices have also made substitutes such LP Gas a viable alternative for cooking and heating.
Electricity demand is therefore no longer captive to the national grid (Eskom or municipalities) which impacts supply and demand planning.
As indicated in my engagement with business, labour and community representatives at NEDLAC on Friday, rising electricity prices are of concern to us as they threaten to reverse our energy access gains. Many of our people are struggling to pay for the services and are therefore reverting back to using wood for cooking and so forth. This is not the case only in rural areas but also in urban areas. These cost pressures do not only affect households but they also affect industry.
I am inundated with requests for intervention from energy intensive companies on the verge of closing down due to high electricity costs. I am happy to share that in June I approved a framework developed in consultation with the Regulator (NERSA) which enables Eskom and the NERSA to consider temporary special pricing agreements which assist in avoiding these companies from closing down and jobs being lost. These I have to emphasise will also assist with Eskom falling electricity sales volumes.
It is therefore in this context that our electricity planning philosophy aims to minimise the cost of electricity while keeping up with our environmental commitments.
Ladies and Gentlemen, a number of assumptions used in the IRP 2010 have since changed or not materialized. The following are noticeable changes:
The electricity demand on the grid continues to decline on an annual basis and we are currently sitting at volumes similar to those of the year 2007. For the financial year ending March 2018 the actual total electricity consumed is about 30 percent less than what was projected in the IRP 2010.
Eskom existing generation plant performance is not at expected levels. Eskom’s own reports show that plant availability is below the IRP 2010 assumptions of 80 percent and above.
To date additional 18 000 megawatts of new generation capacity in the form of coal, pumped storage and renewable energy has been committed to, with most of the capacity already connected to the grid and the rest to be realised between now and year 2022.
Cost of new generation technologies has significantly come down and this can be seen in the costs of wind and PV based on the projects procured to date.
The Department started with the IRP review and update process in 2015. The review and update process had four milestones and they are:
The development of the Input Assumptions;
The modelling of a reference case or base case and scenario cases including analysis of results;
The production of balanced scenario; and
Policy adjustment taking into account government priorities, policies and commitments.
Following Cabinet approval in November 2016, the Department then published for public consultation the assumptions. A preliminary base case or reference case was also published but for information.
Key comments received from those consultations were mainly on the consultation process, the projected electricity demand, assumed technology costs, as well as imposing of annual build limits on renewable technologies.
The public during the consultation process asked for another opportunity to comment on the updated IRP before final publication and that is the reason we are releasing the report today for inputs and comments.
The electricity demand forecast published then was said to be outdated and not aligned to the prevailing economic conditions. The demand forecast was revised accordingly and detailed report is available on the website of the Department.
The technology costs used in the plan have also been updated accordingly.
The concerns raised about the constraining of renewables have also been addressed by including as one of the scenarios tested; a case where annual built limits on renewables are removed.
In summary, the report we are publishing today has where applicable taken into account public input and comments on the assumptions. I would like to thank all those who took their time to submit input or comments.
Ladies and Gentlemen, The Department spent the period after consultations modelling and analysing the various scenarios and their impact on the energy mix going into the future. Scenarios were analysed in line with the objectives of IRP which is to provide electricity infrastructure plan that aims to ensure security of supply while minimising cost of supply, water usage and environmental impacts.
The scenarios tested include:
The electricity demand scenario which tested the impact of varying electricity demand projections;
The gas scenario, which tested the sensitivity of the plan to the assumed gas price projections;
The renewables scenario, which tested the impact of removing annual build limits placed on the renewable technologies; and
The emissions constrain scenario, which tested the impact of using a carbon budget approach to constrain emissions from electricity generation compared to an annual ceiling like with peak plateau decline.
At a high level, the review of the IRP undertaken indicates the following:
That the pace and scale of new capacity developments needed up to year 2030 must be curtailed compared to what was projected in the IRP 2010.
Without a policy intervention, some of the technologies in the IRP 2010 together with new technologies will not be deployed as the “Least Cost” plan contains PV, Wind and Gas only;
Imposing annual build limits on renewables does not impact the total installed capacity of renewable energy technology for the period up to 2030; and
There is significant change in the energy mix post 2030 which is mainly driven by decommissioning of old coal power plant that reach their end of life.
While the IRP review considered a period up to year 2050, the approach taken in the draft updated IRP is to adopt a plan for the period ending 2030 and for detailed studies and engagements to be undertaken to better inform the energy mix or path post 2030.
