Archive for October, 2009

Renewable Energy Chennai 2009

Friday, October 30th, 2009

Chennai, 27 October 2009: The Renewable Energy Chennai 2009 Conference is being held on 28 October at The Park Hotel, Chennai. Organised by Comnet Conferences, a division of Exhibitions India Group, the conference enfolds a focus on the deployment of renewable energy to achieve energy security in India.

Themed appropriately, “Defining India’s path to leadership in renewable energyâ€?, the conference provides a global platform that brings together leading visionaries from the renewable energy sector. The conference will cover Solar and Wind sector in four technical sessions with over 20 speakers sharing their expertise on technological advancements and innovative applications. Over 200 conference delegates are expected to participate during the event.

The Conference module has been designed to take a panoramic look at the Indian renewable market as a promising revenue generating opportunity. It proceeds to highlight the importance of cost control, global entrepreneurship, innovations and promotion of bilateral trade opportunities to make renewable a commercially viable and practical technology for adoption in the mainstream and its fruition in the next few years. The concluding session supported and moderated by NDTV Hindu will engage the Panel in an interactive session on steps needed to power India in the years to come.

The event is a follow up to our 3rd Renewable Energy India 2009 Expo held in August at New Delhi and reinstates our commitment to support the global mission of promoting sustainable growth through renewable energy remarked Mr Prem Behl, Chairman , Exhibitions India Group.

Several leading associations including Tamil Nadu Energy Development Agency (TEDA); Indian Wind Power Association, Solar Energy Society of India and Bio-Diesel Association of India and national & international media have extended their support to leverage the expo platform as a potential meeting place for top trade industry players and investors.

For more details log on to www.rechennai2009.com

About us:

The Exhibitions India Group, established in 1987, is a trade promotion group focused on organizing international exhibitions and seminars and attracting investments in India, as well as, promoting participation of Indian companies at leading tradeshows worldwide.

Exhibitions India Pvt. Ltd. is the only trade fair and conference organizer in India with ISO 9001:2000 Certification. The company has been successfully organising South Asia’s largest ICT event, Convergence India (www.convergenceindia.org) and Renewable Energy India Expo (www.renewableenergyindiaexpo.com ).

Comnet Conferences, a division of the Group has been involved in developing and managing knowledge based conferences on sectors such as Security, Medical & Health Care, Metro Ethernet, Renewable Energy, etc

With its headquarters in New Delhi, the Group has branches in Ahmedabad , Bangalore, Chennai, Hyderabad and, Mumbai and an international office in California, USA

For further information, please contact:
Corporate Communications
Hena Ahmad, Senior Manager
Tel: +91 9999 600 622
Email: henaa@eigroup.in

www.exhibitionsindiagroup.com

Deputy Minister Derek Hanekom to address mining industry as it prepares to take advantage of the expected upswing

Thursday, October 29th, 2009

While the global mining industry has not been immune to the worldwide recession, the sector is already in an upswing and many mining houses are looking are looking at recent advances in technology to help them address the myriad challenges they face. MINE-Tech International 2009 next week assembles the foremost researchers, major and junior mining houses, and solution providers to the mining community, and showcases the latest technological advances and key global trends now available to the industry.

Expert speakers

The South African Deputy Minister of Science and Technology, Derek Hanekom, will present the keynote address on Tuesday, 3 November 2009:
The role of technology, innovation and human resource development in the mining sector.

Other topics and high-level speakers featured include:

* Eskom’s recently announced power hikes for the next few years will impact severely on the mining sector, which is responsible for 18% of the country’s total power consumption. Mining houses will have to increase their efforts to conserve power and ensure optimum efficiency of power usage.
o “Demand-Side-Management for power efficiency, cost savings and maximum productivity
Keith Arnold, Energy Engineer, Southern African Operations, AngloGold Ashanti, South Africa

* The Mineral and Petroleum Resources Development Act of 2002 requires all mining companies operating in South Africa to submit a Social and Labour Plan as a pre-requisite for the granting of mining or production rights. The Social and Labour Plan requires applicants for mining and production rights to develop and implement wide-ranging human resources development programmes, and are required to provide comprehensive reporting on the progress of these programmes.
Establishing Social and Labour Plan reporting mechanisms at your mine.

