The Chinese government has shown "strong interest" in setting up factories in Africa, helping the continent develop a manufacturing base and boost its economy, the president of the World Bank said today.
While most attention on China's investment in Africa has focused on its large-scale pursuit of natural resources, experts say a growing number of the country's entrepreneurs are experimenting with production there.
However, some questioned whether the workshop of the world was ready to outsource much of its industry.
"There is not only willingness but strong interest among some in China, and I've discussed with the minister of commerce, Chen Deming, that there may be possibilities of moving some of the lower-value manufacturing facilities to sub-Saharan Africa, toys or footwear," Robert Zoellick, the president of the World Bank, told the Financial Times.
He suggested Chinese knowhow in production and marketing could boost Africa's declining share of international trade, but admitted infrastructure improvements were needed to attract companies.
It is thought the scheme might involve creating industrial parks -- possibly part-funded by the World Bank and China -- so companies could settle in quickly and operate more effectively.
The institution sees manufacturing as a missing element in the continent's development.
China is keen that its presence in Africa should be seen as more than a resources grab
Saturday, 05 December 2009
Friday, 04 December 2009
Pirates of Somalia
Somali pirates continue their attacks against international ships in and around the Gulf of Aden, despite the deterrent of stepped-up international naval escorts and patrols - and the increased failure rate of their attacks. Under agreements with Somalia, the U.N, and each other, ships belonging to fifteen countries now patrol the area. Somali pirates - who have won themselves nearly $200 million in ransom since early 2008 - are being captured more frequently now, and handed over to authorities in Kenya, Yemen and Somalia for trial. Collected here are some recent photos of piracy off the coast of Somalia, and the international efforts to rein it in. (30 photos total)
Monday, 30 November 2009
Host proposal at Copenhagen calls for 50 per cent cuts by 2050
But mid-term target is lacking for developing countries, leading to India's rejection of proposal
Cath Everett, BusinessGreen, 30 Nov 2009
The world should cut greenhouse gas emissions by 50 per cent by 2050 from 1990 levels, with most of the cuts coming from rich countries, according to a draft proposal from Denmark, which will host UN climate change talks next month.
A copy of the draft, which was seen by Reuters, could become the basis of a political agreement at the forthcoming summit in Copenhagen, which will take place between 7 and 18 December.
The text said that industrialised nations should generate a huge 80 per cent of the proposed global emissions cuts, and suggested that 2020 be endorsed as the year when such emissions should peak.
The draft also advocated that efforts should be made to keep average temperature rises across the world to within 2°C.
But no mid-term emissions target was specified for developed countries, even though this is a key demand of southern nations. As a result, India has already criticised it as a “dead end”.
Cath Everett, BusinessGreen, 30 Nov 2009
The world should cut greenhouse gas emissions by 50 per cent by 2050 from 1990 levels, with most of the cuts coming from rich countries, according to a draft proposal from Denmark, which will host UN climate change talks next month.
A copy of the draft, which was seen by Reuters, could become the basis of a political agreement at the forthcoming summit in Copenhagen, which will take place between 7 and 18 December.
The text said that industrialised nations should generate a huge 80 per cent of the proposed global emissions cuts, and suggested that 2020 be endorsed as the year when such emissions should peak.
The draft also advocated that efforts should be made to keep average temperature rises across the world to within 2°C.
But no mid-term emissions target was specified for developed countries, even though this is a key demand of southern nations. As a result, India has already criticised it as a “dead end”.
Westinghouse to fuel Koeberg
FUEL for Eskom’s Koeberg nuclear power plant will be provided by Westinghouse Electric Company’s Swedish operations.
In a statement today, Westinghouse said it had been selected by Eskom Holdings to provide 3 reloads of fuel for the Koeberg Nuclear Power Plant, north of Cape Town, from end 2011 to 2015.
“Under terms of the $30 million (about R220 million) contract executed with Westinghouse Electric Sweden AB, Westinghouse will produce fuel at its fabrication facility in Västerås, Sweden,” the statement added.
“We are pleased to be able to continue to assist the Republic of South Africa in its ongoing and successful effort to generate the safe, clean and reliable electricity necessary to fuel continued economic growth,” said Rita Bowser, regional vice president for Westinghouse Electric SA.
In a statement today, Westinghouse said it had been selected by Eskom Holdings to provide 3 reloads of fuel for the Koeberg Nuclear Power Plant, north of Cape Town, from end 2011 to 2015.
