The Diplomatic Society

 
  • Increase font size
  • Default font size
  • Decrease font size

CSIR sees financial gains from renewable energy

19 August 2015

Pretoria - A second independent study by the Council for Scientific and Industrial Research (CSIR) has found that renewable energy from South Africa’s first wind and solar (photovoltaic) projects created R4 billion more financial benefits to the country than they cost during the first six months of 2015.

The study is an update and continuation of an initial study that was published in January this year, which covered the calendar year 2014. The benefits earned were two-fold.

The first benefit, derived from diesel and coal fuel cost savings, is pinned at R3.6 billion.

This is because 2.0 TWh (terawatt-hours) of wind and solar energy replaced the electricity that would have otherwise been generated from diesel and coal (1.5 TWh from diesel-fired open-cycled gas turbines and 0.5 TWh from coal power stations).

The second benefit is the saving of R4.6 billion to the economy derived from 203 hours of so-called ‘unserved energy’ that were avoided thanks to the contribution of the wind and solar projects.

During these hours the supply situation was so tight that some customers’ energy supply would have had to be curtailed (’unserved’) if it had not been for the renewables.

The avoidance of unserved energy cumulated into the effect that during 15 days from January to June 2015 load shedding was avoided entirely, delayed, or a higher stage of load shedding prevented thanks to the contribution of the wind and PV projects.

These direct cash savings on fuel spending to Eskom and the macroeconomic benefits of having avoided “unserved energy” are countered by the tariff payments to the independent power producers of the first wind and photovoltaic (PV) projects. They amounted to R4.3 billion from January to June 2015.

Therefore, renewables contributed a total net benefit of R4 billion (or R2 per kWh of renewable energy) to the economy.

As for wind alone, these projects were cash positive for Eskom to the tune of R300 million; saving R1.5 billion in fuel payments while costing only R1.2 billion in tariff payments to IPPs.

“The study was based on actual hourly production data for the different supply categories of the South African power system (e.g. coal, diesel, wind, PV).
“We've developed a methodology at the CSIR Energy Centre to determine whether at any given hour of the year, renewables have replaced coal or diesel generators, or whether they have even prevented so-called ‘unserved energy,” explains Dr Tobias Bischof-Niemz, who heads up the CSIR’s Energy Centre.

SAnews.gov.za

 


 
 
 
 
 
 
 
_________________________________________________

July 2017 Edition

 
 
_________________________________________________

Translater


 
 
 
 
 
 
 
 
 
 
 

The Cultural Consulate of the Embassy of Iran promotes peaceful religious co-existence Emmanuel Uniting Reformed Church in Southern Africa welcomed the Cultural Consulate of the Embassy of the... <|> Canada at 150: A look at Global South Foreign Relations with Canada By Srimal Fernando, Global Editor The Diplomatic Society 2017 is a significant year in many ways.  Hundred and fifty years... <|> Sri Lankan companies participate in International Trade Exhibition in South Africa 4 July 2017 Once again Sri Lankan companies participated in the annual International Trade Exhibition in South... <|> Vietnam Trade delegation in South Africa 4 July 2017 In June a Vietnamese businesses delegation led by Mr. Ngo Khai Hoan, Deputy Direct for Africa- ministry of Trade and Industry participated in... <|> Easing travel regulations between South Africa and Kenya 3 May 2016 South Africa and Kenya have announced measures that will make travelling between the two countries easier. South African Home... <|> 29th Summit of the African Union Addis Ababa, Ethiopia, 04 July 2017 The 29th Ordinary Session of the Summit of the African Union has come to close after 9 days, during which various statutory... <|> South Africa Celebrates the 30th Anniversary of the Dakar Conference by Kgomotso Kgoale In 1987 the ANC (African National Congress) and IDASA (The Institution for Democratic Alternatives in South... <|> Canada at 150 30 June 2017 H.E. Sandra McCardell, High Commissioner of Canada to South Africa, hosted a reception on the occasion of Canada Day. In welcoming guests High Commissioner McCardell... <|> Ukraine Constitution Day 2017 The Constitution Day of Ukraine was celebrated at the Embassy of Ukraine in the Republic of South Africa on 27 June 2017. Photo: Pictured at the reception are Mr.... <|> The 20th anniversary of Hong Kong's return to the motherland On July 1st, Chinese President Xi Jinping delivered a speech at the meeting celebrating the 20th anniversary of Hong Kong's return to the... <|>
© copyright 2011-2017| The Diplomatic Society| All Rights Reserved.