Sue Brandt, Managing Director, Managing Transformation Solutions, South Africa

* The recent spate of mine accidents has highlighted the need for an increased safety culture in the mining sector:
o Leadership rhetoric and reality in driving a positive safety culture

Alvin Vink, Development Specialist, Open-Book Consulting, Australia

o Advanced communication technologies supporting safe production
Anton Meyer, Senior Control Engineer, Barrick Gold Corporation, USA

o Systems engineering and safety design for operational effectiveness
Johann Holm, Director: Professional Services, Faculty of Engineering, North West University, South Africa

* Sourcing opportunities in China – strategic planning and procedures to access this market�

Kobus van der Wath, Managing Director, The Beijing Axis, China

* The Technical Skills Forum will review the current skills situation both in South Africa and abroad, look at strategies to address technical skills shortages and unpack issues such as workforce planning and development, skills retention, retrenchments, and linking training to business results.

Underwater mining: the new frontier

Mining companies are increasingly exploring the depths of the oceans to mine precious stones and metals such as diamonds, gold, copper, lead and zinc. The move to underwater and undersea mining is gaining momentum worldwide and will also be explored during the upcoming MINE-TECH International 2009 conference and exhibition at Gallagher Estate in Johannesburg from 2-4 November 2009.

Unlocking underwater resources is a relatively underexplored field in the mining sector. Undersea mining in southern Africa began off the west coast of Namibia with Texan oilman Sam Collins recovering his first diamonds in 1961. The mining of diamonds from the deep water (100 to 200 metres) off South Africa began recently, in 2007, by De Beers. The Underwater Mining Forum takes place on 2 November as part of MINE-TECH International 2009. This one-day workshop will look at the viability of underwater mining, operational and logistical requirements, and will provide a considered assessment of the current state of play, technologies and capabilities, as well as future developments. The Underwater Mining Forum will be hosted by Marine and Mineral Projects, an innovative engineering firm renowned for its technological advances in unlocking underwater resources.

MINE-TECH International 2009 will bring together suppliers to the industry, major and junior mining houses worldwide to explore technology innovations and ensure they are strategically positioned to take advantage of the predicted upswing in the global demand for resources.

For more information on the conference and exhibition and to download the complete
programme, go to the event website: www.minetechexpo.com

For more information on the conference contact:
Conference producer: Piera Abbott
Phone: +27 (0) 21 700-3500 EXT: 3545
Mobile: +27 (0) 76 130 5779
Email: piera.abbott@spintelligent.com

For media enquiries, accreditation and speaker interviews contact:
Marketing Manager: Annemarie Roodbol
Phone: +27 (0) 21 700-3500 EXT: 3558
Mobile: +27 (0) 82 562 7844
Email: annemarie.roodbol@spintelligent.com
More events by Spintelligent: www.spintelligent-events.com

    Venue and location:

Gallagher Convention Centre
19 Richards Drive
Midrand, Johannesburg
South Africa

Underwater mining the new frontier in the mining industry

Thursday, October 22nd, 2009

Mining companies are increasingly exploring the depths of the oceans to mine precious stones and metals such as diamonds, gold, copper, lead and zinc. The move to underwater and undersea mining is gaining momentum worldwide and will be explored during the upcoming MINE-TECH International 2009 conference and exhibition at Gallagher Estate in Johannesburg from 2-4 November 2009.

While the global mining industry has not been immune to the worldwide recession, the sector is already in an upswing and many mining houses are looking are looking at recent advances in technology to help them address the myriad challenges they face. MINE-Tech International assembles the foremost researchers, major and junior mining houses, and solution providers to the mining community, and showcases the latest technological advances and key global trends now available to the industry.

Underwater mining: the new frontier

Unlocking underwater resources is a relatively underexplored field in the mining sector. Undersea mining in southern Africa began off the west coast of Namibia with Texan oilman Sam Collins recovering his first diamonds in 1961. The mining of diamonds from the deep water (100 to 200 metres) off South Africa began recently, in 2007, by De Beers. The Underwater Mining Forum takes place on 2 November as part of MINE-TECH International 2009. This one-day workshop will look at the viability of underwater mining, operational and logistical requirements, and will provide a considered assessment of the current state of play, technologies and capabilities, as well as future developments. The Underwater Mining Forum will be hosted by Marine and Mineral Projects, an innovative engineering firm renowned for its technological advances in unlocking underwater resources.