This approach we believe provides the necessary policy certainty while creating the space for all of us to engage in detail on the impending energy transition and the options available to us as South Africa. The engagements will ensure that the transition we undertake is a “just transition” and is inclusive.
Some of the studies we have identified already include:
Detailed socio-economic impact analysis of the decommissioning of old coal fired power plants that would have reached their end of life;
Detailed analysis of gas supply options (international and local) to better understand the technical and financial risks and required mitigations for a renewable energy and gas dominated electricity generation mix post 2030;
Detailed analysis of the appropriate level of penetration of renewable energy in the South African national grid to better understand the technical risks and mitigations required to ensure security of supply is maintained during the transition to low carbon future; and
Detailed technical, cost and economic benefit analysis of other clean energy technologies such clean coal technology, nuclear and others.
Ladies and Gentlemen, the recommended plan uses the least cost plan as starting point. The least cost plan being a plan without renewable energy constraints. The following policy adjustments have been incorporated into the recommended plan for the period up to 2030:
The retention of annual build limits for the period up to 2030. This provides for consistent and sustained roll out of Renewable Energy for the period.
The inclusion of 1000MW of coal-to-power in 2023–2024, based on two already procured and announced projects.
The inclusion of 2500MW of hydro power in 2030 to facilitate the RSA-DRC treaty on the Inga Hydro Power Project. The project is key to energising and unlocking regional industrialisation.
The utilisation the existing PV, Wind and Gas allocations in the plan to enable through Ministerial Determinations, renewable energy technologies identified and endorsed for localisation and promotion. Technologies as contained in the plan are therefore a proxy for technologies that provide similar technical characteristics at similar or less cost to the system.
The allocations of 200MW per annum for certain categories of generation-for-own-use of between 1MW to 10MW, starting in 2018. These allocations will not be discounted off the capacity allocations in the plan, but will be considered during the issuing of Ministerial Determinations. This will help address requests for deviations from the IRP for qualifying plants.
The policy adjusted plan therefore includes the following new additional capacity by 2030: 1 000 MW of generation from Coal, 2 500 MW from Hydro, 5 670 MW from PV, 8 100 MW from Wind and 8 100 MW from Gas.
The resultant installed capacity mix in year 2030 consist of coal with 34 000 megawatts which is 46% of total installed capacity, Nuclear with 1 860 megawatts which is 2.5%, Hydro with 4 696 megawatts which is 6%, Pump Storage with 2 912 megawatts which is 4%, PV with 7958 megawatts which 10%, Wind with 11 442 megawatts which is 15%, CSP with 600 megawatts which is 1%, Gas with 11 930 megawatts which is 16%. It must be noted that while the coal installed capacity will be lower than current installed base, it will still contribute more than 65% of the energy volumes with nuclear contributing about 4%.
Ladies and Gentlemen, a closer monitoring of the IRP update assumptions by the Department through the Medium Term System Adequacy Outlook filed with NERSA annually by the Eskom’s System Operator will ensure we are alive to the prevailing supply and demand balance and we can accelerate or decelerate implementation if necessary or even revise the plan timeously.
In conclusion, there are a number of implementation issues brought about by the changing electricity industry that we will also have to look at in details outside of the IRP update process. These include levels of participation of the previously marginalised South Africans in energy sector, the structure of the industry taking into account that electricity demand is no longer total captive to the national grid, the sustainability of licenced electricity distributors etc.
We therefore appeal to the public and the stakeholders to engage with the report we are publishing with the understanding that a “just transition” requires that we while we move with speed to respond to the changing landscape, we take calculated steps to ensure we leave no one behind.
The document is available for comments for a period of 60 days starting today. We urge you not to wait for the 60 days but to provide us your written comments and proposals with supporting data or evidence where possible as soon as you have them ready to help minimise the time to finalise the IRP and therefore create policy certainty.
Thank you.Distributed by APO Group on behalf of Republic of South Africa: Department of Government Communication and Information.]]>
Tue, 28 Aug 2018 07:17:03 +0000
https://www.africa-newsroom.com/ https://www.africa-newsroom.com/press/south-africa-statement-by-minister-jeff-radebe-on-integrated-resource-plan-2018?lang=en Africa,African Development,Banking/Finance,Business,Defense/Aerospace,Electricity,Energy,Environment,Infrastructure,Labour market,Oil and Gas,Renewable energy,South Africa,Technology,Water/Sanitation,Women,MBC
On her first visit to the West African nation of Cote d’Ivoire, Canada’s Minister of International Development, Marie-Claude Bibeau and the President of the African Development Bank Akinwumi Adesina (www.AfDB.org), shared a common vision and commitment to the advancement of women and girls on the continent.
