- Apr 4, 2014
Inform them? You think they don't know that coal power will eventually be replaced as the primary source of energy, but in the meantime it still has a vital role to play?Nice of the minister to inform the IPP of their obsolescence before they even get started.
So when there are clouds or it rains, you're willing to be without a heater and without lights ? We need coal to replace to old power plants that 40/50 years and will have to be decommissioned soon.
I think you're somewhat behind the times in terms of renewables.Pound for pound, energy from coal is still king for the next 30 - 50 years. This is well documented.
However, what does peeve me off, is that a percentage of this revenue, should go into a fund managed account, to grow and grow, and then be used to research and replace coal/nuclear etc systems, as well as subsidize "green" technologies. This is the stumbling block. This is a 40 to 100 year plan with a good few generations carrying the torch forward.
At our current human level of not thinking and not doing more than a week in advance, I am super saddened.
In the latest development, it has been reliably learned that last week Standard Bank advised the director general of the South African Department of Energy (DoE), Thabani Zulu, of the bank’s new policy position to stop funding the construction of any new coal-fired power plants, in line with new Organisation for Economic Co-operation and Development (OECD) country protocols.
Credible high court challenges (reviews of the environmental authorisations) are under way, and atmospheric emission licences, water-use licences, and generation licences for both projects are either outstanding or being challenged.
While Standard Bank is not the only financier of the planned Thabametsi and Khanyisa IPP projects, the big fear by the DoE and the developers is that if Standard Bank pulls its funding, the other South African banks, including Nedbank, ABSA and FirstRand may follow suit, putting both projects at further risk of ever reaching financial closure.
Solar is about 10-25% as efficient with overcast/rain, and do note rain will clean the panels so it can increase the effectiveness.So when there are clouds or it rains, you're willing to be without a heater and without lights ? We need coal to replace to old power plants that 40/50 years and will have to be decommissioned soon.
Solar is a part of the energy mix but can only be at this stage a small portion of it. Solar is also expensive, the last IPPs for solar were at prices way higher than the coal ones.
It is possible that the Chinese will offer to fill the gap resulting from Nedbank and Standard Bank’s withdrawal of funding for the two new coal-fired power plants, and if they do, it will be especially interesting to see what the terms and conditions of such alternative funding would entail.
South Africa, as a signatory to the United Nations Framework Convention on Climate Change’s Paris Agreement, is duty-bound to reduce its reliance on coal for electricity generation and to close at least the five worst offending emitters of particulates and toxic gases in Eskom’s fleet of coal-fired power stations as soon as possible.
One wonders if the decision by two of the country’s biggest banks to decline to fund new coal-fired electricity generation might cause the DoE to remove the two new coal-fired power plants from the Draft IRP 2018, which is still to be promulgated.