Determinations open door to job creation for liquefied natural gas
African policy makers and investors take notice of LNG as a potential source of fuel for IPPs, writes Khalid Olagunju
Ever since the ministerial determination in 2105 to procure 3,126MW of new independent power producer (IPP) gas-fired capacity and a second determination for 600MW, the energy industry has been abuzz with enthusiasm about the opportunities for investment within the gas-to-power programme. The determinations aim to identify bidders and enable them to develop, finance, construct and operate gas-fired generation plants at the ports of Coega and Richards Bay and to generate 3,000MW electricity — 1,000MW at Coega and 2,000MW at Richards Bay. While there has been a large focus on the programme’s scale it is also important to understand its effect on specific industry sectors, from a skills and capacity-development perspective in addition to the much-publicised investment gains. Liquefied natural gas (LNG)-to-power is an applicable and adaptable solution to the demand for power that is growing, particularly in emerging economies. However, it presents new tests to those involved in this gas...
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