Cape Town — The government has announced that it currently has no plans to discontinue the use of coal as part of the country's energy mix. While responding to oral questions in the National Assembly, Deputy President David Mabuza said that the country's energy generation is guided by the Integrated Resource Plan (IRP) 2019. This means that all fuel sources - coal, gas and renewables - are all considered equally viable sources of energy.
"Currently, there are no plans for the discontinuation of the use of coal as 99% of South Africa's electricity supply is derived from coal and 30% of liquid fuels are derived from the same commodity … Coal remains one of our largest natural endowments that will continue to form part of our energy mix in terms of the IRP 2019," Mabuza said.
Mabuza also said that nuclear energy would be explored in accordance with the Nuclear Procurement Framework, as proposed in the IRP 2019. Nuclear energy forms part of the nation's medium to long-term plans for energy generation as nine coal fired power stations are expected to be shut down by 2035. "This is inevitable because, in the main, these plants are approaching the end of their lifespan, and have become uneconomical, unpredictable and costly to run," Mabuza said.
According to Mabuza, the Gas Utilisation Master Plan and the Renewable Energy Master Plan of the IRP 2019 are additional avenues of potential power generation that may be explored.
What was said at COP26
Mabuza's statements come after commitments made by South Africa at the 26th United Nations Climate Change Conference (COP26) in Glasgow where a major U.S.$8.2 billion agreement with the UK, the U.S., Germany, France and the European Union was signed. The climate-finance agreement aims to invest in a just transition to renewable energy and a move away from coal for South Africa. A just transition is defined by a nation's adoption of a low-carbon economy. It is based on social dialogue between workers and their unions, employers, government and communities, according to the Life After Coal campaign. It was said at the time that none of the funds would be used to cover the debt of embattled national power utility Eskom.
"This finance is not for the debt of Eskom. This finance is for the transition project itself that was announced between several developed countries and our President Cyril Ramaphosa at the beginning of COP26. But let me clarify, this is an offer from the developed countries, it is not a deal," said Public Enterprises Minister Pravin.
Despite committal to a just transition at COP26, Mabuza's statements echo South Africa's refusal to sign the COP26 Coal Pledge. "South Africa has not signed the move away from coal pledge. Our position in negotiations is that any decisions need to be made in the process of formal negotiations through the convention. And I think that we would be worried about situations where there's an increase in tendency to set up platforms and pledges that are outside of the negotiation process. We think that it disadvantages developing countries," Forestry, Fisheries and Environment Minister, Barbara Creecy said at the time.
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AfDB financing a move in the right direction?
A recent bilateral meeting between Akinwumi A. Adesina, President of the African Development Bank (AfDB) and Gwede Mantashe, South Africa's Minister of Minerals and Energy was held with the intention of securing finance to lessen the nation's reliance on coal.
Mantashe said the government is committed to achieving a 15% reduction in coal power production and an 18% increase in renewable energy by 2030. Further, the AfDB estimates that South Africa would need more than U.S.$30 billion for transition to renewable energy. "South Africa cannot and should not embark on the journey of energy transition without the necessary financial support," Adesina said.
The AfDB is financing several renewable energy projects in South Africa. According to Adesina, solar power should be a key part of South Africa's energy mix. "Be bold about solar power," he said. "Africa today has no choice but to transition out of coal. But God is good to us. We have 11 terawatts of solar. That is Africa's future. South Africa can help make that future happen. South Africa can become and should position itself to be the lead manufacturer of polysilicon."
