IEA Boss Rallies Global Energy Industry To Send Urgent Support To Turkey
The Executive Director of the International Energy Agency (IEA), Fatih Birol, is urging the global energy sector players to send urgent help to people in earthquake-prone areas in Turkey.
He wants the energy sector players to support those in Turkey with transformers of various sizes, portal solar generators, LPG for rural communities, electric heaters and shelters such as container homes and Artic tents.
In a post on Twitter on Monday, Mr Fatih Birol wrote: “The devastating situation in the earthquake zone in Turkey calls for more international solidarity.”
“I urge the global energy sector to do whatever it can to help. Based on my discussions with authorities & organisations responding to the crisis, these items are urgently needed,’’ he said.
Over 33,000 dead bodies have been recovered from the rubbles following last Monday’s earthquake which occurred in Turkey and Syria.
Over 70,347 people have been injured.
Source: https://energynewsafrica.com
Ghana: GRIDCo Discusses Cooperation With European Investment Bank
A delegation from the European Investment Bank is in Ghana to hold discussions with the Ghana Grid Company (GRIDCo) on possible areas of cooperation.
The discussion involved funding critical projects which will strengthen the cross-border trade between Ghana and its neighbours in the West African Power Pool.
Of key interest was the funding of the second interconnection between Ghana and Côte d’Ivoire at 330kV and co-funding the 330kV Pokuase–Anwomaso project with Kreditanstalt Für Wiederaufbau (KfW).
These projects, when completed, would improve reliability, reduce transmission losses and promote Ghana’s export agenda.
The delegation was led by Mrs. Marielle Leseur, EIB Loan Officer for Ghana.
They were received by Ing Vincent Boachie, Director of Engineering at GRIDCo, and other Management members on behalf of the Chief Executive, who was away on another equally important assignment.
EIB’s focus areas include energy, water and sanitation, transport, cities, SMEs and private sector support.
Source: https://energynewsafrica.com
Ghana: GRIDCo, KNUST Discuss Training And Collaboration
The Ghana Grid Company Limited (GRIDCo) and the College of Engineering of the Kwame Nkrumah University of Science and Technology (KNUST) have had discussions about ways in which GRIDCo could play a stronger collaborative role in the training and support engineers trained by the college.
Prof Kwabena Britwum Nyarko, the Provost of the College of Engineering, engaged the Management team of GRIDCo, led by Chief Executive Ing Ebenezer Kofi Essienyi, with the support of the staff of the Kumasi Area staff.
Prof Nyarko pointed to four areas of interest where GRIDCo could impactfully support the College of Engineering.
These are the proposed construction of a proposed innovation building to be dubbed ‘GRIDCo Centre of Excellence, providing adjunct lecturers and an Accelerated Masters Programme’.
GRIDCo has already been supportive of KNUST’s Endowment Fund and continues to provide internship training for which Prof Nyarko and his team expressed appreciation to GRIDCo.
After discussions, the provost, together with the Dean of Electrical and Computer Engineering Prof Abdul-Rahman Ahmed, provided the GRIDCo Management team with a tour of Levine Hall at the College for which support is required and a piece of land allocated to host the proposed GRIDCo Centre of Excellence.
The two groups also provided a guided tour of the Responsible Artificial Intelligence Laboratory (R.A.I.L.)—a Centre focused on Artificial Intelligence development and training.
Led by Prof Jerry John Kponyo, Principal Investigator and Scientific Director, the objective of the RAIL Centre hopes to address the skills gap in AI within the subregion by training professionals on the practical use of and responsible application of AI to respond to challenges in various sectors within the subregion and beyond.
The College of Engineering has maintained a reputation for quality training for over half a century and has been at the forefront of preparing manpower to support the technological and engineering advancement of KNUST, Ghana, and beyond.
TotalEnergies Halts Hydrogen Plan With Adani Group Over Fraud Allegations
French energy giant TotalEnergies SE has put a multi-billion-dollar plan to produce green hydrogen with Adani Group on hold, pending audits of the Indian conglomerate accused of fraud by a U.S. investor.
