Energy sector needs own tribunal or court, CEF says

SA’s energy sector could benefit from a special tribunal or court designated to adjudicate appeals against projects lodged by environmental organisations, says Central Energy Fund COO Tshepo Mokoka. 

Speaking at Africa Oil Week in Cape Town on Tuesday, Mokoka said the government’s investments and projects in oil and gas were often contested in courts by nongovernmental organisations (NGOs). Lengthy litigation causes companies investing in the sector to leave SAf for markets less hostile to oil and gas projects, he said. 

“There is a policy framework that assists us from a beneficiation standpoint to allow us to beneficiate our oil and gas. We need to optimise and shorten the time we take to deal with appeals. We either need to have a tribunal or a court that clears out the backlog.” 

Meanwhile, mineral resources and energy director-general Jacob Mbele told reporters the department had finalised the gas master plan. It will be tabled before the cabinet before its public release. 

The plan seeks to create policy certainty for companies and state institutions looking to develop offshore fields. Its delay has had a chilling effect on prospective investments by businesses looking to invest in oil and gas.

Petroleum Agency SA COO Bongani Sayidini said with enough gas in Secunda to sustain supply needs, PetroSA’s role was to process applications for exploration rights efficiently and mitigate hindrances.

“We have coal-powered plants in the same area [Secunda]. As part of that transition, that gas will enable the conversion of those power plants from coal-powered plants to gas- powered plants,” Sayidini said. 

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