SA: Statement by the Department of Energy, invites public comment on Gas Amendment Bill (02/05/2013)

2nd May 2013

Natural gas was formally legislated for the first time through the Gas Act, 2001 (Act No. 48 of 2001) by the then Department of Minerals and Energy. In response to changes in the gas industry landscape and foreseeable future changes, the Department of Energy embarked on a process of amending the Gas Act.

Orderly development of natural gas is critical in ensuring security of energy supply, with natural gas featuring prominently in our energy mix, for economic growth and competitiveness. Unless the current loopholes and omissions in the Gas Act are addressed, the country runs the risk of an underdeveloped natural gas sector throughout the value chain and the consequent failure to ensure security of energy supply.

The Draft Gas Amendment Bill seeks to, amongst others, review compliance monitoring and enforcement in the natural gas sector, to incorporate new transportation technologies of natural gas as well as other unconventional gases not explicitly included in the current Gas Act. It addresses loopholes, omissions, and challenges as experienced and identified by the department, the National Energy Regulator of South Africa (NERSA) and other players in the process of implementing and/or enforcing the Gas Act.

It further intends to address new technological advancements in both conventional and unconventional gas, including transportation medium such as liquid natural gas (LNG) and compressed natural gas (CNG). The Draft Gas Amendment Bill will align activities and provide improvements that will assist the attainment of the objectives set out in the Gas Act.

The Draft Gas Amendment Bill was presented to Cabinet for consideration on 28 March 2012 as approved by the Minister. It was returned for the department to, amongst others, consult specific departments within the Economic and Infrastructure Development Cluster. Consultations with the relevant departments were undertaken and their comments were duly incorporated into the draft Bill.

The State Law Adviser pre-certification opinion and pre-certified bill was obtained on the 14 February 2013. Cabinet approved the Draft Gas Amendment Bill for publication to solicit public comments on 17 April 2013. The window period for the submission of comments remains open until 3 July 2013. However, stakeholders are urged to submit comments well within this period to assist the department to duly consider them and, where applicable, incorporate them in the Bill sooner.

The gas amendment bill is accessible on the Department of Energy website; www.energy.gov.za or can be accessed on the government website; www.gov.za.

For any enquiries, members of the public are encouraged to contact the following officials of the department:
Ms Stella Mamogale
Tel: 012 406 7529
Cell: 083 705 9043
E-mail: stella.mamogale@energy.gov.za

Mr Bulelani Ncanywa
Tel: 012 406 7537
Cell: 073 119 3916
E-mail: Bulelani.ncanywa@energy.gov.za

Written comments / submissions may be hand-delivered to:
The Department of Energy, 192 Visagie Street (Cnr. Paul Kruger & Visagie Street), Pretoria, 0001; or Posted to: The Department of Energy, Private Bag X 96, Pretoria, 0001.

For media enquiries:
Johannes Mokobane
E-mail: johannes.mokobane@energy.gov.za / mediadesk@energy.gov.za
Tel: 012 406 7481
Cell: 082 766 3674

Zodwa.Batyashe
Tel: 012 406 7484
Cell: 082 455 9796
E-mail: Zodwa.batyashe@energy.gov.za / mediadesk@energy.gov.za