Both officials met at the Bank’s headquarters in Abidjan, following the Minister’s visit to a Bank-financed rural agriculture project in Abengourou, Côte d’Ivoire earlier in the day. Bibeau, Adesina and other senior management members exchanged views on wide ranging issues including gender empowerment issues, renewable energy, agriculture, and innovative financing mechanisms.
Canada is the fourth largest contributor to the Bank among non-regional members, and the sixth largest donor to the African Development Fund (ADF), the concessional arm of the Bank Group.
The advancement of women and girls is a priority area for the Canadian government in keeping with its Feminist International Assistance Policy (https://bit.ly/2rV5eAG).
The Minister emphasized the need to involve African women in decision-making processes.
According to Bibeau "If we want to end poverty, women in Africa must be able to develop their full potential," she said. She also expressed the hope that women would no longer be perceived as "mere beneficiaries" but as "agents of change."
"This is the approach we are taking in Canada. We are working to ensure that 15% of our department's budget is allocated to transformative projects for women," Bibeau said.
The Gender Strategy is a central part of the Bank’s ambitious vision for Africa, based on the reality that gender equality is integral to Africa’s economic and social development. The vision includes creating opportunities for women, disadvantaged and marginalised people and communities so they can fully participate in and benefit from the development of their communities and nations.
Commending Adesina for exemplary leadership, Bibeau acknowledged that “change will not come overnight, but our collective actions will make a significant difference.” The Bank recorded exceptional results for 2017 with approvals of US $8.7 billion and over $7 billion of disbursements, the highest performance since its creation in 1964.
From 2010 to 2017, the Bank’s operations have positively impacted the lives of millions of Africans. 83 million Africans have benefited from improved access to transport, and 49 million have gained access to clean water and sanitation. Nine million African women have been connected to electricity and the living conditions of 29 million more women have been significantly enhanced as a result of improvements in agriculture.
Bank President, Akinwumi Adesina called for greater mobilization of resources in favor of women.
"We need to change the current system, and introduce a mechanism for rating and classifying financial institutions. Those who put the issue of gender at the center of their concerns should be at the forefront of this ranking," he said.
According to Adesina, "the Bank plans to raise a US$ 300-million guarantee fund for the Affirmative Finance Action for Women in Africa (AFAWA) initiative." AFAWA is expected to leverage close to USD$ 3 billion over 10 years to empower female entrepreneurs through capacity building development, access to funding, and policy, legal and regulatory reforms to support enterprises led by women.
The initiative provides significant support for the advancement of Africa’s Gender agenda. The Bank is helping build women’s market programs in countries such as Kenya, Nigeria, Sierra Leone, and the Democratic Republic of Congo. Through four commercial banks, at least 200,000 women owned businesses are expected to be impacted through financing, growth in revenues and through coaching and mentoring programs.
Adesina said he hoped Canada would champion the initiative, launched during the Bank’s 2016 Annual Meetings.
The Canadian Minister and the African Development Bank President also discussed closer cooperation between Canada and Africa, and Canada’s participation in the first Africa Investment Forum scheduled for November 2018 in South Africa.
Canada joined the African Development Bank in 1982. The country has supported all the general capital increases of the Bank and all the replenishments of the African Development Fund (ADF). Canada also participates in a number of multi-donor trust funds and other initiatives managed by the Bank.
The African Development Bank Group is one of Canada's leading partners in supporting sustainable economic growth in Africa. Other Bank Group priority areas of focus include environment and renewable energy, inclusive governance, peace and security.Distributed by APO Group on behalf of African Development Bank Group (AfDB).
Photo Gallery: https://flic.kr/s/aHsmqRK2Sk
About the African Development Bank Group
The African Development Bank Group (AfDB) (www.AfDB.or) is Africa’s premier development finance institution. It comprises three distinct entities: the African Development Bank (ADB), the African Development Fund (ADF) and the Nigeria Trust Fund (NTF). With country offices in 44 African countries and an external office in Japan, the AfDB contributes to the economic development and social progress of all its 54 regional member states in Africa.
