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Nuclear an option for South Africa

14th March 2014

By: Creamer Media Reporter

  

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The issue of energy sustainability is critical all over the world. The frameworks within which governments address energy sustainability are under the spotlight, and this is true for South Africa, a country planning massive power plant procurement.

Issues such as environmental impact, global warming and capital costs are at the centre of discussions aimed at convincing governments to invest in specific energy technologies. There are, however, concerns about the environmental and atmospheric impacts of the so-called alternative energies. Wind farms, for example, have just had their fair share of controversy. It is therefore important to critically review the foundations of all possible energy technologies from South Africa’s perspective. Leaning towards one direction may be a problem; for example, a decision by the South African stakeholders on whether to go ahead with the proposed new nuclear built, as spelt out in the Integrated Resource Plan (IRP) for the period 2010 to 2030 has been debated for some time.

The reality is that South Africa needs to create jobs for millions of its unemployed youth and, to do so, it needs to create an industry that can provide sustainable jobs. The nuclear industry has such capacity and viability, as it is a multisector economic giant. It can achieve this through increased yellowcake production at the mining and conversion stages and up to the storage of spent fuel. If South Africa invests in four to six nuclear power plants and gets its local nuclear fuel cycle in full swing, there is no doubt that thousands of jobs can be created. The country will also be able to assume a very critical position in Africa, which will place it as a competi- tor to supply nuclear fuel and components of power plants should other African States decide to go nuclear.


The updated cost of building new power capacity in the revised IRP 2010–2030 is clearly not appealing to investors – not even to the green technologies. Inflation has crept in and has escalated the initial investment costs. The rand has plummeted to its worst level in more than five years – to around R11 to the US dollar. This makes procurement of imported technologies and goods more difficult. Therefore, it goes without saying that, in addition to the introduction of a procurement cost ceiling, the nuclear fuel cycle and component supply to nuclear power plants will need to be localised to contain volatile costs.

The projected demand for new power gene- ration in South Africa, according to the revised IRP document, also dipped in 2012. This is associated with weakened global economic activities, caused by the 2008/9 economic recession. The aftershock of the recession was still felt by South Africa in 2012, as was the case in the world’s 20 largest economies – hence, the observed poor outlook for new power generation.

South Africa cannot base its power genera- tion needs solely on the current economic outlook, but should blend this with its future economic prospects and aspirations. The country has to have enough reserves in terms of energy capacity to boost investor confidence and realise economic growth of 5% to 7% each year. How it finds a balance in the energy mix is crucial, particularly in the presence of green energy initiative guardians, who have taken a territorial view on nuclear, public fear of nuclear safety and worsening weather patterns due to greenhouse gases.

Even the so-called green energy technology has not always been better than other forms of energy. The recent massacre of birds by a wind farm in the US is an example of the harm these wind farms can cause to the environment. Duke Energy pleaded guilty to killing at least 14 eagles and 149 other bird species and was fined $1-million in the first case of this kind.

A scientific study in Texas, the world’s biggest wind farm state, shows that areas around wind farms experience wind speed vacuums, owing to lower wind speeds induced by the wind turbines. This creates a rising and sinking of warm and cold air, which causes a rise in temperature of about 0.72 ºC every ten years in the surrounding areas. Hostile weather patterns in such wind farm areas materialise.

Finding a technology balance is there- fore important in the energy mix. This requires an overview of the current capacity, in addition to economic and environmental concerns.

South Africa has already invested a lot into nuclear technology and skills capacity. The South African Nuclear Energy Corporation, or Necsa, has a nuclear skills training centre and ASME III certification for component manufacturing, making it a global competitor in the nuclear supply chain.

Eskom has a record of operating the Koeberg nuclear power unit for more than 25 years, and South African construction companies also have capacity to undertake massive construction projects to the highest standards, as was the case with the 2010 FIFA World Cup stadiums. All that is needed is implementation of the nuclear built. External forces’ bid to influence the energy policy direction, similar to international drug companies’ attempt to weaken South Africa’s patent policies, should be put under scrutiny. The country also needs to establish a commission that will oversee the implementation of a unified systems engineering, economics and political decision capability in nuclear procurement.

Edited by Martin Zhuwakinyu
Creamer Media Magazine Managing Editor

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