Energy players call for renewable finance restructure
“Meeting the universal electricity access objective within the next decade will require the roll-out of off-grid and mini-grid solutions at scale,” said Daniel Schroth, acting director of renewable energy & energy efficiency at the African Development Bank.
Schroth was speaking at the recent Energy Access Investment Forum, which took place from mid-March in Abidjan, Cote d’Ivoire.
Energy industry stakeholders that attend the forum have called for a restructuring of the financing mechanisms enabling the development of off-grid and mini-grid connectivity in Africa.
The event had support from the Alliance for Rural Electrification, GET. invest (formerly the Africa-EU Renewable Energy Cooperation Programme), the ECOWAS Centre for Renewable Energy and Energy Efficiency (ECREEEE) and UNIDO.
Despite Africa’s significant energy resources endowments, over 500 million people on the continent are still without access to electricity.
“This forum is certainly an opportunity for investors, project developers and other stakeholders to learn more about upcoming support schemes, innovative products and new business models to accelerate rural electrification and advance the market for decentralised renewable energies,” said Marcus Wiemann, executive director of ARE and the 2019 conference chair.
Meanwhile, Mahama Kappiah, executive director of ECREEE, said that lack of adequate project management in Africa’s energy sector is a major drawback to private investments.
“The money is not the problem. The way projects in the energy sector are prepared for financing is the problem…we need to address the institutional and regulatory issues in the energy sector so that Africa can attract more private investments,” said Kappiah.
Joao Cunha, manager of the renewable energy initiatives division at the AfDB highlighted that the bank has been a strong supporter of Africa’s energy sector.
“It’s a top priority…we can see that the sector is evolving as decentralised energy systems are fast expanding with the proliferation of off-grid technologies…so, de-risking investment upfront is key to attracting more investment.”
Breaking News: GRIDCo’s Transmission Tower in Tema hacked down
The vandalised tower
Reports reaching energynewsafrica.com has it that one of the pylons near the Head office of Ghana Grid Company (GRIDCo), which is transmitting power from Karpower and AKSA to the national grid, has been hacked down.
The incident happened Monday dawn and officials of the Ghana Grid Company discovered it when they reported to work.
The incident is likely to affect power supply in most areas in and around Tema.
CEO of GRIDCo, Jonathan Amoako-Baah, who confirmed the incident to this portal, said they are shocked as to why someone could do that to the country.
He wondered whether those who did that did it so that there would be power outages for the public to talk about it.
Mr Amoako-Baah, who expressed worry about the situation, however, said they are reviewing the situation to determine the impact of power supply.
Items retrieved from the scene included a hacksaw.
Director for Systems Control at GRIDCo Mark Baah is stunned about the incident, said: “A human being deliberately cut it. It’s unbelievable. I haven’t seen anything like this.”
Marine police officer shoots himself at Osagyefo Power Barge
The deceased
A Marine Police officer has reportedly shot himself dead at Osagyefo Power Barge at Efassu near Half-Assini in the Western Region.
The police officer whose name is not immediately known, is said to have left a note before taking his own life.
“I can’t take this disgrace, something I don’t know anything about”, the note read.
The note, according to sources, contain the contact of his ‘wife’ and other two phone numbers.
The cause of his death is not immediately known, but it is believed to be linked to a case in which four police officers have been interdicted for stealing cables, fridges and other valuables from the Osagyefo Power Barge.
The Osagyefo Barge is a 125 MW barge-mounted gas turbine electric power generating station located at Effasu in the Western Region of Ghana.
The 77m long barge is equipped with a pair of single-cycle heavy-duty gas turbine units built by Ansaldo that have a combined generating capacity of 125 MW. It is designed to burn either natural gas or diesel fuel.
The 125 MW power barge was ordered by the Ghanaian government in 1995 with financial assistance from the Overseas Economic Cooperation Fund of Japan.
It was intended to generate electricity from natural gas obtained from offshore production fields. The project development called for 450 MW of combined cycle power barges to belated in a man-made lagoon.
The barge was built in Italy at Navalmare Yard, completed in 1999, and delivered to Ghana in October 2002.
It was then moored at the Sekondi Naval Base in Sekondi until 2005, when it was moved to Effasu after the completion of dredging necessary to allow it to enter the harbour there.
Venezuela National Assembly Votes For Ban On Oil Shipments to Cuba
The opposition-led National Assembly of Venezuela this week voted to suspend crude oil shipments to Cuba after its president, Juan Guaido, slammed these exports as “funding dark purposes” in a tweet from Sunday.