For more information: http://www.AfDB.org]]> Fri, 17 Aug 2018 18:38:05 +0000
https://www.africa-newsroom.com/ https://afdb.africa-newsroom.com/press/african-development-bank-and-canada-share-commitment-to-womens-empowerment-on-the-continent?lang=en Africa,African Development,Agriculture,Canada,Congo (Republic of the),Democratic Republic of Congo,Economy,Electricity,Energy,Environment,Health,Investment,Ivory Coast,Kenya,Nigeria,Renewable energy,Sierra Leone,South Africa,Transport,Water/Sanitation,Women,MBC
Vantage GreenX Fund Managers announced today that through its second renewable energy fund, Vantage GreenX Note II, it has provided R2.05bn of funding to a combination of six solar and wind energy projects with a combined capacity of 433MW. All the projects form part of Round 4 of the South African Renewable Energy Independent Power Producer (“REIPP”) procurement programme.
The GreenX funding was provided to four projects developed by BioTherm Energy and two projects developed by OMLACSA and ACED. All six projects reached financial close in the last two weeks of July 2018. The four BioTherm projects are the 86MW Konkoonsies II solar PV project (Northern Cape), the 45MW Aggenys solar PV project (Northern Cape), the 120MW Golden Valley wind project (Eastern Cape) and the 32MW Excelsior wind project (Western Cape). The two OMLACSA projects are the 75MW Droogfontein II solar PV project (Northern Cape) and the 75MW Zeerust solar PV project (North West).
GreenX Note II is Vantage GreenX’s second generation renewable energy debt fund. The R3bn fund has a mandate to provide Consumer Price Indexed (“CPI”) linked senior debt to sustainable projects that form part of the REIPP, Small Projects Independent Power Producers (“SPIPP”), Co-Gen and Gas procurement programmes run by the South African Department of Energy. CPI-linked debt, although not new to the local market, has for the first time provided a significant portion of the total senior funding to projects in this round. Due to the way it is structured, CPI-linked debt provides a hedge against inflation and it allows projects to bid lower tariffs for similar equity returns. In doing so it has ensured that affordable electricity tariffs are passed on to consumers.
Alastair Campbell, Managing Director of Vantage GreenX, said “It is with great pleasure that we announce that we have supported these six projects. Each of these projects has strong, experienced sponsors and solid project fundamentals. Together they represent a geographically diverse portfolio of assets. Despite the difficulties experienced by stakeholders in the industry over the last two years, we hope that the conclusion of this round of projects represents a watershed moment for the South African renewable energy industry and provides forward momentum to the sustainability of the domestic energy sector as a whole.”
The R2.1bn GreenX Note I is fully invested across eight solar and wind projects located in the South African provinces of the Eastern Cape, Northern Cape and Limpopo. The completion of the six GreenX Note II transactions takes the total number of investments made by GreenX to fourteen across the two funds. Vantage anticipates lending the remaining R1bn in GreenX Note II before the end of this year.Distributed by APO Group on behalf of Vantage Capital Group.
For more information contact:
Managing Director – Vantage GreenX
Tel: +27 11 530 9139
Senior Associate – Vantage Capital
Tel: +27 21 418 1130
Vantage GreenX is part of the Vantage Capital group (www.VantageCapital.co.za). Vantage Capital was established in 2001 and currently manages capital of just over R11.0 billion (over $800 million) in five distinct mezzanine debt and renewable energy debt funds. Launched in 2013, Vantage GreenX focusses specifically on sustainable energy opportunities through its Note I and Note II funds. GreenX currently has R5.2bn of assets under management.
Vantage has offices in Johannesburg and Cape Town but through the various funds under management targets debt opportunities in a number of high-growth African countries including South Africa, Ghana, Nigeria, Cote d’Ivoire, Ethiopia, Kenya, Tanzania, Uganda, Zambia, Botswana, Egypt, Morocco and Namibia amongst others.
