Energy Transformation Charter on the Cards

Department of Energy

The energy minister, Jeff Radebe, has proposed the development of an Energy Transformation Charter.

This was revealed during an address at the launch of the Black Energy Professionals Association in Johannesburg.

The minister lauded the Renewable Energy Independent Power Producers (IPP) Programme for providing the only vehicle that “progressively enables participation by black investors and industrialists in electricity generation.”

He added that the recent signing of power purchase agreements for 27 IPP projects supported an increase in black participation in the industry and contributed towards the creation of black industrialists.

The minister described the energy sector as a unique sector in that it serves as an economic enabler.

“Its transformation goes beyond issues of ownership but also to issues of access and affordability.”

Steps being taken to facilitate transformation include improving access to finance for local black shareholding companies and the structuring of re-financing arrangements, the review of community ownership structures to ensure that communities have an active voice in decision-making, unlocking more opportunities for black entrepreneurs in the fuel retailing sector and aligning the Liquid Fuels Charter to the Broad-Based Black Economic Empowerment Act and developing a sector-specific Code of Good Practice in order to ensure compliance with the act.

The minister also pointed out that, in terms of shale gas exploration and development, government had to ensure that “representation of the majority of the population in this sector is prioritized from the beginning.”

Sabinet Cape Town Office