The Economist Intelligence Unit reports that Guaido’s proposal was voted for unanimously and took immediate effect. However, it remains to be seen whether it will take actual effect as the Maduro government still seems to be in charge of PDVSA, the troubled national oil company.
Last week, Guaido tweeted that Venezuela was sending around 47,000 bpd of crude to Cuba and these were worth US$2.58 million that would be better used at home.
“Venezuela needs more than ever to leverage its resources, rather than fund dark purposes. For years, Cuba’s interference was allowed, justifying with an ideological brotherhood that was nothing more than giving away our oil,” the self-declared interim president of Venezuela said when Venezuela was struck by a large-scale power outage.
Venezuela is Cuba’s largest oil supplier under a barter deal sealed by the late leaders of the two countries, Hugo Chavez and Fidel Castro. The deal envisaged Cuba getting regular shipments of crude in exchange for its highly trained doctors and other professionals to work in Venezuela.
At one point during this partnership, Cuba was receiving more than 100,000 bpd of Venezuelan crude, an analysis by Oliver Pieper for Deutsche Welle said. Now, however, this is probably down by a half as Venezuela struggles to keep its fields producing. Even so, Venezuelan crude is an important part of Cuba’s energy mix and its elimination from this mix would almost certainly lead to power outages for Cuba as well.
According to the Economist Intelligence Unit, Guaido’s National Assembly cannot stop Venezuelan shipments of crude to Cuba unless the U.S., which was quick to recognize the opposition leader as the legitimate leader of Venezuela, imposed more sanctions, targeting shipping and insurance companies involved in Venezuela crude oil exports to the island.
Baru Reveals Algeria Pipeline Plans
Nigeria is considering taking its planned northern corridor gas supply pipeline further north.
Nigeria National Petroleum Company (NNPC), the state-run oil and gas firm, plans to amend its pipeline plans to extend it into Algeria.
Maikanti Baru, head of NNPC, told members of PETAN that in furtherance of NNPC’s African integration drive, it was considering extending the ongoing Ajaokuta-Kaduna-Kano (AKK) gas pipeline system across the Sahara to Algeria. NNPC indicated more than six months ago that it was working with a Chinese consortium to finalize the term sheet for financing of the 614-km, AKK pipeline project estimated to cost $2.8 billion.
Baru also revealed that the government plans to extend the WAGP to Morocco, reaffirming the government’s plan to the WAGP to Morocco, and commended PETAN for its contribution to the development of the Nigerian petroleum industry.
The NNPC chief confirmed the company was making progress in its search for oil in the northern part of the country, adding that the Kolmani River-II well, which spud last month, has recorded a drilling progress of 6,700 ft. According to a statement, Baru made the disclosures when he received an award from executives of the Petroleum Technology Association of Nigeria (PETAN). The statement signed by NNPC’s Group General Manager, Group Public Affairs, Ndu Ughamadu, quoted Baru as saying that the target of the corporation for the Kolmani River drill was 14,200 ft, even as he added that the depth could be longer, depending on findings
Zuma says nuclear could’ve solved load shedding
South Africa’s former President Mr. Jacob Zuma, whose administration has been blamed for the power outages his country is experiencing, has said the power crisis could have been averted if only the country had built nuclear reactors.
In an interview with Business Day on Friday, Zuma said the costly nuclear build programme he supported during his presidency could have “solved our problems, once and for all”.
Zuma, who resigned as president in mid-February 2018, said the Russians would have been the most trustworthy country to carry out the project, because of their support in the struggle against apartheid.
Proposals to build a second nuclear power station, with an estimated cost to the economy of around R1trn, were criticised as unaffordable during Zuma’s term.
The DA Public Enterprises spokesperson, Natasha Mazzone, said on Friday that a nuclear build would be an “impossibility” given the current state of the economy.
“Our country is in a much worse economic position that we were a few years ago, we simply cannot afford nuclear. Instead, we need to diversify our energy mix by bringing renewable energy to the grid,” said Mazzone.
Zuma’s spokesperson Vukile Mathabela did not immediately reply to a request for comment on Friday.
‘If we went for nuclear’
The president, however, told Business Day he is convinced nuclear is the right way to go.
“We are going to pay trillions of rand because of the problems of energy….but if we went for nuclear, we will be out of spending trillions for a shorter amount of time and we’ll make more trillions,” he told the newspaper.
South Africans has been experiencing rolling blackouts for the past week as Eskom grapples with a shortage of available capacity.
According to Eskom, the shortages have been caused by a lack of diesel supplies, scheduled and unscheduled outages at generation units, and the devastating effect of a cyclone that hit Mozambique on transmission lines.
