Government’s new green energy strategy is steaming ahead, combining a strong focus on renewables and energy efficiency.
Three organisations have been established this year under the Central Energy Fund, a state-owned body, with a mandate to research and commercialise alternative energy technologies. The organisations centralise functions formerly performed by the government and parastatals such as Eskom.
The three agencies will both fund long-term research and facilitate the implementation of short-term energy efficient programmes, which can be fast-tracked now.
The South African National Energy Research Institute (Saneri), a subsidiary of the Central Energy Fund, develops and demonstrates new energy technology. Formed this year, its CEO, Kevin Nassiep, was appointed in August. Nassiep also oversees the National Energy Efficiency Agency (NEEA), which promotes energy saving measures. The third body is the Energy Development Corporation, which commercialises renewable and sustainable energy technologies. All three work closely together to drive projects.
A biofuels investment strategy will be ready in a matter of weeks. “It has been an exceptionally fast process,” said Nassiep. As one of the government’s growth initiatives (Asgisa), there is strong political interest in biofuels.
According to Nassiep, the greatest benefit to biofuels investment will be job creation. “I don’t know of any other venture which can create as many jobs, as cheaply,” he told the Mail & Guardian.
While the Industrial Development Corporation spends R100 000 to create a job, a biofuels strategy could create a job for R10 000, Nassiep said. Most of these jobs would be created in largely impoverished, under-resourced rural areas, representing the first significant investment in the rural economy.
Biofuels represent an additional income stream for the volatile agriculture industry. Because the fuels can be produced from food crops such as sugar cane, maize and soya, biofuels would keep arable land productive. If the industry grew sufficiently, Nassiep says South Africa could eventually find itself importing soya from a neighbouring country such as Malawi, rather than oil.
Consumers also benefit from alternative energy research. Saneri is testing 500 solar water heaters in Durban, Johannesburg and Cape Town, to determine which units perfom best in different climatic conditions. Nassiep said government is considering making solar water heaters mandatory for houses that are worth more than a certain amount, possibly R400 000. But, in order to do that, the correct technology must be recommended.
Nearly 40% of household energy bills go towards heating water, so solar heaters can result in significant cost savings. But they’re expensive — basic units start at R5 000, double the price of geysers — and add to the building costs, so government may introduce subsidies, according to Nassiep.
Then there’s low-cost light bulbs. LED bulbs (light-emitting diodes) generate as much light as conventional downloaders, but use one-tenth of the energy — 5W compared to 50W. They can be used in homes and offices, as well as for street lighting and for the brake lights on cars.
Energy labelling is another project. For now, Saneri has started with household appliances. But eventually, cars and buildings will be “labelled”, with information available on energy use, emissions and running costs.
Energy efficiency is important for low-cost housing. Most low-cost houses lack ceilings so their owners freeze in winter and swelter in summer. But there are energy efficient ways to build that don’t necessarily cost much. Nassiep said these included orientating the building for solar efficiency, building roof overhangs, using better glazing materials and brick construction, and creating natural ventilation by angling the roof to create natural downdrafts.
Saneri is suggesting possible amendments to the building codes, to promote energy efficient construction. It would cost an extra R2 000 to fit a ceiling to an RDP house, but the energy saving would be enormous. Retro- fitting these ceilings to existing units would be a possibility, perhaps with funds from Eskom’s Demand Side Management campaign, which has about R600-million available.
If the codes were to change, a training course would have to be developed for property developers and architects. But without amending the codes, these energy efficient proposals are unlikely to be adopted.
Consumers need an alternative to paraffin. Nassiep said Saneri wanted to investigate paraffin in a gel form, which would not spread so easily, and which would be coloured for safety purposes.
Business has also become involved through the voluntary Energy Efficiency Accord, now a year old. By the end of last year, Mondi’s Richards Bay plant had saved R39-million worth of energy and water, a net cost- saving of 27% since 2003.