In addition to its renewable energy offerings, Vantage also targets mezzanine debt opportunities of between $5-25 million. Mezzanine is an intermediate form of risk capital, which is situated between senior debt, the least risky tranche of the capital structure, and equity, the most risky. It combines elements of both debt and equity thereby providing companies with long-term funding on terms which are less dilutive to shareholders than pure equity.]]>
Mon, 13 Aug 2018 17:30:07 +0000
https://www.africa-newsroom.com/ https://www.africa-newsroom.com/press/vantage-greenx-note-ii-provides-r2bn-of-funding-to-six-renewable-energy-projects-in-south-africa?lang=en Africa,Energy,Renewable energy,South Africa,MBC
Phanes Group (www.PhanesGroup.com/incubator), an international end-to-end solar provider headquartered in Dubai, UAE, has announced the 2nd edition of its Solar Incubator program, aimed at identifying PV projects of potential in sub-Saharan Africa by providing support to funding, and commercial and technical knowledge.
The initiative held under the theme, “Your Project, Our Expertise, For a Sustainable Future”, will be held in collaboration with Hogan Lovells, responsAbility Renewable Energy Holding, RINA and Solarplaza, and invites PV developers to submit proposals for projects based in sub-Saharan Africa that have a clear Corporate Social Responsibility (CSR) component.
Candidates are asked to submit their proposals by September 27th (11.59 p.m. CET) via the process established on Phanes Group’s website. Those who are shortlisted will be invited to present their projects to an expert panel comprised of the Solar Incubator partners at the “Unlocking Solar Capital: Africa 2018” conference in Kigali, Rwanda, from November 7th to 8th, where the industry’s key players will hold extensive discussions on solutions for Africa’s solar energy requirements and bridging the bankability gap.
It comes as part of Phanes Group's core strategy to collaborate with Africa-focused counterparties, such as local project owners, governments, and developers on projects that seek to create a sustainable future for urban and rural communities across the sub-Saharan African region.
“The majority of our business focus lies in electrifying new markets in sub-Saharan Africa. With CSR at the heart of our business model, we launched this initiative with the goal of bringing bankability to projects that stand to provide clean energy to economies that need it most. The Phanes Group Solar Incubator is an example of this,” said Martin Haupts, CEO, Phanes Group.
“Entering the Phanes Group Solar Incubator means creating the opportunity to not only win, but the possibility to gain further exposure to key industry players through the evaluation panel. We have already seen great success from last year’s projects, and we are confident that as this initiative continues to grow, more and more businesses across the continent will be able to effectively address local needs for clean and affordable energy.”
Christopher Cross, Partner of law firm Hogan Lovells, who will be part of the evaluation panel at the event, said, “We are delighted to be invited again this year to take part in such an exciting and on-the-ground initiative such as this. I had a great experience last year and very much look forward to seeing what is in store for us in Rwanda. As stated previously, the Solar Incubator seeks to foster both local innovation and investment to bring potential opportunities to fruition for the social and economic benefit of the region and its people.”
With almost 700 million people in sub-Saharan Africa living without electricity, the Phanes Group Solar Incubator aims to enable solutions by supporting developers not only during the funding phase, but throughout the project development and delivery. Phanes Group, along with its partners, will provide PV developers with access to the expertise that will support them in reaching bankability. During the initial phase, extensive mentorship and access to the right network will enable this year’s winner(s) to roll out a sustainable energy solution for their community and develop a long-term CSR concept.
“responsAbility Renewable Energy Holding is proud to be participating in the Phanes Group Solar Incubator once again this year,” said Wilfred van den Bos, Head of Investments. “It is important to ensure that energy projects within the solar sector start and remain financially viable, and we hope that our continued partnership will foster successful entrepreneurship that will benefit communities across sub-Saharan Africa.”
Lee Smith, Sector Manager from RINA also commented, “RINA is proud to partner with Phanes Group again for the 2018 edition of the Solar Incubator, which produced some interesting projects in 2017. It was encouraging to see the emergence of strong CSR propositions in line with the vision of the initiative. We look forward to this year’s proposals and helping to shape the winner’s future.”
"We are very much looking forward to host the latest edition of the incubator during Unlocking Solar Capital Africa. All participants will have the opportunity to take their project from concept stage into development with the expert advice from the incubator evaluation panel and the support of Phanes Group" Lydia van Os, Project Manager Unlocking Solar Capital Africa added.
Similar to last year, the developer(s) of the winning project(s) will be invited to join Phanes Group for an intensive workshop at its headquarters in Dubai, UAE. This will help lay the foundations for delivering a bankable and sustainable project.
More about Phanes Group’s Solar Incubator
Phanes Group’s 2nd annual Solar Incubator, held under the theme of “Your Project, Our Expertise, For a Sustainable Future”, will be supported by Hogan Lovells, responsAbility Renewable Energy Holding, RINA and Solarplaza.