“Under terms of the $30 million (about R220 million) contract executed with Westinghouse Electric Sweden AB, Westinghouse will produce fuel at its fabrication facility in Västerås, Sweden,” the statement added.
“We are pleased to be able to continue to assist the Republic of South Africa in its ongoing and successful effort to generate the safe, clean and reliable electricity necessary to fuel continued economic growth,” said Rita Bowser, regional vice president for Westinghouse Electric SA.
Saturday, 14 November 2009
Eskom can put SA solar power on the map
RALPH BEROLD
Published: 2009/10/07 06:37:15 AM in Business Day
LAST month, the Development Bank of Southern Africa, the World Wildlife Fund and the Centre for Renewable and Sustainable Energy Studies of Stellenbosch University participated in and hosted a workshop on concentrated solar power (CSP), a form of renewable power generation proven in the US and Spain.
It has huge potential in sun-rich Africa. Desertec is one such project planned for north Africa to supply renewable power to the European Union. CSP could provide up to 25% of total global electricity needs. It is cost competitive and can provide a base- load alternative to new coal or nuclear generation without rising fuel costs, carbon emissions or nuclear waste.
Industry expert Louis van Heerden explained at the meeting how CSP uses the sun’s rays to heat a fluid (normally water or molten salt) driving a steam turbine to create electricity. One form is a parabolic trough, or Fresnel mirror arrangement, that focuses solar radiation on a pipe carrying the fluid, with or without a glass vacuum.
CSP is one of the technologies subsidised under the National Energy Regulator of SA’s new renewable feed- in tariff. A similar tariff worked well in Germany and Spain. At a generous R2,10 per kWh of solar power produced, the tariff makes the sector attractive to new developers and investors, including Spanish-based Abengoa Solar and Google-funded eSolar, as well as local banks and entrepreneurs.
A major injection of private investment into CSP would assist the government in meeting its target of procuring 10000 GWhs of renewable energy by 2013. It would go a long way to diversifying the energy mix away from carbon-emitting fossil fuels, so that we can meet our climate change commitments, as laid out in the Cabinet-approved long-term mitigation scenarios.
The fund’s Saliem Fakir argued that renewable energy offers the promise of much-needed job creation. CSP components such as low-iron glass, steel, cement and gearboxes can be bought locally, which would stimulate local businesses and create employment to counter job losses in the faltering textile and motor industries. CSP technology offers export opportunities to the continent and beyond, which could be assisted through relaxed tariffs, development loans, renewable grants and the UN’s clean development mechanism.
A competitive solar CSP (and photovoltaic) solar industry is feasible in the medium term, however, only if action is taken now. Higher allocations for research and development are necessary, as are a pipeline of appropriately skilled graduates and technology transfer and partnerships with world leaders in the field.
In the short term, it is essential to open the way for the renewable power industry. This means finalising a bankable power purchase agreement with independent power producers and starting to buy power from them that can be fed into the grid.
Eskom has a major role to play in facilitating these connections and adapting its architecture for distributed producers. The role of buyer would best be served by an independent system operator, freeing Eskom to be one of many sellers in an open and regulated market. A successful model for the region is the Nord power pool in Scandinavia.
With its own funding model clarified in a broader market environment, Eskom must play a strategic role in SA’s future energy mix. It needs to continue providing coal power to the grid while improving efficiencies and reducing emissions to support large industrial customers.
Due to its financial woes, Eskom has put its planned 100MW CSP plant for Upington on hold. To show SA is serious about climate change, and to signal a real shift to renewable sources, the estimated R2bn-R3bn of public finance for this project must be found. The flagship plant would stimulate local manufacturing, and break the ground for a necessarily ambitious renewable energy industrial policy, something like the Motor Industry Development Plan. A 100MW solar tower plant with storage capacity would be one of the largest of its kind in the world, and definitely put SA’s solar industry on the map.
n Berold is an independent energy analyst.
Published: 2009/10/07 06:37:15 AM in Business Day
LAST month, the Development Bank of Southern Africa, the World Wildlife Fund and the Centre for Renewable and Sustainable Energy Studies of Stellenbosch University participated in and hosted a workshop on concentrated solar power (CSP), a form of renewable power generation proven in the US and Spain.
It has huge potential in sun-rich Africa. Desertec is one such project planned for north Africa to supply renewable power to the European Union. CSP could provide up to 25% of total global electricity needs. It is cost competitive and can provide a base- load alternative to new coal or nuclear generation without rising fuel costs, carbon emissions or nuclear waste.