The hydrogen partnership announced by the two groups last year “hasn’t been signed, and won’t be signed for the moment,” TotalEnergies Chief Executive Officer Patrick Pouyanne said at an earnings presentation near Paris on 2/8.
“We’ll wait for the results of the audits.”
Shares of the companies of the Indian conglomerate have slumped in recent weeks after U.S. short-seller Hindenburg Research accused Adani Group of stock manipulation.
The company has repeatedly denied the allegations.
The French oil and gas company has invested $3.1 billion in stakes of Adani assets such as Adani Total Gas Ltd. and Adani Green Energy Ltd., which represent 2.4% of TotalEnergies’ capital employed last year.
“These companies have assets and revenue” and are “healthy,” Pouyanné said. The French company conducted due diligence before and after investing in the Adani companies, he said.
Shares of Adani Green and Adani Total Gas are still up by a factor of two and eight, respectively, since Total invested in them, the CEO said.
Source: WorldOil.com
Zambia: ZESCO Declares End To Load Shedding
Zambia’s power utility, the Zambia Electricity Supply Corporation Limited (ZESCO) has announced an end to the load shedding exercise in the country.
The company attributed the decision to end load shedding to rising water levels in Lake Kariba and increased power generation output.
Addressing a press conference, Managing Director of ZESCO, Victor Mapani said households and companies countrywide will now enjoy 24 hours of power supply without any disruptions.
He said ZESCO has also upgraded power generation at Kafue Gorge Upper and Lower Power Stations by over 150 megawatts.
He also disclosed that ZESCO will soon increase power generation at Lake Kariba from the current 250 megawatts to 350 due to the increase in water levels in the Kariba Dam.
Zambia also plans to begin the importation of about 120 megawatts from Mozambique, Mapani further revealed.
Last month ZESCO announced increased hours of load shedding to twelve (12) hours daily with effect from 4 January 2023.
ZESCO said the development was in response to a drastic reduction in available water in the Kariba reservoir for electricity generation as well as routine annual maintenance at a smaller power station.
Source: https://energynewsafrica.com
Ghana: Four Cargoes Of Petrol & Diesel To Arrive Under Gold For Oil Programme
The Managing Director of Bulk Oil Storage and Transportation Company (BOST), Edwin Alfred Provencal, has disclosed that about four cargoes of gasoline (petrol) and gasoil (diesel) under the government ‘Gold for oil’ programme are expected to arrive in the West African nation’s port in the next couple of days.
Giving break down of the arrival fuel consignment, Edwin Provencal said one cargo of gasoline (petrol) would be arriving in the country this weekend.
He said after the arrival of the gasoline this weekend, two cargoes of gasoil (diesel) would also arrive after which another cargo of gasoline (petrol) would also arrive.
Speaking on Asaase Radio’s breakfast show on Monday, Mr Provencal said he expects petrol prices to fall by at least Gh¢1 at the pump during the next pricing window.
He added that the price of diesel would also fall further by around 50 pesewas.
Last month about 41,000 metric tons of diesel were delivered under the gold for oil programme.
The government introduced the gold for oil programme as part of measures to stem the tide of fuel prices and depreciation of the Ghanaian cedis.
Last week, GOIL and Shell reduced the price of diesel, with GOIL reducing it by 50 pesewas while Shell reduced it by 45 pesewas.
The reduction was attributed to the gold for oil programme.
Meanwhile, several industry players have raised questions about the programme, citing a lack of transparency.
Source: https://energynewsafrica.com
Ghana: Energy Minister Shoots Down Demand For Removal Of NEDCo MD
Ghana’s Minister for Energy, Dr Matthew Opoku Prempeh, has described as hollow claims advanced by the irritated staff of Northern Electricity Distribution Company (NEDCo) to push for the removal of their Managing Director, Mr. Osman Aludiba Ayuba, from office.
In the view of Dr. Matthew Opoku Prempeh, the claims by the staff are not strong enough to trigger the removal of Mr. Ayuba.
The Minister expressed this view during a meeting with the staff group and Board of Directors of NEDCo at the Ministry of Energy on Thursday, February 9, 2023.
Sources within the Energy Ministry told energynewsafrica.com that the Minister was appalled by the action of the NEDCo staff groups during the meeting which lasted for several hours.