The initiative aims to select and develop PV project opportunities in sub-Saharan Africa that haven’t been able to gain access to funding and necessary know-how. Corporate Social Responsibility (CSR) is an integral part of this initiative; along with the project details a solid CSR concept that benefits the local community must be submitted and will be further developed during the incubator phase and implemented in parallel with execution of the PV project.
The candidates of the winning project(s) will have the opportunity to enter a partnership with Phanes Group and be able to hold a long-term stake in the project, collaboratively aiming to bring it to financial close. With the incubator, Phanes Group and its partners will provide the winner(s) with extensive mentorship and knowledge transfer throughout the project.
The Solar Incubator phase will kick off with an intensive face-to-face workshop for the winning candidate(s) in Dubai, UAE, working with Phanes Group’s team and its partners, setting the foundations to deliver bankable projects. During that phase the winner(s) will gain access to commercial and technical know-how covered by experts from project finance, project development and execution, legal and CSR, followed by further remote mentoring sessions for additional months.
For media enquiries regarding the Phanes Group Solar Incubator, please contact:
Memac Ogilvy Public Relations
00971 (0) 52 967 9408
00971 (0) 4 5587450
More About Phanes Group
Phanes Group (www.Phanesgroup.com/incubator) is an international solar energy developer, investment and asset manager, strategically headquartered in Dubai with a local footprint in sub-Saharan Africa, through its office in Nigeria, the region’s largest economy. Cumulatively, the company’s global clean power contribution is in excess of 70 MW, with a further 1.5 GW in the pipeline – including 227.5 MW of grid connected PV solar in Nigeria across three different projects.
The first of the three Nigerian projects, in the Sokoto region, is backed by one of the Nigerian government’s 14 PPAs. In addition, the group is developing off-grid solar solutions to ensure communities across the region have access to a stable and clean energy supply.
Established in 2012, Phanes Group’s integrated approach, combining financial and engineering expertise, enables the company to deliver end-to-end solar energy solutions. The group has a growing portfolio of solar investments and developments spanning multiple geographies with a distinct focus on emerging markets, especially Middle East, North Africa and Central Asia (MENA ‘plus’) and sub-Saharan Africa. In the Middle East, Phanes Group is delivering the region’s largest distributed solar project (DP World Solar Power Programme) and completed phase I (33.4 MW) of the largest solar project in the Caribbean (Monte Plata).
About Unlocking Solar Capital Africa 2018
Africa is quickly becoming one of the most significant regions in the global expansion of the solar PV industry. Unlocking Solar Capital Africa 2018 will bring together hundreds of representatives from development banks, investment funds, solar developers, IPPs, EPCs & other solar stakeholders to engage in extensive discussions to solve Africa’s solar energy funding gap - and get projects realized. This 3rd edition will take place on the 7th and 8th of November 2018 in Kigali, Rwanda.
For more information regarding the program, attendees, and registrations, visit Africa.UnlockingSolarCapital.com
https://www.africa-newsroom.com/ https://www.africa-newsroom.com/press/the-2nd-edition-of-the-phanes-group-solar-incubator-set-to-kick-off-7th-august-2018?lang=en Africa,African Development,Awards,Banking/Finance,Business,Electricity,Energy,Environment,Events/Media Advisory,Foreign Policy,Investment,Middle East,Renewable energy,Rwanda,Telecommunications,United Arab Emirates,MBCPhanes Group Solar Incubator 2017 Phanes Group Solar Incubator, 2017- Martin Haupts (CEO, Phanes Group)
ENGIE (www.ENGIE-Africa.com) has signed an agreement with CDC, the Gabonese financial institution Caisse des Dépôts et Consignations, to deploy eight hybrid solar power plants in Gabon, representing a combined capacity of 2.2 MW.
The implemented solution was developed by ENGIE’s subsidiary, Ausar Energy in collaboration with CDC, the Gabonese Ministry of Energy, and the Gabonese energy and water company Société d'Énergie et d'Eau du Gabon (SEEG) and means that solar energy can be used in eight locations that are currently supplied by oil-fired thermal power stations.
With construction set to begin in a few weeks, this project will contribute to the Gabonese Republic's proactive policy of using renewable energy – solar and hydropower – to increase the country's energy capacities. The project will save the country 1 million litres of fuel oil per year, or 2,600 tonnes of CO2, and reduce generation costs by 30%.