“The fact of the matter is nuclear could solve our problems, once and for all.”
“Now we are in deep [trouble], we are therefore increasing the debt of the country with no hope to bring it down. That is the problem,” said Zuma.
A High Court in 2017 halted the country’s nuclear ambition, ruling that the procurement processes was unlawful, following an application by environmental activists.
The court quashed the government’s attempts to secure 9.6 GW of nuclear power, including the initial determination to procure nuclear energy in 2013, the cooperation agreements signed with Russia, the US and South Korea, as well as former energy minister Tina Joemat-Pettersson’s decision to hand over the procurement of nuclear energy to Eskom in 2016.
“Russia carried the biggest load in supporting us. So we cannot, when we are now free, forget about people who were our friends at the time of need,” Zuma told Business Day.
While nuclear still forms part of SA’s energy mix, there are currently no plans to move forward with procuring new nuclear-powered reactors.
In July 2018, at a BRICS meeting in Johannesburg, President Cyril Ramaphosa told Russian President Vladimir Putin that South Africa could not afford new nuclear reactors.
PURC Gets New Office In Sunyani
The Public Utilities Regulatory Commission (PURC) has opened its seventh regional office in Sunyani, capital of the Bono region which is also expected to serve Ahafo and the Bono East regions.
This forms part of the corporate policy of PURC to get closer to consumers and utility providers; and offer swift and effective services to the public.
The new regional office will also monitor the activities and services of the Northern Electricity Distribution Company (NEDCo) and the Ghana Water Company Limited at their various District and Areas offices to ensure that they provide high-quality services to their consumers.
Until the opening of the office in Sunyani, the Ashanti regional office of the commission was in charge of the then Brong Ahafo region, which is now made up three regions namely; Bono, Bono East, and the Ahafo.
PURC was set up as a multi-sectorial regulator by the Government of Ghana in October 1997 under the Public Utilities Regulatory Commission Act, 1997 (Act 538) as part of the utility sector reform to regulate the provision of utility services in the electricity and water sectors.
By virtue of the Energy Commission Act, 1997 (Act 541) PURC also has regulatory responsibility overcharges for transportation of natural gas services.
Inaugurating the Sunyani office, the Director for Regional Operations at the PURC, Alhaji Abukari Jabaru said the new office will be responsible for handling consumer complaints, adding that “seeking redress for unresolved complaints made to utility providers will now be a thing of the past.”
He gave the assurance that the Commission’s staff would be ever ready to welcome concerns and grievances of consumers and make conscious efforts at resolving them amicably and also at no cost to the complainant.
“The Commission’s able staff would gladly listen to your issues brought before them and resolve your electricity and water complaints together with the utilities amicably and free of charge”, he stated.
Alhaji Jabaru also announced plans by the PURC to undertake public education campaigns to sensitize members of the public about their right and responsibilities with regards to the provision of electricity and water as well as the other services of the commission.
According to him, “this will enable consumers to demand the right services from the utilities and also understand the need for consumers to pay their bills promptly.”
The Executive Secretary of PURC, Mrs. Mami Dufie Ofori assured the public of the Commission’s resolve and commitment to always put the interest of the consumer at heart in the discharge of their duties.
She called on the public to develop a good relationship with the staff of the commission and also have faith in them because they are there to serve their interest.
The Sunyani Municipal Co-ordinating Director, Mr. Samuel Gyimah noted that it was heart-warming to have a PURC office in Sunyani, adding that this would give consumers easy access to their services.
Premix fuel diversion has ceased in Volta Region – Deputy Regional Minister-Designate
Deputy Minister-Designate for Volta Region, Johnson Avuletey, has stated that his region, for some time now, records zero incidence of Premix fuel diversion.
Prior to this development, fishermen across the country have been complaining over the lack of access to premix fuel which generated public uproar.
This resulted in a joint action by stakeholders to review all premix fuel outlets in the country as well as shut down those that fall short of standard requirements
Meanwhile, Mr Avuletey told Parliament’s Appointment committee on Wednesday that the steady supply of premix fuel to landing beach committees has gone great lengths to reverse the perennial challenge of shortages and diversion of the fuel, which has been a lively threat to the fisheries sector.
‘’I can say that diversion is no more going on. I don’t think so. The landing beach members are members of the regional monitoring committee at the same time. They serve as watch men on each other so the minister sometimes goes on field to check whether the right things are been put in place’’, he asserted
He added, when given the mandate to serve as Deputy Minister, he would strive to propel the fisheries sector to greater heights in the region.
