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Address by Minister Mosibudi Mangena at the media lauch of the Solar Water Heater Test Rig
2007-03-05 11:35
SABS, Pretoria
Minister
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Programme Director
Group CEO of the Central Energy Fund, Mr Mputumi Damane Representatives of the United Nations Development Programme Members of the Media Ladies and Gentlemen I must begin by thanking you the members of the media establishment for responding positively to our invitation to this breakfast meeting to launch our Solar Water Heater Test Rig - the first of its kind on the African continent. It is commonly believed that if one invites the media, the majority of them would seldom pitch up, but would rather prefer the stories for which they need neither invitation nor preparation. I am therefore pleased that you have joined us today to launch this important programme we are running in conjunction with the Central Energy Fund and the United Nations Development Programme (UNDP). There is no doubt that the media occupies a central place in our endeavours to disseminate accurate information and demystify a lot of the work done by scientists. I have no doubt that your presence here this morning will assist us in that regard. In our quest to build a prosperous society that derives enduring and equitable benefits from science and technology, innovation is central to the work done by my department. Hence, our mission to develop, coordinate and manage a National System of Innovation geared towards producing the critical mass of the human capital required to bring about sustainable economic growth and improve the general quality of life of our citizens. My department, in collaboration with the Department of Minerals and Energy, established the South African National Energy Research Institute (SANERI). Through SANERI, which is housed at CEF, we will be able to preserve the existing energy research resources, while strengthening our energy research capabilities to attain global competitiveness. In other words, SANERI will have, as a primary objective, the advancement of public-interest energy research and development. We have therefore seen it appropriate to partner with the Central Energy Fund, which is a public company that is a market leader in the quest for alternative energy solutions, and the UNDP, the paragon of development under the auspices of the United Nations. As I have already mentioned, the Solar Water Heater Test Rig is the first of its kind in the continent. We therefore have every reason to celebrate. But what is of even more significance is the fact that the South African Solar Water Heating market has considerable potential to produce electricity savings, increase employment opportunities, improve electricity demand management and reduce greenhouse gas emissions. Nevertheless, despite a wide range of products being available on the market, the Solar Water Heater industry is faced with severe limitations in terms of solar water heater standardisation, awareness, affordability and financing, all of which ultimately prevent any widespread technology adaptation. We have no doubt that the introduction of this project will significantly transform the South African market for the Solar Water Heater by tackling these barriers and creating a positive market environment. Studies have shown that one of the best ways of promoting electricity savings or reducing electricity usage in the residential sector is by targeting water heating, which is one of the major end uses in the sector. This saving could be made with the introduction of solar water heaters. However, given the high capital costs of solar water heaters, such an approach would be more suitable for middle- and upper-income households residing primarily in the urban areas. Studies have shown that the solar water heaters could save up to 60% of electricity usage. For this reason, this project will, amongst others, involve the installation of about 500 solar water heaters, and the provision of incentives for the purchase of these geysers by middle- to higher-income households, while at the same time undertaking a parallel standardisation of the solar water heater quality and testing regime, consolidating a widened distribution and maintenance infrastructure, offering attractive financing options and ensuring continued awareness and involvement on both the supply and the demand sides. Over time, the costs of solar water heaters will also decline as the technology is accepted more widely. Building on the envisaged favourable conditions prevailing at the end of the project, a second phase of the market transformation will be initiated. This second phase will enable the commercial installation of a further 9 000 solar water heaters over a period of five years, with the ultimate goal of further bridging affordability gaps and making the benefits of solar water heaters available to low-income households. Ladies and Gentlemen, none of us here can claim to be ignorant of the projected hazards of climate change caused by the continuous pollution of our planet. Since South Africa is largely dependent on coal as a source of electricity, as a result, we produce a considerable amount of CO2. It is thus pleasing to note that one of the primary objectives of this project, in addition to the development objective, is to reduce CO2 emissions. I do not want to dwell on the technicalities of how we are going to reach these objectives, save to say that the envisaged critical measures will include the standard implementation, test rig upgrade and capacity improvement, customer support structure, codes of good practice for installation and maintenance, training of installers and maintainers, creating awareness on both the supply and demand sides, market survey, as well as the financial mechanisms for wholesale and retail financing. While today’s media briefing forms part of our public awareness campaign, let me assure you that collaboration is the cornerstone of this project bringing together partners such as ESKOM, the CSIR, the NRF, SESSA and the SABS. The project will continually interact and collaborate with municipalities. Already, the team has assisted the City of Johannesburg Municipality to develop a call for proposals for Solar Water Heating tenders for a local eco-development initiative. I trust you will therefore understand our enthusiasm and the reason for this morning launch. We are on the roll to address the energy challenges in our country, and the Solar Water Heater Test Rig we are launching today puts us firmly in the right direction. I thank you again for your attendance this morning, and am certain that the word will be spread. Thank you. |
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