Ausar Energy offers the African continent a hybrid solar power plant solution, with or without storage facilities, with capacities ranging from 50 kW to 2.5 MW. This solution is in line with ENGIE Group's strategy of promoting decentralised generation and distribution of electricity from renewable sources. This strategic priority is designed to ensure continuous access to energy in isolated areas that are not and cannot be connected to grids, as well as to limit the consumption of fuel oil, manage costs and reduce pollution.Distributed by APO Group on behalf of ENGIE.
About ENGIE Africa
For over 50 years, ENGIE (www.ENGIE-Africa.com) has been active in many African countries through its energy engineering business, its natural gas purchase agreements with Algeria, Egypt and Nigeria and more recently as an independent power producer in South Africa and Morocco with a total capacity of 3,000 MW either in operation or under construction. By 2025, ENGIE wants to be a reference partner in ten African countries for power plants, energy services to businesses and decentralized solutions for off-grid customers – communities, companies and households. ENGIE already has more than 1 million customers with domestic solar installations and local microgrids, and aims to become one of the viable leaders on the continent's off-grid service market. For more information, go to www.ENGIE-Africa.com.
Mon, 06 Aug 2018 08:31:47 +0000
About Ausar Energy
Ausar Energy (http://Ausar-Energy.com/en/ ) is a joint venture of ENGIE (50.76%) and the Centum Adetel Group that specialises in embedded and industrial electronics, and manufactures conversion and electrical energy storage equipment. Ausar Energy manages the entire project cycle, from development to implementation, rolling out an original solution in Africa: decentralised electricity generation from solar power plants with storage facilities .
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Africa (iA), a non-profit organisation, and Bayport Management Ltd (www.BayportFinance.com), a multinational financial services provider with a strong presence in Tanzania, are proud to announce that they have formed a partnership to help communities across Africa to improve their living conditions through access to clean water and lighting.
iA has already implemented 18 solar systems in Tanzania, 16 of them powering schools and medical clinics in the Bagamoyo and Chalinze regions. Now, with the support of Bayport’s network in Dodoma, iA’s work in the country will be extended.
Bayport Tanzania, through the provision of a vehicle and other logistical support have enabled iA to commence a project in the Dodoma region of Tanzania to install a solar system at the Bumbuta Health Center, as well as a pump system to supply Iyoli village with clean water.
In June this year, iA re-located its Tanzania office to Dodoma region to better meet the high demand for clean water and solar energy. iA plans to complete five water projects and two solar projects in Dodoma over the next few months.
The collaboration between the two companies will help to improve health and better education, having a positive impact on the lives of people across Tanzania through the use of solar energy and water technologies.
iA is a US-based organisation with a mission to bring Israeli solar, water and agricultural technologies to rural African villages. Its goal is to reach 1000 villages, impacting six million people, over the next seven years. To date, it has completed over 200 solar installations bringing light, access to clean water, improved education, refrigeration for vaccines and medicines, and proper nutrition and food security to over a million people in remote villages in Uganda, Malawi, Tanzania, Ethiopia, South Africa, the Democratic Republic of Congo, Senegal and Cameroon.
Bayport is a market-leading provider of unsecured credit, insurance and retail banking services to customers in emerging markets. It currently serves more than 600,000 customers in seven African countries and two in Latin America. The communities Bayport serves overlap with iA’s areas of operation in Uganda, Tanzania and South Africa.
“The partnership with iA is a good fit for us,” says Stuart Stone, joint CEO of Bayport. “Both our organisations are employing technology and innovation to give people in emerging markets access to the means to improve their lives and build a more secure future.”
“Bayport’s support enables us to offer solutions to remote villages in Tanzania, which allow communities to uplift themselves from extreme poverty and provide the tools to be independent,” says Sivan Ya’ari, Founder and CEO of Innovation: Africa. “We are extremely grateful to partner with Bayport and look forward to the evolution of this fruitful collaboration.”Distributed by APO Group on behalf of Bayport Management Ltd.
Brand, Marketing and Communications Executive
Bayport International Group Support
Bayport House, 23A 10th Avenue, Rivonia, 2128, South Africa
Cell: +27 (0)82 859 1647 | Tel: +27 (0)87 287 4000 extension 310 | Fax: +27 (0)11 234 9285 |
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