Martin Pagale Masemola

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UNIVERSAL ACCESS PLAN
Martin Pagale Masemola 26 September 2007
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STRUCTURE OF THE PRESENTATION

• Background (Vision and strategic
• framework)
• Mandate and Objectives of INEP
• Challenges
• Backlog
• Funding requirements
• Strategy (Universal Access)
• END

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Background

• The electrification programme was started by
  Eskom during the late 1980s
• It was further refined by the National
  Electrification Forum (NELF) during the
  early 1990s.
• Access to electricity for households in RSA was
  approximately 30.
• During this period the electrification programme
  was funded through the National Electricity
  Regulator (NER)

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Background Cont.

• After 1994 and through the governments
  initiative of RDP (Reconstruction and Development
  Programme), electrification programme was
  endorsed.
• During 2001 the government took responsibility
  for funding electrification programme.
• The funds are made available from the fiscas
• Presidents State of Nation Address (universal
  access in RSA by 2012)

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MANDATE OF INEP

• To manage the electrification planning, funding
  and implementation process, with the aim of
  addressing electrification backlog so as to reach
  universal access by 2012.
• Our Focus areas
• Managing the electrification planning process
• Managing the electrification funding allocation
• process
• Managing the electrification implementation
  process
• Monitor the INEP in line with the Energy white
  paper,
• the Division of Revenue Act (DoRA, Public
• Finance Management Act (PFMA),ER Act, OHS Act
• etc.

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MANDATE OF INEP Cont.

• Integrate electrification with other programmes
  (e.g ISRDP, URP, EPWP) by other government
  departments with the view of addressing the
  government objective of poverty alleviation and
  job creation.
• Ensure full participation of local government in
  the planning implementations process by using
  IDPs.
• Ensure effective and efficient service to the
  Minister of Minerals and Energy

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National backlog (Households)
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National backlog cont.(H/H)
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National backlog (Schools and Clinics)
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Electricity value chain
GENERATION
Electricity is Generated by burning of fossil
fuels (coal, oil, or natural gas), use of nuclear
technology and hydro capability
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TRANSMISSION SUBSTATIONS
MUNICIPALITIES
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TRANSMISSION LINES
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TRANSMISSION (400/275 kV)
High Voltage electricity is carried between
Generation and required Distribution through
Transmission networks (or Transmission grids)
DISTRIBUTION LINES
POWER STATIONS
DISTRIBUTION (132/33 kV)
The distribution networks collect stepped down
electricity from the transmission networks and
deliver it to Redistributors /End Users
DISTRIBUTION SUBSTATIONS
The voltage levels of electricity are further
transformed to meet Distribution requirements
SERVICE CONNECTION
RETICULATION HV LINE (11 22kV)
Customer consumption is measured at the point of
supply in KWh. This information is used to
measure and bill consumption levels utilised/sold
RETICULATION LV LINE (380/220V)
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Composition of Electrification cost
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MV Infrastructure (11kV and 22kV lines)
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Electrification Plan (Actual data)
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Electrification Projected Trend
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UNIVERSAL ACCESS (CHALLENGES)
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UNIVERSAL ACCESS (CHALLENGES)

• Challenges in the Electricity industry in South
  Africa
• Ageing electricity infrastructure
• Minimum or no investment by respective
  distributors (municipalities) in the operation
  and maintenance of the electricity infrastructure
  to date, hence lack of maintenance.
• Increased blackouts and brownouts in the country,
  concern for quality and security of supply for
  the 2010 FIFA World cup
• Limited or lack of adequate skills at local
  government level for operation and maintenance
  electricity infrastructure.

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PLANNING FRAMEWORK
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ROLE OF DME

• Electrification network master planning
• Macro planning and project management
• Assist municipalities in the IDP process for
  electrification
• Executing projects in line with Municipal IDPs
• Monitor implementation
• Execute projects in line with the signed Contract
• Monitor the INEP in line with the Energy white
  paper, the Division of Revenue Act (DoRA, Public
  Finance Management Act (PFMA),ER Act, OHS Act
  etc.
• Monitor the operation and maintenance of the
  created assets
• Reporting progress and impact as per governments
  programme of action to cabinet.

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Planning and Implementation Framework
Planning (R1.4bn) November current year for Next
years plan
Capital Programme
Implementation (R 0.00) March 31st
Electrification Planning
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FUNDING REQUIREMENTS
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FUNDING REQUIREMENTS (Summary)
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FUNDING REQUIREMENTS per province per year from
2007/8 and beyond
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Funding requirements for bulk infrastructure
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Projected expenditure plan
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Projected outputs (connections)
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BULK INFRASTRUCTURE
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Projected expenditure ( bulk)
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CAPACITY TO IMPLEMENT THE PROGRAMME
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CAPACITY TO IMPLEMENT

• Capacity to implement the programme relates to
  the following -
•  
• Programme management and planning
• Availability of Technical skills (Consulting
  Engineers and Contractors)
• Availability of required material for
  electrification (Transformers, cables,
• poles,meters etc.)

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CAPACITY TO IMPLEMENT Cont.

• The assumptions that have been made is that
• Connections per Contractor 1000 connections.
• Connection design per consultant 5000
  connections per
• year
• 80 of the contractors will participate on
  electrification.
• 60 of the Consultants have knowledge of
  electrification

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CAPACITY TO IMPLEMENT Cont.
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CAPACITY TO IMPLEMENT Cont.
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NETWORK CAPACITY
NB The increase in demand for network capacity
is directly proportional to the amount of
connections expected in a particular year, by
2012/13 a total of 2 .7GVA (2700MVA) is
estimated for After Diversity Maximum Demand
(ADMD). These projections predict that there will
be an increase in the system demand to cater for
electrification.
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ESTIMATED JOBS TO BE CREATED
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ESTIMATED JOBS TO BE CREATED Cont.
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CONCLUSSION
The DME is committed to achieve universal access
within the identified period the target is
possible, all issues indicated can be addressed.
The DME will continue to encourage the private
sector, public sector and all stakeholders
participating in the electrification programme to
give their support. These will result in greater
skills development, economic growth and
ultimately contribute to poverty alleviation
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THANK YOU