More expert speakers
The South African Deputy Minister of Science and Technology, Derek Hanekom, will present the keynote address on:
The role of technology, innovation and human resource development in the mining sector.

Other topics and high-level speakers featured include:

* Eskom’s recently announced power hikes for the next few years will impact severely on the mining sector, which is responsible for 18% of the country’s total power consumption. Mining houses will have to increase their efforts to conserve power and ensure optimum efficiency of power usage.
o Demand-Side-Management for power efficiency, cost savings and maximum productivity
Keith Arnold, Energy Engineer, Southern African Operations, AngloGold Ashanti, South Africa

* The Mineral and Petroleum Resources Development Act of 2002 requires all mining companies operating in South Africa to submit a Social and Labour Plan as a pre-requisite for the granting of mining or production rights. The Social and Labour Plan requires applicants for mining and production rights to develop and implement wide-ranging human resources development programmes, and are required to provide comprehensive reporting on the progress of these programmes.

o Establishing Social and Labour Plan reporting mechanisms at your mine.
Sue Brandt, Managing Director, Managing Transformation Solutions, South
Africa

* The recent spate of mine accidents has highlighted the need for an increased safety culture in the mining sector:
o Leadership rhetoric and reality in driving a positive safety culture
Alvin Vink, Development Specialist, Open-Book Consulting, Australia
o Advanced communication technologies supporting safe production
Anton Meyer, Senior Control Engineer, Barrick Gold Corporation, USA
o Systems engineering and safety design for operational effectiveness
Johann Holm, Director: Professional Services, Faculty of Engineering, North West University,

South Africa

* Sourcing opportunities in China – strategic planning and procedures to access this market.

Kobus van der Wath, Managing Director, The Beijing Axis, China

* The Technical Skills Forum will review the current skills situation both in South Africa and abroad, look at strategies to address technical skills shortages and unpack issues such as workforce planning and development, skills retention, retrenchments, and linking training to business results.

MINE-TECH International 2009 will bring together suppliers to the industry, major and junior mining houses worldwide to explore technology innovations and ensure they are strategically positioned to take advantage of the predicted upswing in the global demand for resources.

For more information on the conference and exhibition and to download the complete
programme, go to the event website: www.minetechexpo.com

For more information on the conference contact:
Conference producer: Piera Abbott
Phone: +27 (0) 21 700-3500 EXT: 3545
Mobile: +27 (0) 76 130 5779
Email: piera.abbott@spintelligent.com

For media enquiries, accreditation and speaker interviews contact:
Marketing Manager: Annemarie Roodbol
Phone: +27 (0) 21 700-3500 EXT: 3558
Mobile: +27 (0) 82 562 7844
Email: annemarie.roodbol@spintelligent.com
More events by Spintelligent: www.spintelligent-events.com

Venue and location:
Gallagher Convention Centre
19 Richards Drive
Midrand, Johannesburg
South Africa

Business Technology Summit 2009

Wednesday, October 21st, 2009

Date: 3-4 November 2009, Bangalore | 6 November 2009, Mumbai

Website: http://www.btsummit.com
When it comes to business technologies, the noise is increasing. Business Technology Summit 09 is your filter. Saltmarch Media has created a focused summit programmed to make the most efficient use of your time. Centered on the theme “Shaping Your Enterprise in a Post Crisis World”, Saltmarch Media’s annual Business Technology Summit features a convergence of technologies that are enabling organizations to benefit from the flip side of Moore’s law and do the same for less.

From Nov 4-6 2009, the summit will feature the hottest technologies that will help shape enterprises in a post crisis world: SOA & Web Services, Cloud Computing, Virtualisation, Business Intelligence, Enterprise Content Management & Storage, and Information Security. A platform for software infrastructure, middleware and enterprise app vendors, the summit is India’s first, largest and single-most inspirational technology show attended by a serious audience of over thousand lively and thought-provoking IT practitioners and business leaders who will pose tough questions to the speakers, who are doing the best business technology work in the world. Speakers at the summit include leaders from the industry, independent voices, analysts, visionaries, and the innovative companies that are transforming the way we do business.

