Cape Town – Power constraints call for a “radical transformation” of the country’s energy sector, President Jacob Zuma told South Africans on Tuesday.
“We need to respond decisively to the country’s energy constraints, in order to create a conducive environment for growth,” he said in his State of the Nation address.
“[The] situation calls for a radical transformation of the energy sector, to develop a sustainable energy mix that comprises coal, solar, wind, hydro, gas, and nuclear energy.”
This would require structural changes in the manner in which government departments and state-owned companies and the industry as a whole addressed the energy problems.
The government also needed to identify innovative approaches to fast-track procurement and delivery by government in the energy sector.
A Cabinet sub-committee would be established to co-ordinate activities of the energy sector.
“It will also ensure Eskom receives the support it requires to fulfill its mandate.”
Zuma signalled a firm commitment to further developing nuclear power and exploiting shale gas reserves.
“Work needs to be done at a technical level on all forms of energy, especially nuclear energy and shale gas, with regards to funding, safety, exploitation and local manufacture of components.
“Nuclear has the possibility of generating well over 9 000 MW, while shale gas is recognised as a game-changer for our economy.”
He said shale gas options would be pursued “within the framework of our good environmental laws”.
Among the urgent short-term steps that would be taken was speeding up work on the Medupi coal-fired power station.
“There are also some urgent activities we are engaging in the short-term. Progress at Medupi… will be accelerated. Plans for advancing the next large coal-fired power station… will be speeded up so the procurement process can commence,” he said.

SAPA

Johannesburg – President Jacob Zuma was responding too late to some of the country’s problems, DA parliamentary leader Mmusi Maimane said on Tuesday.
“I’m concerned that President Zuma is living in one space while South Africans are living in very, very difficult space,” Maimane said after Zuma’s State of the Nation address in Parliament.

“The president had the opportunity to bring strong ideas, some very bold steps, and I didn’t see that forthcoming.”

Maimane said Zuma mentioned some of the things the DA had called for years and his response was “a bit too late”.

He said Zuma quoted initiatives from the National Development Plan and said it would take courage to implement these goals.

Zuma should have acted earlier and allowed legislation to help with energy procurement, he said.

“There could have been a lot more that the president could have done decisively and boldly; and I felt like he did not do that.”

FF Plus leader Pieter Mulder said Zuma seemed “muted” in his address.

“I experienced the president as muted a bit… [It was like] gas out of the bottle,” Mulder said.

Some positives which came out of Zuma’s address were infrastructure and corruption, Mulder said.

“Government’s job is to create infrastructure… we need that for economic growth.”

Pan Africanist Congress Leader Alton Mpheti said: “What the president said is what he said in the last State of the Nation.”

He said Zuma had reduced the number of jobs promised and brought up the issue of land claims again, but with no real solution.

“He didn’t do half the claims [promised]. I don’t know where he is taking us.”

He said Zuma was not moving the country in a better direction.

SAPA

Cape Town – President Jacob Zuma put the need to boost economic growth at the centre of the first major policy speech of his second term on Tuesday, saying he hoped to lift annual growth to 5% by 2019.
Zuma also said he would take direct responsibility for improving social conditions in the mining industry, which has been beset by two years of crippling strikes.

He said the government still strongly believes that the most effective weapon in the campaign against poverty, is the creation of decent work, and that creating work requires faster economic growth.

“To achieve (the set target growth of 5% by 2019), we will embark on various measures and interventions to jump-start the economy.

He said the economy has grown below its potential over the last three years and many households are going through difficulties. “We have (thus) set this target during a difficult period.”

Zuma said the slow growth has been caused in part by the global economic slowdown and secondly by domestic conditions, “such as the prolonged and at times violent strikes, and also the shortage of energy”.

Shortly before Zuma was dew to deliver his State of the Nation address, state utility Eskom announced it has started Stage 1 of load shedding again as the electricity suplly was exceptionally tight.

Also on Tuesday, platinum producers confirmed that they had received a response from mining union Amcu, which could end the almost five-month-long strike plaguing the platinum sector.

Zuma said given the impact of the untenable labour relations environment on the economy, it is critical for social partners to meet and deliberate on the violent nature and duration of the strikes.

The social partners will also need to deliberate on wage inequality, he said.

“On our side as government we will during this term investigate the possibility of a national minimum wage as one of the key mechanisms to reduce the income inequality.”

He said Deputy President Cyril Ramaphosa will convene the social partners dialogue, within the ambit of Nedlac.-Reuters