Industry expert Louis van Heerden explained at the meeting how CSP uses the sun’s rays to heat a fluid (normally water or molten salt) driving a steam turbine to create electricity. One form is a parabolic trough, or Fresnel mirror arrangement, that focuses solar radiation on a pipe carrying the fluid, with or without a glass vacuum.
CSP is one of the technologies subsidised under the National Energy Regulator of SA’s new renewable feed- in tariff. A similar tariff worked well in Germany and Spain. At a generous R2,10 per kWh of solar power produced, the tariff makes the sector attractive to new developers and investors, including Spanish-based Abengoa Solar and Google-funded eSolar, as well as local banks and entrepreneurs.
A major injection of private investment into CSP would assist the government in meeting its target of procuring 10000 GWhs of renewable energy by 2013. It would go a long way to diversifying the energy mix away from carbon-emitting fossil fuels, so that we can meet our climate change commitments, as laid out in the Cabinet-approved long-term mitigation scenarios.
The fund’s Saliem Fakir argued that renewable energy offers the promise of much-needed job creation. CSP components such as low-iron glass, steel, cement and gearboxes can be bought locally, which would stimulate local businesses and create employment to counter job losses in the faltering textile and motor industries. CSP technology offers export opportunities to the continent and beyond, which could be assisted through relaxed tariffs, development loans, renewable grants and the UN’s clean development mechanism.
A competitive solar CSP (and photovoltaic) solar industry is feasible in the medium term, however, only if action is taken now. Higher allocations for research and development are necessary, as are a pipeline of appropriately skilled graduates and technology transfer and partnerships with world leaders in the field.
In the short term, it is essential to open the way for the renewable power industry. This means finalising a bankable power purchase agreement with independent power producers and starting to buy power from them that can be fed into the grid.
Eskom has a major role to play in facilitating these connections and adapting its architecture for distributed producers. The role of buyer would best be served by an independent system operator, freeing Eskom to be one of many sellers in an open and regulated market. A successful model for the region is the Nord power pool in Scandinavia.
With its own funding model clarified in a broader market environment, Eskom must play a strategic role in SA’s future energy mix. It needs to continue providing coal power to the grid while improving efficiencies and reducing emissions to support large industrial customers.
Due to its financial woes, Eskom has put its planned 100MW CSP plant for Upington on hold. To show SA is serious about climate change, and to signal a real shift to renewable sources, the estimated R2bn-R3bn of public finance for this project must be found. The flagship plant would stimulate local manufacturing, and break the ground for a necessarily ambitious renewable energy industrial policy, something like the Motor Industry Development Plan. A 100MW solar tower plant with storage capacity would be one of the largest of its kind in the world, and definitely put SA’s solar industry on the map.
n Berold is an independent energy analyst.
Friday, 13 November 2009
Hogan slams interference in Eskom's affairs
November 12, 2009
Cape Town - Eskom on Thursday confirmed the departure of chief executive officer Jacob Maroga as Public Enterprises Minister Barbara Hogan lashed out at those who had launched a political campaign to keep him in the post.
"Mr Maroga's resignation was clear and unambiguous and was accepted," acting Eskom board chair Mpho Makwana told staff at Megawatt Park.
Hogan told the National Assembly that Makwana would also serve as Eskom's top executive until Maroga's replacement was found, hopefully within 90 days.
She had faced intense pressure to come to Maroga's rescue from groups who had turned the dispute between him and the board, under the leadership of chairman Bobby Godsell, into a "political crusade" and a "racial football", she said.
Maroga received massive public support from the ANC Youth League, the National Union of Metalworkers of South Africa and the Black Management Forum (BMF), which charged that parastatals had become "slaughterhouses" for black chief executive officers.
"We tried to pursue options of facilitation, mediation and arbitration, even a negotiated settlement. During this period, a demand arose," the minister said.
"As we were to discover, the subtext of this demand was in actual fact a demand that I, as minister, override the board and confirm a person in his position against the wishes of the board and all principles of corporate governance."
Hogan paid tribute to Godsell, who quit on Monday after meeting with President Jacob Zuma at the weekend. He cited a lack of support for the board's decision to accept Maroga's resignation.
Cape Town - Eskom on Thursday confirmed the departure of chief executive officer Jacob Maroga as Public Enterprises Minister Barbara Hogan lashed out at those who had launched a political campaign to keep him in the post.
"Mr Maroga's resignation was clear and unambiguous and was accepted," acting Eskom board chair Mpho Makwana told staff at Megawatt Park.