Speakers at BT Summit 2009 include Howard Charney (Creator of Fast Ethernet), Robert Marcus (Author of the Global Grid), Nils Puhlman (Co-founder, Cloud Security Alliance), Jinesh Varia (Amazon Web Services Lead), Robert Schneider (Analyst, Think88), Alan Pelz-Sharpe (Principal Analyst, CMSWatch) among others.

Business Technology Summit 2009 will be held at two cities in India – the Big Tent Technology Edition in India’s tech capital Bangalore (4-5 Nov’09), and the Executive Edition in India’s financial capital Mumbai (6 Nov’09).

Quick Facts about Business Technology Summit 2009

* 60+ focused sessions, keynotes, lightning talks, power panels and workshops

* The Best Speaker Lineup: Over 40 acclaimed speakers, visionaries, standard setters, and luminaries are expected from the world of SOA, Web Services, SaaS, ECM, and Virtualisation

* 1000+ Unique Qualified Attendees across the days of the summit
* Attendee Profile:

o Big Tent Technology Edition in Bangalore for Purchase Influencers: Software & IT Architects, Solution Engineers & Software Developers, IT Directors/IT Managers, Project Managers & Project Leaders, Network and Infrastructure Specialists, System Administrators, IT Consultants & Technology Evangelists

o Executive Edition, Mumbai for Decision Makers: a profiled group of 100+ CxO’s from various verticals such as Banking, Insurance, Retail, Media, Energy, Transportation, and Pharma/healthcare

* Important dates:
o Big Tent Edition, Bangalore: Main Conference: 03-04 Nov 2009
o Executive Edition, Mumbai: 06 Nov 2009
* Summit website: http://www.btsummit.com

Breast Cancer Awareness

Thursday, October 15th, 2009

SECURING FUTURE INVESTMENT IN AFRICA’S ENERGY SECTOR

Monday, October 12th, 2009

Africa’s developing energy sector is at risk of deterring prospective foreign investment if no decisive steps are taken to demonstrate the financial and long-term returns of doing business on the continent.

Africa needs to work towards developing strong credit worthiness and a viable track record of completed and successful projects to continue attracting investment and new initiatives in this vital sector, explains Dr Mohammed Abdel-Rahman, newly appointed energy advisor of the NEPAD Secretariat and steering committee member of the ENERGY INDABA 2010. Lowering the investment risk in the country would involve the establishment of a set of legislative tools together with the wise choice of priority projects, and result in the improved competitiveness of the African Energy sector.

The ENERGY INDABA will focus on the highs and lows of Africa’s energy projects with a discussion around the issues relating to energy infrastructure development projects that are happening and planned for the continent. This will include exploring the key factors that are making some successful and how obstacles were overcome and how this was achieved.

Coupled to unpacking the various energy projects, it is also important to assure the private sector that finance is available for developing and maintaining their energy projects and that they have the government’s support.

We need to also remember that even though energy investment in Africa is critical, there are other industries on the continent also fiercely competing for capital investment. Therefore to continue attracting investment in the continent and to this sector, we need a strong regional framework reflecting governmental support to help catalyse private sector investment to fill in the finance gaps for these projects, explains Dr Abdel-Rahman.

He adds that the Chinese and Indian involvement in energy projects across Africa should be viewed as a positive experience as we need to learn from them and use these as lessons so that other similar investments can bring in better deals.

However energy investors whether local or foreign have a duty to ensure that their projects are appropriate for a region at a given time. It doesn’t make sense to start developing an energy project in a region that isn’t prepared for the technology, skills or resources that are required, he explains.

Also under consideration is the need for regional integration among African countries as the sheer size and smaller economies of the continent’s countries may not always be able to receive the support to utilize the resources wisely. Africa is under electrified a hindrance for development but an opportunity for African people to work in these projects. It is an opportunity for the continent to gain exposure, to learn and to create able engineers, ends Dr Abdel-Rahman.

Note to Editors:

ENERGY INDABA 2010: A Time of Change

ENERGY INDABA 2010 A Time for Innovation, Solutions and Alternatives is the event theme chosen by the Steering Programme Advisory Committee for ENERGY INDABA 2010.

