3 December 2008
editorial
Johannesburg — IT'S human nature to forget about the problem once the crisis passes. But governments are supposed to be a bit more farsighted.
Which is why we can't help wondering why, all of a sudden, the deputy president feels the need to convene a high-profile electricity-saving "relaunch" some 10 months after the government first launched its "power conservation programme (PCP)" in the midst of the January power crisis.
Was the PCP a complete failure? It seems it was, in part because almost everyone, the government included, rapidly lost interest in saving electricity once load shedding ceased in May.
Almost everyone, that is, except SA's largest users of electricity, who are also its leading export earners and large employers -- the mines and industries such as steel and aluminium. Many of them saved the 10% that Eskom and the government had asked for; the rest of us mostly didn't.
And now, even those who were doing their bit for national energy efficiency have become resentful and savings have dwindled almost to zero -- just as Eskom once again gears up for its peak maintenance season in January, when it takes advantage of warmer weather to take down units at its overworked power plants for scheduled repairs in an effort to prevent "unplanned outages".
This January should be better than last, because Eskom has rebuilt its coal stocks and refocused its management on keeping the lights on. Unfortunately, it helps too that cutbacks by commodity producers and lower economic growth generally are reducing demand. But the reserve margin remains low and supply will be fairly tightly matched to supply during the maintenance season, leaving little margin for error.
So voluntary savings would help, especially from sectors that have never done much on the energy efficiency front. The government had let the savings campaign slide, probably hoping that it could rely instead on proposals for new "block tariffs" that would penalise companies if they failed to save. But those proposals still have to go to Nedlac and to the energy regulator and the earliest they might be in place is the middle of next year.
Not only are the new tariffs no immediate solution, but they are likely to be controversial, and the stick approach is not going to win the government or Eskom many friends unless there is also some sort of carrot on offer for those who do invest time and money in making themselves more energy efficient. Deputy President Baleka Mbete did talk yesterday of tax incentives, but was vague on any details. This is a pity: tax concessions on investments in efficient equipment, for example, could do a lot more to promote sustainable energy savings than punitive tariffs or moral suasion. But leadership and strong messages from the government are important too. With its artificially low tariffs, SA never developed a culture of energy efficiency and we could all find ways to save, especially now tariffs are headed upwards. Higher tariffs will provide the best incentive to save energy in years to come so it's important they be phased in sensibly.
But just one last thought: is there any good reason why Eskom can't get some of that planned maintenance done over the festive season instead of waiting for January?
Be the first to Write a Comment!
Copyright © 2008 Business Day. All rights reserved. Distributed by AllAfrica Global Media (allAfrica.com). To contact the copyright holder directly for corrections — or for permission to republish or make other authorized use of this material, click here.
AllAfrica aggregates and indexes content from over 125 African news organizations, plus more than 200 other sources, who are responsible for their own reporting and views. Articles and commentaries that identify allAfrica.com as the publisher are produced or commissioned by AllAfrica.