Hogan told the National Assembly that Makwana would also serve as Eskom's top executive until Maroga's replacement was found, hopefully within 90 days.
She had faced intense pressure to come to Maroga's rescue from groups who had turned the dispute between him and the board, under the leadership of chairman Bobby Godsell, into a "political crusade" and a "racial football", she said.
Maroga received massive public support from the ANC Youth League, the National Union of Metalworkers of South Africa and the Black Management Forum (BMF), which charged that parastatals had become "slaughterhouses" for black chief executive officers.
"We tried to pursue options of facilitation, mediation and arbitration, even a negotiated settlement. During this period, a demand arose," the minister said.
"As we were to discover, the subtext of this demand was in actual fact a demand that I, as minister, override the board and confirm a person in his position against the wishes of the board and all principles of corporate governance."
Hogan paid tribute to Godsell, who quit on Monday after meeting with President Jacob Zuma at the weekend. He cited a lack of support for the board's decision to accept Maroga's resignation.
Saturday, 26 September 2009
Nestlé announces R3,2bn capex to expand SA operations
Food manufacturer Nestlé South Africa would invest R3,2-billion in focused investment over the next five years to increase its competitiveness, outgoing chairperson and CEO Yves Manghardt announced on Wednesday.
The capital expenditure (capex) would be used to expand and upgrade its existing factories and distribution centres across South Africa, as well as on ensuring its environmental sustainability.
The company, which would now be led by former chairperson and CEO of Nestlé Malaysia, Sullivan O'Carroll, had already spent about R1,8-billion in capex projects in the past five years, said Manghardt.
Economic Development Deputy-Minister Gwen Mahlangu-Nkabinde said that it was encouraging to see Nestlé's continued investment in South Africa, especially given the global economic crisis, which led to the risk that some multinationals might want to dismantle their capacity and move their investments elsewhere in the world.
Meanwhile, Manghardt noted that Nestlé South Africa had made great strides in improving its transformation in the past few years, having gone from non-compliance to a level five black economic-empowerment contributor.
This was achieved, despite it not having scored any points on the scorecard in terms of ownership.
However, the food manufacturer was working on the issue of BEE ownership. It had previously identified one potential BEE partner, as part of the sale of an asset, but the deal did not go ahead.
It was working on a couple of options, which could in the next two to three years help the local company in making some progress in terms of BEE ownership, said Manghardt.
Nestlé South Africa was expecting to achieve double digit growth in sales of close to 15% and an overall turnover of R8,5-billion in the current year, he added.
O'Carroll, who started his career at Nestlé in 1973, would take over as CEO on October 1, when Mangardt takes up his new role as chairperson and CEO of Nestlé Middle East.
O'Carroll would be the first South African to lead the local arm of the group, since 1994. He was formerly the CEO of Nestlé Malaysia.
Edited by: Mariaan Webb
The capital expenditure (capex) would be used to expand and upgrade its existing factories and distribution centres across South Africa, as well as on ensuring its environmental sustainability.
The company, which would now be led by former chairperson and CEO of Nestlé Malaysia, Sullivan O'Carroll, had already spent about R1,8-billion in capex projects in the past five years, said Manghardt.
Economic Development Deputy-Minister Gwen Mahlangu-Nkabinde said that it was encouraging to see Nestlé's continued investment in South Africa, especially given the global economic crisis, which led to the risk that some multinationals might want to dismantle their capacity and move their investments elsewhere in the world.
Meanwhile, Manghardt noted that Nestlé South Africa had made great strides in improving its transformation in the past few years, having gone from non-compliance to a level five black economic-empowerment contributor.
This was achieved, despite it not having scored any points on the scorecard in terms of ownership.
However, the food manufacturer was working on the issue of BEE ownership. It had previously identified one potential BEE partner, as part of the sale of an asset, but the deal did not go ahead.
It was working on a couple of options, which could in the next two to three years help the local company in making some progress in terms of BEE ownership, said Manghardt.
Nestlé South Africa was expecting to achieve double digit growth in sales of close to 15% and an overall turnover of R8,5-billion in the current year, he added.
O'Carroll, who started his career at Nestlé in 1973, would take over as CEO on October 1, when Mangardt takes up his new role as chairperson and CEO of Nestlé Middle East.
O'Carroll would be the first South African to lead the local arm of the group, since 1994. He was formerly the CEO of Nestlé Malaysia.
Edited by: Mariaan Webb
Subscribe to:
Posts (Atom)
Posts