The flagship African energy event is an annual event on the Africa business calendar with a specific focus on exploring solutions for a new energy future for Africa. With the recent ever increasing world-wide attention to Energy, ENERGY INDABA 2010 provides an ideal platform to encourage debate as well as creating the stage for a networking climate conducive for companies and individuals to interact.

The event forms part of the African business calendar, which will promote sustainable development initiatives across the African continent.

DATES: 24 – 26 February 2010

WEBSITE: www.energyafricaexpo.com

ENQUIRIES: info@siyenza.za.com

South Africa’s REFIT Programme Starts to Take by Scott Brodsky

Thursday, October 8th, 2009

South Africa’s REFIT Programme Starts to Take
By Scott Brodsky, September 22, 2009

The latest public consultation by the National Energy Regulator of South Africa (“NERSA”) in relation to South Africa’s nascent Renewable Energy Feed-in Tariff programme (“REFIT”) concluded on 3 September with a full day of public hearings in Pretoria, South Africa. The consultation generated enormous interest, with NERSA receiving 72 written submissions and 19 presentations being made at the well attended public hearings. Presenters at the hearings congratulated NERSA on pushing forward with the REFIT programme, and on the progress made to date, but also noted the need to maintain momentum and a number of key issues and concerns still to be addressed.

In July, NERSA issued a consultation paper (the “Consultation Paper”) in relation to REFIT, NERSA’s proposed mechanism to encourage the development of renewable energy generation. The Consultation Paper followed the publication by NERSA in March of Regulatory Guidelines (the “Guidelines”). The Guidelines themselves followed an earlier consultation process undertaken by NERSA to determine the most appropriate mechanism for promoting renewable energy generation in South Africa. The result of this process was the selection of guaranteed pricing, or a “feed-in tariffâ€?, in preference to mandated renewable energy targets or obligations.

More recently, on 5 August 2009, the Government promulgated regulations entitled the “Electricity Regulations on New Generation Capacityâ€?. These Regulations, made pursuant to the Electricity Regulation Act 2006 (the “Act”), deal primarily with the process for procurement of new generation, including from independent power producers (“IPPs”), but they also include provisions which pertain
specifically to the procurement of new generation under the REFIT programme.

The Consultation Paper specifically requested comments from renewable energy industry stakeholders and other interested parties on the REFIT programme, including the qualifying principles and tariffs for the “Phase 2″ technologies set out in the Consultation Paper, the content, structure and risk allocation between the seller and the buyer under the draft REFIT PPA appended to the Consultation Paper, and more generally in relation to the Guidelines.

NERSA’s publications to date

The Guidelines describe the basic structure of the REFIT programme, including the roles of various parties in the programme, namely NERSA, Eskom and renewable energy generators. According to the Guidelines, Eskom’s Single Buyer Officeâ€? is to be appointed as the Renewable Energy Purchasing Agency (“REPA”), the exclusive buyer of power under the REFIT programme. Generators participating in then REFIT scheme are required to sell power generated by renewable technologies to Eskom as the REPA under a Power Purchase Agreement, and are entitled to receive regulated tariffs, based on the particular generation technology. Under the Guidelines, NERSA is tasked with the administration of the REFIT programme, including setting the tariffs and verifying that generation is genuinely from renewable energy sources.

The Guidelines initially published regulated feed-in tariffs for power generated from four renewable energy technologies – landfill gas, small hydro (less than 10MW), wind and concentrated solar power (“CSP”) with storage. These four technologies were selected initially as they were considered simple to implement a REFIT tariff for, and were regarded as the most established and proven of the numerous renewable energy technologies available. These first four tariffs are described as “Phase 1â€? of the REFIT programme. However, the Guidelines left open the possibility of further technologies being added to Phase 1.

The July Consultation Paper introduced tariffs in respect of a further six renewable energy technologies: concentrated solar power without storage, solid biomass, biogas, photovoltaic systems (large ground or roof mounted), concentrated photovoltaic (“CPV”), and concentrated solar power (central tower). These tariffs are referred to as Phase 2. Interestingly, NERSA excluded from the definition of “biomassâ€? projects utilising pulp and paper or sugar bagasse (the fibrous residue of sugar cane plants once processed), as well as projects based on mill water from industrial processes, and instead classified such projects as “cogenerationâ€?, and therefore outside the remit of the REFIT. A number of developers utilising these fuel sources requested that these fuel sources be included in the programme with an appropriate Cogeneration Feed-In Tariff (or “COFIT”).

The Consultation Paper included a form of power purchase agreement (the “REFIT PPA”), the form of which closely follows that of the PPA proposed for the Medium Term Power Purchase Programme (“MTPPP”), but customised in certain respects for the REFIT programme. Given its genesis in the MTPPP PPA draft, together with the changes that have been made to accommodate the REFIT scheme, a number of detailed comments on the REFIT PPA have already been provided through NERSA’s consultation process, with the aim of ensuring a balanced and bankable PPA.

Of note, the REFIT PPA, like the MTPPP PPA, is designed for self dispatched power generation (that is, power generation which is unpredictable and cannot be determined ahead of time due to the intermittent nature of the fuel source). For example, the REFIT PPA does not require the seller to make binding declarations of availability, but only requires the provision of estimated forecasted availability to the buyer. Nor, however, does the REFIT PPA include substantive terms regarding fuel. The exclusion of specific fuel provisions has given rise to questions from potential developers, as while the most obvious examples of self-dispatched renewable energy generation are wind and solar, which do not use a conventional fuel source, a number of other renewable energy technologies do in fact use a fuel source (albeit intermittent in its supply, such as biogas).

NERSA expressly acknowledged that the REFIT PPA appended to the Consultation Paper is for non-dispatchable energy sources, but has not confirmed whether it will publish a further model PPA for centrally dispatched renewable energy generation. Potential investors and project developers will want the opportunity to review and comment on the terms of a PPA for centrally dispatched renewable energy, as well as that for self-dispatched facilities, as the provisions regarding nominations, capacity, fuel, billing and default will be different for a centrally-dispatched facility than for a self-dispatching facility.

In addition to comments on the draft REFIT PPA, key issues that were raised at the public hearing included:

(i) the procurement process by which renewable energy will be sourced by NERSA under the REFIT programme, particularly in light of the Regulations;
(ii) the role of Eskom as the purchaser of energy from renewable energy developers, and in particular, NERSA’s ability to require Eskom (as the Single Buyer, and acting as the REPA) to enter into a PPA with a REFIT generator; and
(iii) the overall legislative and regulatory framework within which the REFIT programme will operate.

These issues are discussed in more detail below.

Procurement Issues

It is crucial to potential investors and developers to understand how projects will be selected for the REFIT programme. In many countries where a REFIT scheme has been adopted, licences are granted on a “first come, first served� basis. This has the benefit of encouraging prompt uptake and rewarding first movers. An alternative is for the regulator or other neutral body to conduct a tendering process to select developers on the basis of specified criteria (as has been the case for other power procurement programmes in South Africa, such as the IPP peaker projects, and the Pilot National Cogeneration Programme).

It is not entirely clear from the Guidelines and the Regulations how renewable energy developers will be selected or appointed to participate in the REFIT programme. On the one hand, the Guidelines state that applications to qualify as a renewable energy generator are to be made to NERSA in conjunction with an application for an electricity generation licence in terms of Section 10 of the Act. This seems to suggest a “first come, first served� approach, subject to the usual licence conditions NERSA applies when issuing licences. However, on the other hand, the Regulations suggest a different process.

While the Regulations deal generally with procurement under an IPP bid programme (defined in the Regulations to mean a bidding process for the procurement of new generation capacity and/or ancillary services from IPPs), and specify the use of a bidding process involving requests for prequalification, requests for proposals and negotiations with the preferred bidder, the Regulations set out a special process for the procurement of renewable energy and cogeneration under the REFIT programme, described in Regulation 7.

This Regulation states that NERSA is to develop rules related to the criteria for the selection of renewable energy IPP that qualify for a licence and sets out a list of matters that the criteria prescribed by NERSA should take account of. These include compliance with the integrated resource plan and the preferred technologies, the acceptance of the IPP of a standardised PPA, preference for projects demonstrating the ability to raise finance, and “preference for generators that can be commissioned in the shortest time.

It appears, therefore, that successful REFIT projects may not be selected through a conventional bidding process, but instead, applications will be selected on the basis of prescribed criteria. Just what such criteria are, and how they will be applied and weighted is not yet clear, but it is expected that this will be set out in the rules to be developed by NERSA as required by Regulation 7(2)(a).

As the rules governing the selection process for projects have not yet been developed by NERSA, it is currently unknown whether there will be maximum limits on generation capacity – either in terms of overall capacity that may be procured under the REFIT programme, or specifically in terms of particular renewable energy technologies. The Guidelines provide that the NERSA shall be permitted to bring in capacity limits on specific technologies in the future, thus implying that for the present time, there will be no caps on any of the technologies. Potential investors and developers will want to know whether there will be any limitations on their ability to participate in the REFIT programme at an early stage so they can plan accordingly.

While NERSA is stated in the Guidelines as being responsible for the administration of the REFIT programme, under the Regulations, selection of the preferred IPP is not in the hands of NERSA but as been divested to the system operator, subject to its application of the criteria prescribed by NERSA. As the system operator, Eskom will be the entity responsible for selecting participants in the REFIT programme. Potential investors and developers will not only want to know what criteria Eskom will apply in reviewing applications under the REFIT programme, but equally how Eskom will allocate new generation capacity between REFIT applications, other IPPs (under other IPP bidding programmes, such as Eskom’s proposed base load programme), and Eskom’s own build programme.

Eskom as Buyer

A key principle of the REFIT scheme enunciated in the Guidelines is the concept of a willing buyer and a willing seller. As noted above, Eskom’s Single Buyer Office has been appointed as the REPA to purchase all power generated pursuant to the REFIT programme, and NERSA proposes to amend Eskom’s licence conditions to expressly require it to be the purchasing authority. The appointment by Eskom as the purchaser of power under the REFIT scheme is in line with the Cabinet Decision in 2007 to designate Eskom as the single buyer, as well as the Regulations, which provide that the buyer (being the person designated by the Minister of Energy in terms of Section 34 of the Act, namely Eskom) must purchase all generation capacity procured pursuant to the REFIT programme. However, the requirement for Eskom to enter into PPAs appears to contradict the willing buyer, willing seller principle. In addition, exactly how and when NERSA intends to amend Eskom’s licence conditions to require it to be the REPA is not clear from the Guidelines or the Regulations.

It is important to potential participants in the REFIT programme to know at the outset that there is a buyer for the power they will generate. Should they enter into the procurement process and be successful in obtaining a generation licence for the REFIT scheme, they will need certainty that they will be able to conclude a binding PPA with an offtaker. Indeed, this goes to the bankability of the REFIT scheme – financiers will only lend funds to investors or developers with secure offtake arrangements.

Legislative and Regulatory Framework

Potential investors and developers will expect the final REFIT scheme to be demonstrably fair, transparent, clear, robust and stable. They are also likely to require that its structure be in place before they begin investing time and money in the scheme. This is usually achieved through entrenching the regime in law, as has been done in other countries.

On reviewing the Guidelines and the Regulations, it is not yet clear what further legislation regarding the REFIT programme will be enacted and the timelines for doing so. While the Guidelines state that it is intended that legislation and regulations will be enacted to implement the REFIT programme, they also refer to NERSA having the mandate to establish guidelines for the implementation of the REFIT, which guidelines are to be used in conjunction with the relevant legislation and regulations already in place.

This includes the Energy Regulator Act 2004, the Act, generation licence application procedures, and the transmission and distribution grid codes. On the other hand, the Regulations expressly provide that the Minister of Energy is charged with making guidelines relating to the REFIT programme, with which all parties to the REFIT programme shall be required to comply. Given the Guidelines released in March were issued by NERSA and not the Minister, their legal status is not clear. The ambiguity created from the current lack of alignment of various documents published so far raises the question of what further legislation is planned, and, crucially, its proposed timing.

Conclusion

The publication of both the Guidelines and the Consultation Paper, together with the promulgation of the Regulations and the consul-tation and public hearing process held recently, show that NERSA and the Department of Energy are making positive strides in progressing the development of the REFIT programme. However, as noted above certain fundamental aspects of the REFIT scheme require further development to achieve a meaningful REFIT programme in South Africa.

With the current momentum of the programme from the Government, and the huge interest from the private sector, there is excitement about the prospect that the REFIT programme will achieve its intended outcome to serve as a reliable, comprehensive and bankable framework for the development of much needed renewable energy in South Africa.

For more information, please contact Scott Brodsky at + 2711 911 4303 or sbrodsky@dl.com, Gregory Nott at + 2711 911 4301 or gnott@dl.com, Rachel Yurkowski at + 44 20 7459 5166 or ryurkowski@dl.com, or your Dewey & LeBoeuf relationship attorney.

About the author

Scott Brodsky
Dewey & LeBoeuf Johannesburg Energy & Project Finance Partner

Scott Brodsky is an energy and projects partner in the Johannesburg office of Dewey & LeBoeuf. He has more than two decades of experience advising sponsors, project companies, financiers, governments, and financial advisors on projects in Africa, the United Kingdom, Western, Central and Eastern Europe, the Indian sub-continent, and Asia. He has advised on a broad range of projects in the power, oil and gas, renewables, transport and other infrastructure sectors. Scott is recognized as a leading project finance lawyer in the 2009 Legal Experts Guide.

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CONTACT DETAILS
To secure your participation at this prestigious event, please contact:

Liz Hart
Tel: +27 11 463 9184
Fax: +27 11 463 8432
Email: info@siyenza.za.com

The European Corporate Counsel Summit 2009, hosted by marcus evans Summits

Monday, October 5th, 2009

The fifth annual European Corporate Counsel Summit, which took place on the 23 – 25 October 2009 at the prestigious Fairmont Le Montreux Palace, Montreux, Switzerland, was an immense success again.

The ECC Summit attendees followed a personalised agenda designed to maximise their limited time and to effectively meet their business needs and interests.

A great panel of speakers shared their views on the current Pharmaceutical market;

Nicola Walter Palmieri, General Counsel, Parmalat S.p.A., shared his views on the global economic crises.

Dr Richard Wessman, Professor, Uppsala University,talked about the protection of well known marks in the EU and US.

Ignacio de Castro, Deputy Director, WIPO Arbitration and Mediation Center, presented the alternative dispute resolution of IP and Technology Disputes.

Besides the strategic summit sessions led by some of the most prominent thinkers in Europe and beyond, the ECC Summit has been designed to provide a unique interactive forum for sponsors to present their products and services directly to key decision makers from Europe’s leading legal companies. Over three days, sponsors meet and interact with senior-level corporate counsels, through a number of business one-to-one meetings and many networking activities.

One week after the summit, 35% of the sponsors companies have already decided to participate in next year’s ECC Summit, which will take place in September 2010.

To quote the Partner of Oppenhoff & Partner, one of the Summit sponsors; The summit is a great opportunity to meet many interesting business contacts in a very efficient, but also enjoyable way.

marcus evans Summits (www.marcusevans.com), produces high level business platforms for the world’s leading decision-makers. These dynamic and innovative forums initiate and develop business relationships one to one between director and C level practitioners from the world’s most influential organisations and with leading product and service suppliers. marcus evans Summit’s guarantees an exclusive format which enables participants to achieve the maximum amount of business and knowledge interaction over a three day event in a stimulating environment.

Please note that the European Corporate Counsel Summit is a closed business event.

For more information

Kirsten Helders

Marketing Manager

Email: summits@marcusevanscy.com

www.eccsummit.com

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www.marcusevans.com

Kunduchi Hotel & Beach Resort, Dar es Salaam, Tanzania

Thursday, October 1st, 2009

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Kurduchi Hotel

Welcome to Kunduchi Beach Hotel and Resort, built in a stunning Afro-Arabic design with all the splendour of a Sultans’ Palace overlooking the pristine white sands of Kunduchi beach. The hotel is situated just 18km from Dar es Salaam International Airport and 24km from the city.

First class facilities that include: 148 Sea facing rooms 48 Serviced Apartments Tennis & squash Courts • State of the Art Conference rooms Gymnasium Massage & Beauty Parlour Business Center • Day Care Car Hire

Our meeting and conference facilities are designed to cater for the most elaborate event down to the simplest and our team of organizers are accustomed to coming up with solutions to fit your needs. And don’t forget our meeting facilities are complemented by well appointed guest rooms, expansive grounds with landscaped gardens, restaurants to suite every taste, 500 metres of pristine beach all nestled in a unique setting. Meetings have never been easier at The Kunduchi Conference Centre.