News


Energy shapes the future of Africa’s automation and manufacturing industries

February 2023 News

The importance of energy security in shaping South Africa’s economic future is a key focus of the Africa Automation and Technology Fair (AATF), the continent’s most comprehensive and focused automation platform. Taking place between 9 and 11 May 2023 at the Johannesburg Expo Centre (Nasrec), it will co-locate with Future Manufacturing Africa (FMA), a new trade show dedicated to the full manufacturing value chain for the African continent.

Esteemed industry experts have been lined up to present at the dedicated conference, AATF Connect, which will be introduced by Gwede Mantashe from the Department of Energy. They include South African television presenter and moderator, Derek Watts; energy consultant, Chris Yelland; Dilley Naidoo, CEO of Madala & Associates; and Dhevan Pillay, South African Energy Conservation.

Although President Ramaphosa has said Eskom is taking active steps to add new generation capacity to the grid on an urgent basis, a key focus of AATF Connect will be to seek real answers to the many difficult questions being asked about the measures the government has identified to address the energy crisis.

The procurement of new generation capacity

As an immediate measure, Eskom will buy surplus capacity from existing independent power producers (IPPs), mines and other private entities which generate excess power, while 2600 MW of capacity has been procured through Bid Window 5 of the Renewable Energy IPP Procurement Programme (REIPPPP), which should add capacity to the grid from early 2024.

Eskom will also look to buy power from neighbouring countries with excess electricity capacity, such as Zambia and Botswana, through the Southern African Power Pool, and aims to construct its first solar and battery storage projects at Komati, Majuba, Lethabo and several other power stations. On paper, the measures for new generation capacity look positive, but there are still many gaps to be filled as to how these processes will roll out on a practical level.

Easing of distributed generation regulations and new legislation

After removing the licensing requirement for generation projects up to 100 MW in June 2021, President Ramaphosa has now announced the complete removal of the licensing requirement for embedded generation, to incentivise further private investment in electricity generation and reduce the lead times to commence construction of projects.

The term ‘embedded generation’ is ambiguous as it is understood differently in different contexts. There are also questions about transitional arrangements for those projects above the 100 MW threshold that are already in motion, and how these will be impacted.

Incentivising investment in rooftop solar through feed-in tariffs

The government has acknowledged the potential for households and businesses to install rooftop solar solutions and to connect this power to the grid. To incentivise greater uptake of rooftop solar, Eskom will develop rules and a pricing structure, known as a ‘feed-in tariff’, for all commercial and residential installations on its network. This means that those who have installed solar panels in their homes or businesses will be able to sell surplus power to Eskom. However, there are some complexities here, as most of these installations occur within municipal distribution systems rather than Eskom’s transmission systems.

Improving the performance of Eskom’s existing power stations

To address the red tape around buying spares and equipment to effect critical repairs at power stations, Eskom’s budget for critical maintenance will be increased over the next 12 months. But, if Eskom relies on emergency procurement procedures (which allows deviation from the mandatory tender requirements to buy spares and equipment on an urgent basis), this could open up the process to abuse and has the potential to be a vehicle for corruption and looting of this increased budget allocation.

Philip Woods, events director for Business and Technology at RX Africa, says: “We understand that delegates at the AATF and FMA are after real, honest discussions and debates about the burning issues that are impacting business today and the future economic growth of our country and continent. We look forward to bringing together the automation and manufacturing industry’s major players with energy leaders to tackle the major issues affecting progress and transformation, and we are confident that the event will be of great benefit to all involved.”

Registration for both the AATF and FMA is currently open. To register or for more information, please visit https://www.africaautomationfair.com/en-gb.html




Share this article:
Share via emailShare via LinkedInPrint this page

Further reading:

Reinstatement opportunity for ECSA registration
News
In 2023 the Engineering Council of South Africa (ECSA) announced a special opportunity for engineers in South Africa to reinstate their registration status if it had been cancelled. This exclusive offer is available until the end of August 2024.

Read more...
Africa Automation Indaba 2026
News
A bold new chapter in Africa’s industrial evolution begins with the launch of the Africa Automation Indaba, set to take place from 13 to 14 May 2026 at the prestigious Radisson Collection Hotel in Cape Town.

Read more...
EtherCAT Technology Group holds another Plug Fest
News
Recently, the EtherCAT Technology Group (ETG) once again invited its members to a Plug Fest, this time specifically targeting developers and manufacturers of devices with Safety over EtherCAT (FSoE) functionality.

Read more...
BMG powers up at Nampo 2025
News
The BMG team was highly prominent at this year’s Nampo agricultural show, held near Bothaville recently. This prestigious event, which is one of the largest agricultural exhibitions in the southern hemisphere, is a highlight for manufacturers and suppliers of farming equipment, as well as for farmers, families and the entire community.

Read more...
Epiroc rocks youth development programmes
News
Epiroc is not just building equipment - it’s building futures. Through its dynamic internship and learner programmes, the mining equipment and services specialist is shaping South Africa’s next generation of skilled professionals, equipping them with real-world experience, industry knowledge and the confidence to launch successful careers.

Read more...
Schneider Electric drives innovation in Africa
Schneider Electric South Africa News
Schneider Electric has officially launched its first Innovation Hub on the African continent, coinciding with the opening of its new regional headquarters in Midrand, South Africa.

Read more...
Schneider Electric South Africa certified as 2025 Top Employer
Schneider Electric South Africa News
Schneider Electric is proud to announce its South African operation has been awarded Top Employer 2025 certification by a global authority in HR excellence, Top Employers Institute.

Read more...
100 years of safety leadership
News
DEKRA Industrial and its adult-based education and occupational skills training division, the Institute of Learning (IOL) will showcase a milestone at A-OSH 2025, as the company celebrates DEKRA Global’s 100 years of safety leadership.

Read more...
Drakenstein Municipality aces Schneider Electric’s Sustainability Impact Award
Schneider Electric South Africa News
Drakenstein Municipality in the Western Cape has won a Sustainability Impact Award for Schneider Electric’s Anglophone Africa region, shining the spotlight on its unwavering commitment to sustainable leadership and its forward-thinking approach to ensuring a sustainable future for its coming generations.

Read more...
LH Marthinusen launches new industrial fan manufacturing and services factory
News
LH Marthinusen has launched its new industrial fan manufacturing and services factory in Ekurhuleni. THis is a major milestone for South African energy infrastructure growth.

Read more...









While every effort has been made to ensure the accuracy of the information contained herein, the publisher and its agents cannot be held responsible for any errors contained, or any loss incurred as a result. Articles published do not necessarily reflect the views of the publishers. The editor reserves the right to alter or cut copy. Articles submitted are deemed to have been cleared for publication. Advertisements and company contact details are published as provided by the advertiser. Technews Publishing (Pty) Ltd cannot be held responsible for the accuracy or veracity of supplied material.




© Technews Publishing (Pty) Ltd | All Rights Reserved