According to the sources, the Minister made the staff groups understand that organisational performance is a collective responsibility and if they are asking for the removal of their Managing Director, then, all the Directors, Managers and supervisors must also go.
After stating his views to the staff groups, energynewsafrica.com understands that the Minister asked the aggrieved groups to formally submit their resolution to him for onward submission to President Nana Akufo-Addo to decide on their demand.
Accordingly, the Minister directed them to report to work.
In an update to inform the staff after the meeting, the staff groups wrote: “After a long deliberation, The Honourable Minister requested the Staff Group Leadership to formally submit the resolution calling for the removal of the MD, Mr Osmanu Ayuba to him.
“The Honourable Minister indicated that he needed a formal written paper so that he can put the demand from the Staff Groups before His Excellency the President.
“The current industrial action embarked on by staff would be sustained as Leadership keenly monitors the role of the Energy Minister in helping to resolve the issues (removal of Mr Ayuba as M.D).”
It said staff would continuously be updated on the next line of action if the ultimate demand is not met.
“Leadership encourages staff to remain resolute and report to work as the case currently is.”
Background:
The staff of NEDCo, in a 7 page resolution addressed to the Board Chairman on January 11, 2023, chronicled seven points which they believe warrants the removal of Mr Osman Ayuba.
They mentioned, for instance, the worsening financial performance of NEDco, lack of strategy for NEDco, high cost of projects that have not yielded desired results, worsening distribution losses, exorbitant sole source procurement of point of sale device, lack of basic distribution line and substation maintenance tools.
On Wednesday, the staff partially withdrew their services at all operational areas comprising Upper East, Upper West, Savannah, Brong Ahafo, North East, Ahafo Region,Bono Region, Ahafo Ano South and parts of Oti Region.
The industrial action is due to the failure of the Board of Directors to meet the demand of the staff who are calling for the removal of the Managing Director, Osman Aludiba Ayuba, after several engagements.
Meanwhile, the embattled Managing Director, Mr Osman Aludiba Osman Ayuba, has written to the Board of Directors to respond to the claims of the staff.
In a 14 page letter sighted by energynewsafrica.com, Mr Osman Ayuba took his time to respond to all the claims by the staff.
He described the demand by the workers for his removal as baseless.
Source: https://energynewsafrica.com
Kenya: Manufacturers Kick Against Proposed Increment In Power Tariffs
Kenya Association of Manufacturers has expressed concern over the proposal by Kenya Power to increase electricity tariffs from April 1.
The Association said it would engage the Energy and Petroleum Regulatory Authority (EPRA) on the way forward and advocate for a reduction in the cost of power.
According to a report filed by The Star, the Association in a statement signed by its Chairman Rajan Shah, instead called on the government to lower the cost of power to below Sh12.51 per unit.
According to him, it would make power stable and readily available to industrial users to promote competitiveness in manufacturing locally and regionally.
He added that the burden of inefficiencies in transmission and distribution should not be borne by customers.
“Manufacturers have over time raised concerns over the high cost of electricity in the country. That impacts the overall cost of production,” he said.
According to Shah, the increment shall see manufacturers’ cost of electricity increase by between Sh3.5 and Sh5 per unit, translating to a 38 per cent cost increase, depending on their respective tariff and consumption levels.
He further noted the increase will roll back the gains made when the cost of power was reduced by 15 per cent in 2021.
“Kenya’s competitive positioning on the strength of electricity is being eroded yearly despite investments in renewable energy resources,” he said.
“It is impossible for the country to be competitive as an investment destination and therefore industrialise in the absence of affordable, reliable, quality, and sustainable electricity for the manufacturing industry.”
Shah said the tariff review that pushes up the cost of electricity will drive production costs even higher for local industries, rendering the manufacturing sector uncompetitive.
https://energynewsafrica.com
South Africa: Ramaphosa To Appoint Electricity Minister
South Africa’s President Cyril Ramaphosa has announced plans to appoint a minister to be in charge electricity at the Presidency.
This will be an addition to the Mineral Resources and Energy Minister.
The move is aimed at tackling the prolonged power crisis which is crippling businesses and throwing people out of job.