The Deputy Minister-Designate went on further to note that patrons should not be complacent with the level of sanity achieved so far as there is more work to be done in bringing President Akufo-Addo’s dream of a sanitized premix fuel distribution system to fruition in the Volta region.
Mr. Avuletey appeared before the appointments committee Wednesday March 20, 2019 to be vetted for the position of Deputy Regional Minister.
Nigerian Breweries set to install rooftop solar facility
CrossBoundary Energy will operate the rooftop facility on behalf of Nigerian Breweries as part of a 15-year solar services agreement.
Under the agreement, Nigerian Breweries will only pay for solar power produced, receiving a single monthly bill that incorporates all maintenance, monitoring, insurance, and financing costs.
The solar plant will supply 1GWh annually to the Ibadan-based brewery at a significant discount to their current cost of power, while reducing the site’s CO2 emissions by over 10,000 tonnes over the lifespan of the plant.
Jordi Borrut Bel, managing director of Nigerian Breweries, said: “We are delighted to be a pioneer in the adoption of solar energy in Nigeria.
“The solar plant will help power our world-class brewery in Ibadan, enabling us to deliver on commitments under our ‘Brewing a Better World’ initiatives and supporting Heineken’s global ‘Drop the C’ programme for renewable energy.”
Heineken’s Drop the C programme for renewable energy aims to grow its share of production-related energy sourced from renewables from the current level of 14% to 70% by 2030.
“NB’s Brewing a Better World initiative has further targeted a 40% reduction in CO2 emissions by 2030,” according to Martin Kochl, supply chain director at Nigerian Breweries.
Renewable energy goals
Femi Fadugba, head of business development for CrossBoundary Energy, said: “We’re excited to be helping Nigerian Breweries go solar and to be providing the site with cleaner, cheaper power with no upfront investment or technical risk.
Fadugba added: “I’m also proud that this flagship project – the first of its kind in Nigeria – will be launched in my family’s hometown of Ibadan.”
CrossBoundary Energy has commissioned TPN to design and build the plant as well as performing operations and maintenance immediately after commissioning. Ruud van Milligen, general manager for TPN said:
“We are grateful that we, as an energy solutions partner for Nigerian Breweries, and CrossBoundary Energy can contribute to the renewable goals of Nigerian Breweries with our custom-made energy solutions and best-in-class operations and maintenance operations.”
The plant will support the local employment of at least a dozen engineering, construction and maintenance professionals during installation and the 25+ year lifetime of the system, while supporting the Nigerian Electricity Regulatory Commission’s target of having 2,000MW of power capacity from renewables by 2020.
Through financing packages like the one being offered by CrossBoundary Energy, Nigeria’s renewable energy sector can provide much-needed green jobs, tap global capital, improve access to affordable, reliable power for businesses, and enable Nigeria to fulfil its enormous economic potential.
Support for the project has come from Shell Foundation and the Solar Nigeria programme, an initiative implemented by Adam Smith International with funding from UK Aid. Egypt embarks on training programme to boost gas sector workforce
US-based energy services provider, Halliburton has signed a Memorandum of Understanding (MoU) with the Egyptian Ministry of Petroleum & Mineral Resources (MoP) to support a specialised development programme for Egypt’s workforce in oil and gas sector.
The MoU, which aligns with the ministry’s Oil and Gas Modernisation Programme, is a collaborative agreement under which Halliburton will utilise its strength in human capital development to provide on-the-job training for Egyptians who show the potential to be future leaders in the oil and gas industry.
Additionally, the programme will be customised for selected participants to enhance their capabilities and assist Egypt in its role as a leading regional oil and gas hub. Read more: Finding the necessary talent to lead off-grid markets
“We are excited to collaborate with the Ministry to improve the development of its local workforce,” said Halliburton chairman, President and CEO Jeff Miller.
Miller added: “We have a 50-year, established working relationship with Egypt, and this MoU is a testament to our ongoing commitment to the country and its efforts to build its presence in the oil and gas industry.”
Modernisation programme
Egypt’s Minister of Petroleum & Mineral Resources, Eng. Tarek El Molla, also commented: “As we embark on our Modernisation Programme to create a more conducive environment for business and investment in Egypt, one of the most important pillars of this effort is to build world-class human capital.”
“We believe Halliburton’s robust employee development experience will contribute greatly to positioning our local talent for success and sustaining the promising vision of our ministry.” Energy Commission to punish landlords whose house wiring system is over 10 years
The Energy Commission has warned it will sanction owners of buildings that are over 10 years that have not been inspected and rewired.
