South Africa’s Minister of Mineral Resources and Energy, Gwede Mantashe, speaking at the Africa Oil Week Virtual Summit Thursday, made clear that natural gas utilization and monetization is a priority for the country. “We are re-positioning South Africa to be a serious player in the global gas market. We will promote the development of a domestic and regional gas market. We continue to advance our Gas to Power projects with the Coega Special Economic Zone (SEZ) identified as the first Liquefied Natural Gas (LNG) import terminal. This lays a foundation for Gas to Power plants and converting existing power plants from Diesel to Gas,” he said in his speech.
The Minister also said that present and future gas discoveries in South Africa should be used for its power plants and other petrochemical facilities. “This will reduce the importation of beneficiated hydrocarbons. To this end, a Technical Working Group that will produce a commercial business plan for the development of the LNG import-export facilities across various ports of our country, has been established,” he added.
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Importantly, he announced that the Gas Amendment Bill will be tabled in Parliament, in line with the appropriate legislative process. This Bill aims to, among others, attract infrastructure investment for LNG imports; increase exploration; create domestic gas feedstock; diversify the energy mix and reduce carbon emissions. “The national Gas Master Plan 2020 is being developed. This will consolidate our participation in the development of the SADC Regional Gas Master Plan aimed at strengthening regional cooperation in the creation of a regional gas market,” the Minister offered.
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The country will also look to expand the use of LPG for cooking, space heating, and water heating. The Minster said that currently its contribution to the energy mix is below par. “Integral to the LPG Expansion Initiative, we have set a target to double LPG consumption over the next five years. Also localize the manufacturing of gas cylinders and appliances,” he stated.
Kelechi Deca
Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry