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South Africa's State-owned Transnet National Ports Authority (TNPA) has shortlisted three consortia to participate in an upcoming bidding process to design, fund and construct a greenfield deep-water port at Boegoebaai in the Northern Cape, as well as rail infrastructure linking the port to mines in the province.

Located some 20 km south of Alexander Bay, which is close to the Namibian border, sun-drenched Boegoebaai has also been earmarked as a possible site for the development of a green-hydrogen hub.

The Boegoebaai Port & Rail Consortium, the Boegoebaai Development Consortium and the Project Elephant Consortium were named as the three consortia selected following a request for qualification process that was initiated in August last year and which attracted eight respondents.

TNPA did not immediately disclose the identities of the companies participating in the qualifying consortia, but revealed that the eight respondents included both local and international companies with engineering, construction, funding and logistics experience.

Boegoebaai programme director Magenthran Ruthenavelu indicated that the port and rail infrastructure would provide another export channel for mining commodities such as manganese and a possible outlet for the export of green-hydrogen derivatives such as green ammonia.

The Boegoebaai Green Hydrogen Development has been included as a Strategic Integrated Project (SIP) for accelerated development under the country's Infrastructure Development Act, while Sasol is leading a feasibility study to explore the potential of the site as an export hub for green ammonia

A request for proposals would now be issued to the qualifying respondents but no timeframe has as yet been provided for bid submission, financial close and construction.

The World Bank's private sector financier, the International Finance Corporation (IFC), has indicated a willingness to fund public-private partnerships (PPPs) aimed at expanding and strengthening South Africa's transmission infrastructure.

IFC VP for Africa Sérgio Pimenta tells Engineering News that the private sector already plays a significant role in deploying electricity grids in most developed countries and some emerging markets and that South Africa is well-placed to pilot such PPPs in light of the urgent need to expand the domestic grid, particularly in provinces with potent wind and solar resources.

"When you look at how electricity networks or systems have been evolving across the world, generation has been the first area where the private sector has comes in, but in developed markets, transmission is also delivered by private sector companies.

"I think South Africa has the conditions to actually pilot this type of initiative in Africa and, if well-structured, such projects would attract private sector financing, including from the IFC," Pimenta said during a visit to South Africa this week.

Electricity Minister Dr Kgosientsho Ramokgopa has already warned that South Africa can ill-afford to "kick the can down the road" in the area of grid investment as it did in the early 2000s with generation, which has resulted in daily power cuts.

Ramokgopa has also indicated that he sees a potential role for PPPs in delivering much-needed grid infrastructure, probably on a build-operate-and-transfer basis, with State-owned Eskom remaining the sole custodian of the network.

The development of transmission infrastructure has also been included for specific support under the $8.5-billion Just Energy Transition Partnership, or JETP, which the World Bank Group is backing.

Pimenta says that if there is a requirement for private-sector funding under the JETP, the IFC could play a role, noting that this could take various forms, with support for South Africa's decarbonisation and energy transition having been identified as a top priority.

The IFC is also closely monitoring the progress of the reforms being undertaken by the South African government across the rest of the energy sector, as well as in the area of freight logistics.

While acknowledging that such reforms are always difficult to implement, Pimenta believes ongoing progress will help materially increase the opportunity for the IFC to fund private companies pursuing fixed investments in South Africa.

"If we see an opening in the transmission sector, for instance, that will unlock hundreds of millions, if not billions, of dollars that we could deploy," he says.

The IFC expects the pipeline of port and rail financing prospects to grow significantly as Transnet implements concessions and pursues long-term lease agreements.

The development financier has invested $4.9-billion in South Africa since 2018, elevating the country to that of a major component in its $13.3-billion Africa portfolio, which spans the financial, manufacturing, agribusiness, services, property and infrastructure sectors.

"South Africa is our largest portfolio on the continent and it's our fifth-largest portfolio in the world," Pimenta notes.

The IFC will also continue to support mining projects in South Africa, particularly those aligned to producing the critical minerals required for the global energy transition.

It will also prioritise support for the development of regional value chains to process those minerals ahead of export.

"South Africa is very well positioned to lead this kind of effort, not just with the minerals that are mined in South Africa, but also those that are produced in some other countries in the region."

Around 83% of people stopping at a service station for fuel also shop at the forecourt retail offering, says Trade Intelligence business development and advisory lead Andrea Ellens.

Only 4% of customers fill up with fuel only, with 13% there for forecourt shopping only, such as the Spar Express or the Woolworths Foodstop.

The retail research company says this highlights the importance of the retail offering at service stations, and the need to move beyond fuel, especially in light of the changes expected in mobility, such as the use of electric vehicles.

Forecourt retailing is a R40-billion-a-year industry in South Africa, which gives it a 15% slice of the overall commerce retail market, and 5% of the total fast-moving consumer goods retail market in South Africa.

Fuel station visits in South Africa are, on average, 12 minutes long, notes Ellens.

The average South Africa visits a forecourt ten times a month.

Looking at forecourt store visitors specifically, 52% are female and 48% male; 68% have children in the household; 77% access the Internet daily; and, interestingly enough, only 79% have a car in the household.

A number of shoppers are either passengers in cars; they walk; or they use public transport, says Ellens.

The number one reason people select a specific forecourt is because of its convenient location (47%); followed by the fact that it is quick and convenient to shop there (44%); excellent customer service (39%); the specific fuel rewards linked to the service station (31%), and the fast-food on offer (27%).

The most popular activities at a service station are buying snacks and drinks; drawing cash; using the bathroom and buying fast food.

Ellens says there is a trend globally to elevate the shopper experience at service stations into something more upmarket, such as the Engen Café 365 and The Pantry, in Johannesburg.

Not only are service stations facing a move to electric mobility, but also increasing competition for their specific shopper segment, as big-name retailers are expanding into new areas with smaller store concepts that rival those seen at forecourts.

E-commerce is also another element offering increasing competition.

Ellens says the future of convenience retail includes a need to move beyond speed; offering an expanded retail experience; offering a curated product line-up; and focusing on the fresh, original and new.

The South African government has expressed concern that its plans for the addition of new renewables capacity could be disrupted should a legal challenge launched against Eskom's recently announced grid allocation rules prevail and has also indicated that it would favour a settlement instead.

G7 Renewable Energies, together with two of its wind farm companies, has launched a two-part application to, firstly, interdict the implementation of Eskom's Interim Grid Capacity Allocation (IGCA) rules, which came into force on June 27, as well as to have the rules reviewed and set aside based on their alleged illegality under the Promotion of Administrative Justice Act.

Eskom revised its grid rules following Bid Window Six (BW6) of the public renewables programme, when none of the 23 wind projects vying for a 3 200 MW allocation were able to advance to preferred-bidder status after it emerged that budget quotes for the same grid capacity on which the projects were bid had, instead, been allocated to companies pursuing bilateral contracts with private offtakers.

The IGCA framework unveiled on June 27 replaced the previous 'first come, first served' approach with a 'first ready, first served' model, which Eskom said was necessary to ensure that only shovel-ready projects were granted grid capacity in a context of severe grid scarcity in certain regions.

The initial industry response was cool, with all the associations describing the new rules as "onerous". Nevertheless, it was indicated that engagements would continue and that further adjustments might be made in future to accommodate the concerns raised by independent power producers.

On July 17, however, G7 Renewable Energies launched an application in the Gauteng High Court to interdict the implementation of the IGCA and to have them declared illegal.

Speaking during a regular briefing to provide an update on the progress government was making to implement the Energy Action Plan, the Presidency's Rudi Dicks confirmed that government was aware of the legal challenge and stated that "if the interdict is granted, it does create a problem for us".

"So, what we need to do, of course, is try and see whether we can find a resolution outside of court," Dicks added.

He also noted that, while Eskom and government were aware that concerns had been raised about the rules, there had already been efforts taken to address these issues.

"In actual fact, on the 13th of July, we had convened a meeting with industry - with the wind and the photovoltaic associations and Business for South Africa, who are participating in National Energy Crisis Committee (NECOM) structures - to discuss the concerns."

He said that the conversations had been "fruitful and constructive" and that Eskom had indicated that it would take the issues raised into consideration so that the rules could be adapted.

Electricity Minister Dr Kgosientsho Ramokgopa said that, while he could not intervene in a court process, he was keen to ensure that there was "some degree of harmony" around the grid rules.

"I'm convinced that everyone is committed to ensuring that we're able to resolve the energy challenge in the country, and also ensuring that we're able to introduce new sources of generation, especially from renewable energy sources.

"So, of course, there's a court process and we will not interfere with that . . . but we'll do everything possible to ensure that we engage with the parties, including G7 themselves, to see how best we can find a resolution that, first, addresses the best interests of the country, but without undermining the financial interest of the players in the renewable energy space," Ramokgopa said.

Should such efforts fail, however, there is concern that BW7, which is meant to be launched in September for 5 000 MW, could be delayed.

South African Independent Power Producer Association chairperson Brian Day, who had also expressed unease with the rules when they were published, told Engineering News that the court ...

BMW Group South Africa will introduce the electric CE 02 motorbike to the South African market in the second quarter of next year.

The CE 02 is neither e-scooter nor e-motorcycle. The German car and bike maker calls it an 'eParkourer for cities and urban areas'.

Parkour refers to the athletic discipline of urban gymnastics that make use of elements typically found in cities, such as staircases.

BMW says the CE 02 has been created with the city and the urban environment in mind.

"Nimble, practical, robust and reduced to the essentials in terms of design.

"Large wheels meet the demand for robustness and, at the same time, ensure riding fun on many terrains."

The 11 kW CE 02 has a top speed of 95 km/h, and offers a range of more than 90 km before requiring recharging.

The bike weighs 132 kg and the seat-height is a low 750 mm.

The BMW CE 02 comes with Flow and Surf riding modes as standard.

Flow offers the ideal set-up for cruising in urban traffic, while Surf provides a more dynamic riding experience beyond city traffic.

The Flash driving mode is optional, and speaks for itself.

The CE 02 comes standard with an external charger with a charging power of 0.9 kW, which enables recharging at standard household sockets.

A 1.5 kW quick charger offers a quicker turnaround time, but is an optional accessory.

In front of the rider, a display informs the rider about riding speed and battery charge status.

A USB-C charging socket allows the rider to supply power to a smartphone.

Engineering News editor Terence Creamer discusses the growing concern about another potential outage slip at the Koeberg nuclear power station, as well as what it could mean for loadshedding and the long-term operation of the plant.

Calls are growing for government to overhaul its free basic energy (FBE) scheme amid indications that fewer than a quarter of qualifying indigent households are benefiting from the 50-kWh-a-month currently on offer and with the scale of the grant being described as insufficient to reduce poverty and inequality.

Public Affairs Research Institute senior researcher Dr Tracy Ledger argues that, given evidence showing electricity's developmental returns to be as large or larger than any of South Africa's other social welfare interventions, universal access should be elevated to the same level as access to education.

"I think we need to start thinking about electricity in the same way that we think about education.

"We understand that even though the benefits of education accrue to the individual, overall, the whole of society and the whole of the economy benefits . . . it would be extremely short-sighted of any government to say, 'oh, well, if you're too poor to pay for an education, you can't have one'," Ledger argued during a Presidential Climate Commission dialogue on energy poverty.

She also reiterated the call she and co-author Mahlatse Rampedi made in their book Hungry for Electricity for the monthly FBE allocation to be increased to 350 kWh, which they argue to be the minimum threshold at which electricity begins yielding meaningful socioeconomic benefits.

"The main reason why grid-connected households cannot access that amount of electricity currently is because of the cost," she explained, indicating that it currently cost a low-income household with a pre-payment metre about R800 to buy R350 kWh.

"To put that in context, 55% of South African households have a monthly income of less than R6 000 a month, which means R800 rand a month is nearly 15% of their monthly income."

Many poor households are, thus, currently having to choose between electricity and food, which is increasing levels of food insecurity and malnutrition.

Compounding matters is the fact that only 25% of indigent households are receiving their FBE allowance, owing to the fact that many municipalities are failing to maintain indigency registers and are using funds specifically provided for FBE under the equitable share elsewhere.

The National Treasury's Malijeng Ngqaleni acknowledged the monthly 50 kWh to be inadequate but said increasing the allocation under the current arrangement would not alleviate energy poverty, as its analysis shows that many municipalities are currently diverting the funds away from the intended recipients.

A total of R57.6-billion has been set aside for FBE for the current three-year expenditure period to 2025/26, but the National Treasury was concerned that there could be "significant fiscal leakage".

Ledger agreed that implementation had to be materially improved before increasing the size of the benefit and also proposed major, albeit controversial, changes to the way the scheme is implemented in future.

Eskom, she noted, should be supplying about five-million indigent households, but was supplying only about 800 000 currently, as the utility is reliant on the indigent list being supplied to it by the municipalities.

"I think there's a good case to be made for diverting that part of the equitable share that should end up in Eskom anyway, directly to Eskom, and let Eskom register those indigent households."

Eskom's Onicah Rantwane reported that the utility was indeed engaging with government on the possibility of ring-fencing the costs allocated for customers in Eskom-supplied areas and having those amounts paid to Eskom directly.

However, she argued that there was also an urgent need to restructure the retail tariff to reflect unbundled costs, as changes under way in the electricity sector meant that pro-poor policies, such as the inclining block tariff (IBT), would begin penalising poor consumers over time.

"Customers investing in alternative energy sources and energy efficiency are usually relatively affluent. Under the IBT,...

Toyota South Africa Motors (TSAM) has confirmed that it is targeting the introduction of a mild-hybrid Hilux bakkie to the South African market next year.

TSAM adds that the hybrid version of South Africa's best-selling vehicle will be produced at its Prospecton plant, in Durban, alongside the rest of the Hilux range.

The hybrid Hilux will add to the Corolla Cross hybrid, also assembled at the Durban plant.

The new addition will take the domestic automotive industry's hybrid production to five models by the end of 2024 - the Hilux and Corolla Cross mild hybrids, the Mercedes-Benz C-Class plug-in hybrid (PHEV), and the forthcoming Mercedes-Benz C63 AMG PHEV and the BMW X3 PHEV.

Toyota in June conducted a demonstration run of the Hilux mild hybrid electric vehicle (MHEV) concept model at Kasarani, Kenya, during the seventh round of the World Rally Championship (WRC).

The concept vehicle was driven by four-time WRC champion and former Toyota world-title winner Juha Kankkunen from Finland, with co-driver Jimmi Gathu, local Kenyan media personality and actor.

"I'm 100% sure that this type of car will fit in Africa very well because there are still long-distance drives and it's very difficult to charge electric cars," said Kankkunen following the drive.

"You can save fuel, which means less carbon dioxide. Africa is a good market for this kind of car...That is the future."

Toyota earlier this year announced that it will take a multi-pathway approach to carbon neutrality, presenting various options that are fit-for-purpose to each region, under the policy of 'leaving no one behind'.

In light of the often unstable electricity supply in Africa, the Japanese car maker believes that MHEVs are the continent's most viable entry point into the electric vehicle market, as they do not require charging infrastructure, while also making use of existing refuelling infrastructure.

Eskom's system operator GM, Isabel Fick, does not foresee the Western Cape power grid being materially destabilised if both of Koeberg's two nuclear reactors are out of service simultaneously later this year, owing to yet another Unit 1 outage slip.

She noted during a webinar that the two Koeberg units had been out of service simultaneously for 48 hours on April 15, without triggering major grid instability in the province, which is also supported by a 765 kV transmission network that transports electricity from the north-east of the country.

"There is quite a bit of stability in the Western Cape even without the Koeberg units and mainly due to the 765 kV backbone network that goes into that area.

"So, we don't foresee a major issue as a result. You would need an extra contingency, as in the 765 kV line going down, before you will see a major issue there."

That said, Fick confirmed that, from a system perspective, she would currently "love any nuclear" she could get but that adding new nuclear would be a decision for the policymaker rather than Eskom.

Her assurances regarding the loss of Koeberg generation followed confirmation by Electricity Minister Dr Kgosientsho Ramokgopa that there was a possibility that Unit 1, on an extended outage linked to a 20-year life extension plan that has been under way since December, might not be returned to service before Unit 2 was taken down for a similar outage, which would also include the replacement of its three steam generators.

The Unit 1 outage, which has been delayed several times, finally began on December 10 and was initially scheduled to continue for about 180 days and return to service in June.

By March, however, Eskom confirmed that the initially communicated return to service date was no longer achievable, but indicated that it would be reintroduced before Unit 2 was shut in September for a similar outage.

It is understood that Unit 1 may now be returned only in October, by when the Unit 2 outage will be under way leaving the loadshedding-prone South African grid without generation from either of the 920-MW-a-piece units.

"I've asked for a more detailed report, and the more we get an indication of what the issues are, the more we are getting very, very, very worried. It is something that requires urgent attention," Ramokgopa said on June 17 ahead of a meeting with the Koeberg leadership.

Meanwhile, the Council for Scientific and Industrial Research (CSIR) Energy Centre's Monique le Roux confirmed that modelling had been conducted to assess whether the Western Cape grid could operate stably in the absence of Koeberg.

"I can confirm that the system is able to runs stably as it is now . without Koeberg.

"Obviously, Koeberg does provide a lot of stability to the Western Cape grid and that stability could be affected by a higher penetration of variable renewable energy in future, but there are mitigation strategies that can be put in place," Le Roux said.

She reported that the CSIR was working with Eskom to understand the possible system risks of transitioning from conventional plants, such as coal and nuclear, to variable generators, such wind and solar photovoltaic.

The research has confirmed that the displacement of conventional generators with renewable generators will lead to the erosion of system inertial energy, which slows the rate at which system frequency changes in the event of a grid disturbance.

The model has been stressed tested using various mitigation measures that would have to be introduced to address inertia erosion as conventional synchronous generations are progressively replaced with inverter-based renewables.

Possible solutions identified include the conversion of retiring generator units to synchronous condensers, as is being proposed at the decommissioned Komati site, as well as introducing fast-frequency response through battery storage systems.

However, Le Roux reported that various other options were also being assessed for increasing instantaneous re...

The Maltento insect farm started as a small, test-scale operation in a home bathroom in Craighall Park, Johannesburg.

Almost seven years later, founder and CEO Dean Smorenburg has seen the operation evolve into a fully-fledged business based in Epping, Cape Town.

Smorenburg says his decision to pivot from management consulting to insect farming stems from his interest in sustainability.

Insect farming, and to be more specific, fly farming, is no longer new or novel, with this biotech sector rapidly gaining traction globally.

Smorenburg's take on the industry is to not call Maltento a waste management company, as some fly farmers tend to do.

This means he doesn't want to use the legions of black soldier flies (BSFs) at Maltento to feed on unwanted waste, such as abattoir leftovers.

Instead, his goal is to create a consistently high-quality product, which means Maltento's livestock must have a consistently high-quality diet.

"We have a PhD looking after the diet of the insects to make sure we produce good-quality products throughout," says Smorenburg.

This philosophy sees Maltento's livestock flourish on a diet which includes spent grains from breweries, as well as ground-up rusks.

Larvae are typically harvested at day 11 or 12.

The Epping facility - which started out at 1 600 m2 and has since expanded to 5 500 m2 - produces whole dried fly larvae for the backyard chicken and wild-bird markets, mainly in the US.

It also produces a product called Digest or Palate+ from dehydrated larvae, which is a high-protein flavourant or palatant used to coat dry pet kibble to enhance the overall feed experience.

"In taste tests, dogs choose our product over other products," says Smorenburg.

"Of course, we also have to make sure that their human owners like the smell."

Digest is sold mainly in South Africa, but trials are ongoing in the US and Europe to expand Maltento's market.

A second focus for the company is the aquaculture market, with trials currently on the go in various African markets, as well as the US.

Here the Digest product is added to fish feed, especially on trout farms.

"With a 3% inclusion of our product we have seen the fish gain weight, while there is also a drop in the mortality rate," says Smorenburg.

"Aquaculture is definitely a big opportunity for us going forward."

Another opportunity on the horizon is the production of chitosan, although this may take longer to develop.

Chitosan is a sugar that comes from the outer skeleton of shellfish, including crab, lobster and shrimp - as well as fly larvae.

It's used in a number of industries, from the pharmaceutical sector to cosmetic production.

Here, Maltento will target the cosmetics industry first, says Smorenburg.

"Our long-term view is to unlock the BSF's value in its totality."

In order to accommodate Maltento's plans, the Epping facility will have to expand yet again, this time to around to 7 000 m2.

The urban farm has two arms - the production of sellable product, as well as the breeding of new livestock.

Maltento currently rolls out 75 t of product a month, and aims to double that to 150 t a month next year.

"We are currently in the early commercialisation phase," notes Smorenburg.

"Ultimately, we want to have multiple plants, near large feed sources, which will reduce our carbon footprint and our input costs."

This could mean an expansion to Gauteng, for example, as well as the rest of Africa.

Maltento employs 65 people.