The Commission has served notice it has begun the enforcement of the Electrical Wiring Regulations 2008 which was passed in 2012.
The law requires that all buildings, both commercial and private residents, undergo inspection and rewiring every 10 years to protect occupants and prevent fire disasters.
It also requires that only properly qualified and certified professionals engage in electrical wiring and indoor installation works.
As part of enforcement of the Law, the Energy Commission says it has assigned inspectors across the country to check the status of commercial buildings especially hotels.
After the inspection, certificates will be pasted on Buildings that meet the installation requirements while those with substandard installations will be asked to correct the errors, failure of which will attract sanctions.
Mr Stephen N-ebe Yomoh, who is the Programmes Officer at the Energy Commission disclosed in an interview with journalists during presentation of certificate to electricians who successfully went through Certified Electrical Wiring Professionals training programme.
So far the has certified about 7, 801 electricians in the country to undertake indoor electrical wiring.
Mr Yomoh advised Ghanaians to employ the services of professional electricians in order to avoid poor wiring which may result in fire outbreaks in their homes.
“You need to check and be sure for your own safety that the person you are contracting to wire your company, or home has been trained and certified. That way you can be sure a good job will be done,” he said.
We’re not suspending sale of prepaid credits in Cape Coast-PDS
The Power Distribution Services (PDS) Ghana Limited, the company managing the distribution business of the Electricity Company of Ghana (ECG), is urging residents in the Cape Coast Metropolis to disregard information making the rounds that PDS is planning to suspend the sale of prepaid credit for one month.
According to PDS, it has no intention of doing so. It has, therefore, assured residents to continue to buy their prepaid credits at their usual vending points.
“We wish to state that this information is false, and we have no intention to do so,” a statement from PDS explained.
Qatar Petroleum to Join ENI Offshore Morocco
Qatar Petroleum (QP) has entered into another deal with ENI, this time to gain access to an exploration permit operated by ENI offshore Morocco.
QP is expected to soon enter the Tarfaya Offshore Shallow I-XII exploration permit.
ENI, who controls a 75% stake in the license, has signed a lease-out agreement with QP to sell 30% of it. The Tarfaya Offshore permit includes 12 exploration blocks off Morocco.
This agreement is subject to approval by the Moroccan authorities. In the event of validation, ENI will retain its operator status and hold a 45% stake. QP will hold 30% and state-run ONHYM will hold a 25% stake.
ENI is currently conducting geological and geophysical studies as part of the first exploration period.
Just recently it was announced that QP would be acquiring a stake in ENI’s Block A5A offshore Mozambique.
Trinidad seeks refinery bids, scraps trader sale
Trinidad and Tobago issued a request for proposals for the sale of its mothballed 160,000 b/d refinery, but has cancelled the sale of its recently created fuel trading company.
Energy minister Franklin Khan ordered Paria Fuel Trading to withdraw a recent request for proposals, saying it had been “inadvertently” issued by the company’s chairman Wilfred Espinet.
In announcing the sale of the fuel importer, Espinet said there is “no strategic reason” for the government to keep the assets “as long as the country’s fuel security and competitiveness in fuel pricing could be guaranteed.”
But amid indications of deepening confusion in the country’s newly restructured energy sector, Khan said Paria Fuel Trading would not be sold because it is “a strategic state asset” that plays a critical role in ensuring fuel supply.
Paria, which was created in November 2018 when the government closed the money-losing Pointe-a-Pierre refinery, has been importing around 25,000 b/d of products to meet domestic demand.
While in operation, the refinery supplied domestic and neighboring island markets with gasoline, kerosene, aviation fuel, diesel, fuel oil and LPG.
The government hopes to select a successful bidder for the refinery by the end of June 2019, prime minister Keith Rowley has said, adding that some 50 parties have expressed interest.
The refinery labor union – OWTU – has been critical of the decision to close the plant, and has said it has potential partners with which it could operate the facility.
One factor that would be determined by any new refinery operator is access to feedstock amid declining domestic output, an energy ministry official said.
The refinery was not viable as it had to depend on increasing volumes of imported crude, the government said in August 2018 when it announced its intention to close the century-old facility.
Trinidad last imported crude for the refinery in October 2018 at 15,409 b/d, 77pc less than September. Imports were mainly Russian Urals, Gabon’s Oguendjo, Brazil’s Lula and Roncador, and Colombia’s Vasconia.
Crude that was being produced domestically by disbanded state company Petrotrin is now exported by new state entity Heritage Petroleum.
Trinidad’s crude production averaged 64,895 b/d in 2018, according to energy ministry data.