“I will appoint the Minister for Electricity in the Presidency to assume full responsibility for overseeing all aspects of the electricity crisis response, including the work of the National Energy Crisis Committee,” Ramaphosa said last Thursday during the State of the Nation Address.
He said the minister would work with the Eskom board and management on ending power cuts.
“The minister will focus full-time on the work with the Eskom board and management on ending load-shedding and ensuring that the energy action plan is implemented without delay.
“As to remove any confusion, the Minister for Public Enterprises will remain the shareholder representative of Eskom and steer the restructuring of Eskom.”
The President earlier declared a state of disaster to deal with the country’s worsening electricity crisis.
Mr Ramaphosa said the state of disaster is effective immediately.
Source: https://energynewsafrica.com
South Africa: Greenpeace Solicits 10,000 Signatories To Petition Ramaphosa Over Rolling Power Crisis
Environmental activists’ group, Greenpeace, is soliciting for signatures of 10,000 South Africans in a bid to petition President Cyril Ramaphosa to tackle the debilitating power crisis by committing to add 13,600 megawatts of power from renewable energy sources.
The group believes it is about time the President took a hard decision that would allow for more power generators instead of monopolising power generation to only Eskom.
So far, over 6,122 people have signed the petition.
In a post on Facebook sighted by energynewsafrica.com, the group said South Africans are in an energy crisis because of the government’s addiction to coal and corruption.
“Load shedding is gutting the economy and leaving people unemployed.
“Even though the power grid has been opened up to independent renewable power producers (IPPs), the endless blame game between Eskom and the Department of Mineral Resources and Energy (DMRE) is wasting time and making it nearly impossible for independent renewable power producers to get access quickly and provide South Africans with much-needed power.
https://web.facebook.com/GreenpeaceAfrica/posts/573081828192537
“Tell President Cyril Ramaphosa to fast-track a shift to renewable energy by committing to add 13,600 megawatts of renewable energy (enough renewable energy to power almost 22,900 homes per month) to our grid by the end of 2023. To achieve this, he should commit to removing any red tape from bidding processes for renewable IPPs.
“Removing any red tape preventing municipalities from buying renewable energy directly from IPPs.
“Ensuring that determinations (authorisation from the Minister of DMRE) for renewable IPPs are issued faster will speed up the implementation of projects. Removing all grid connection costs for renewable IPPs,” Greenpeace stated.
Source: https://energynewsafrica.com
Source: https://energynewsafrica.com Russia To Cut Oil Output By 500,000 Bpd In March
Russia will cut oil production by 500,000 barrels per day, or around 5% of output, in March, Deputy Prime Minister Alexander Novak said on Friday, after the West imposed price caps on Russian oil and oil products.
The price of Brent crude rose on the news of the output cut from Russia, the world’s second-largest oil exporter after Saudi Arabia, increasing by more than 2.5% on the day to $86.6 per barrel.
“As of today, we are fully selling the entire volume of oil produced, however, as stated earlier, we will not sell oil to those who directly or indirectly adhere to the principles of the ‘price cap’,” Novak said in a statement.
“In this regard, Russia will voluntarily reduce production by 500,000 barrels per day in March. This will contribute to the restoration of market relations.”
The Kremlin said on Friday that Russia had held talks with some members of the OPEC+ producers group regarding its decision to cut output.
Novak said later that Russia had not held any formal consultations as the cuts were voluntary.
Two OPEC+ delegates told Reuters that OPEC+ plans no action after Russia announced oil output cuts.
As Russia navigates the maze of restrictions which the West has imposed in an attempt to choke off its revenue from oil, the production cut indicates that the price cap on Russian oil products has had some impact.
The G7, the European Union and Australia agreed to ban the use of Western-supplied maritime insurance, finance and brokering for seaborne Russian oil priced above $60 per barrel from Dec. 5 as part of Western sanctions on Moscow over the conflict in Ukraine.
The EU also imposed a ban on purchases of Russian oil products and set price caps from Feb. 5. In turn, Russia has banned deals involving any application of the price cap mechanisms.
