National Government's gas to power strategy - Statement by Minister Alan Winde

The Western Cape Government is disappointed that Saldanha Bay was not identified as a port for the importation of natural gas in the Preliminary Information Memorandum released by the Department of Energy on 3 October 2016.

Further, there were no details provided on the Department of Energy’s plans for the 600MW allocation for natural gas in the West Coast that the National Minister of Energy Tina Joemat-Pettersson gazetted in May 2016. There are many good technical reasons why Saldanha Bay should have been chosen for Phase 1, and the economic benefits for the West Coast region are enormous. Natural gas will drive industrialisation in the Western Cape and put the region and country as a whole on a greener path.

I have written to Minister Joemat-Pettersson, to request further engagement on the following matters:

• The Western Cape Government be afforded an opportunity to engage on the decision to exclude Saldanha Bay from Phase 1, in order to provide us with more detailed reasons and the document that formed the basis for the decision;
• Investors be allowed to tender for any of the three ports in the Request for Qualification process;
• That Minister Joemat-Pettersson share with us plans to give effect to the 600MW determination and suggestions for how we can partner to work together on this, and other West Coast opportunities.

We look forward to working with National Government to achieve a sustainable and affordable energy supply, including the opportunities which can be delivered by the Western Cape.