The last big fall in Russian oil output was in April when it collapsed by nearly 9% following the introduction of Western sanctions over Ukraine. Since then, Russia has managed to set up logistic chains for its oil sales, mostly in Asia.
Russia’s decision to cut oil production was announced only nine days after an OPEC+ panel, in which Russia is a member, endorsed the oil producer group’s current output policy, leaving production cuts agreed last year in place.
“Russia believes that the ‘price cap’ mechanism in the sale of Russian oil and oil products is an interference in market relations and a continuation of the destructive energy policy of the countries of the collective West,” Novak said.
His spokesperson said later that the cuts will relate to crude oil only, without gas condensate, a type of light oil.
Source:Reuters
South Africa: Ramaphosa Declares State Of Disaster Over Electricity Crisis
South African President Cyril Ramaphosa on Thursday declared a state of national disaster in an attempt to stem the deep electricity crisis that is undermining the daily life and economy of the continent’s leading industrial power.
For months, 60 million South Africans have been forced to cook, wash their clothes and charge their phones at certain times of the day only.
The country is running out of electricity and rationing it by imposing scheduled blackouts.
These power cuts have lasted up to nearly 12 hours on some days, with the shortage worsening since last year.
“We are declaring a state of national disaster in response to the electricity crisis and its impact,” President Cyril Ramaphosa said at the Cape Town City Hall, where he held his annual state of the nation address in the evening, broadcast live on television.
He went on to say that “extraordinary circumstances require extraordinary measures”, recognizing that “the crisis has gradually evolved to affect all levels of society”.
The state of disaster mainly allows the release of exceptional funds. The ANC said last week that it had given “clear instructions” and urged the government to adopt this provision.
Cyril Ramaphosa had already triggered this procedure last year during the unprecedented floods that killed more than 400 people in the southeast of the country and caused destruction estimated at several hundred million euros.
The state of disaster could also appease a growing anger that has taken to the streets in recent weeks with demonstrations against power cuts in several cities, called by the opposition and trade unions.
Again, on Thursday, several hundred people gathered in Cape Town, in a gloomy economic and social context. Unemployment has reached 32.9%, growth forecasts for this year are almost zero (0.3%) and the increase in the cost of living seems to be driven by persistent inflation.
“It’s a whole energy system that is collapsing and a situation that is probably impossible to resolve in the short term,” Erwin Schwella, a public affairs expert said.
Source: https://energynewsafrica.com
Kenya: Globeleq Appoints Toyota Tsusho Corporation As EPC Contractor For Menengai Geothermal Project
Globeleq, the leading private power company in Africa, has signed engineering, procurement and construction (EPC) contract and a long-term service agreement (LTSA) with Toyota Tsusho Corporation (TTC) for the construction of 35MW Menengai geothermal project in Nakuru County, Kenya.
Mike Scholey, CEO of Globeleq and, Kazumasa Kimura, COO for Africa Division of TTC signed the agreement in Tokyo on Thursday, February 9, 2023.
The project will deliver clean, reliable and affordable baseload power to the national grid and also benefits from a Letter of Support issued by the Government of Kenya.
Construction of the project is expected to commence during the first quarter of 2023 once financial close has been reached.
Globeleq will operate and maintain the power plant once it reaches commercial operations in 2025.
The steam turbine and generator will be manufactured by Fuji Electric.
Once operational, electricity will be sold to Kenya Power, the national distribution company, under a power purchase agreement for the same timeframe.
Globeleq’s $108 million Menengai project will be the company’s first geothermal plant and the signing of these agreements is a major milestone for the project after financing agreements were signed in December 2022 with the African Development Bank, the Eastern and Southern African Trade & Development Bank and Finnfund.
“We are very excited to partner with TTC, which has an established presence in Africa and a proven track record in Kenya’s geothermal sector. Menengai will be Globeleq’s first geothermal plant and will contribute to reducing the cost of power in the country. Having signed these key project agreements with TTC after achieving a fully committed financing about a month ago, we will now work with the Government of Kenya to reach Financial Close and start construction as soon as possible,” Mike Scholey, Globeleq’s CEO said.
On his part, Richard Bielle, CEO for Africa Division of TTC and President of CFAO said: “We are very pleased to partner with Globeleq as their chosen EPC contractor for the Menengai geothermal project. TTC has been involved in Kenya since 1962 and, through our fully owned subsidiary, CFAO, we have a strong footprint in Renewable Power Development, and Mobility, Healthcare, Consumer and Infrastructure sectors. With our rich experience in the geothermal sector and our local communication network in Kenya, we, together with Globeleq, are excited to contribute to this project toward stable and affordable supply of electricity in Kenya.”
Menengai is a Greenfield geothermal project and part of the first phase of the wider Menengai complex, which is the second large-scale geothermal field being developed in Kenya after Olkaria.
Steam will be supplied to the project by Geothermal Development Company (GDC), a Kenya government-owned company under a 25-year project implementation and steam supply agreement.
During COP27, President Ruto of Kenya and Prime Minister Sunak of the UK jointly committed to fast-track green investment projects worth KES500 billion in the country, which included the Menengai project.
Source: https://energynewsafrica.com
Engen, Vivo Energy Merge Their African Businesses To Create Energy Champion
Engen and Vivo Energy have announced plans to merge their respective African businesses to create one of Africa’s largest energy distribution companies.
A joint statement issued by the two companies and copied to energynewsafrica.com noted that the combined group will have over 3,900 service stations and more than two billion litres of storage capacity across 27 African countries.
Engen is the clear market leader in South Africa and has around 1,300 service stations across seven African countries.
Vivo Energy is a major pan-African retailer and distributor of fuels and lubricants to retail and commercial customers, with over 2,600 service stations across 23 African countries, using the Engen and Shell brands.
PETRONAS will sell its 74% shareholding in Engen to Vivo Energy at completion.
The Phembani Group, PETRONAS’ long-standing partner in Africa and Engen’s B-BBEE shareholder, is continuing its strong association with Engen and will remain invested as a 21% shareholder in the South African business.
The transaction will further benefit employees of Engen through a newly implemented 5% employee share ownership programme, resulting in Engen South Africa being 26% owned by previously disadvantaged parties.
“Vivo Energy’s focus has been to invest to grow our business, and I am proud that we have more than doubled the size of our network since our formation in 2011. Four years ago, we acquired the Engen business in nine African markets, and have since worked to enhance and develop these. Vitol’s acquisition of 100% of Vivo Energy last year brings more opportunity to grow even faster. Completion of this transaction, which reunites the Engen brand across Africa, will be a step change in our growth and represents a significant commitment to the South African market whilst enhancing Vivo Energy’s portfolio in other important markets,” Stan Mittelman, CEO of Vivo Energy said.
Seelan Naidoo, Managing Director and CEO of Engen said: “This is an exciting opportunity for Engen to build on its market leading position in South Africa and a number of southern African countries. It allows us to leverage our strong brand equity, leading retail footprint, extensive supply chain capability and unrivalled customer service to be a leading contributor to Vivo Energy and Vitol’s ambition to build a stronger and more successful pan-African energy champion. Engen is excited to become part of the enlarged business, and this will set up our business to be stronger and more successful than ever before.”
Phuthuma Nhleko, Chairman and Co-founder of Phembani Group said: “The Phembani Group is proud to have been a long-term shareholder in Engen since 1999, partnering with PETRONAS and helping to grow Engen into a valuable South African corporate citizen, meeting the needs of millions of ordinary South Africans. We are pleased to partner with Vivo Energy in the next phase of Engen’s growth. We are confident that together we will support Engen’s continued growth, enabling it to realise its vision.”
Chris Bake, Chair of Vivo Energy said: “Vivo Energy has been a success story since its inception. It has grown consistently, both organically and by investing in modern quality assets. It has a highly professional and capable management team with a deep understanding of Africa’s unique energy requirements. Engen is South Africa’s market-leader, and this powerful combination will benefit customers in South Africa and across the continent.”
The transaction is currently pending regulatory approvals and fulfilment of conditions precedent.
Rand Merchant Bank (a division of FirstRand Bank Limited) and Standard Bank advised Vivo Energy. Morgan Stanley and Rothschild & Co are advisors to PETRONAS on this transaction.
Source: https://energynewsafrica.com