Issued by: The Ministry of Mineral and Energy Affairs
MEDIA RELEASE BY THE MINISTER OF MINERAL AND ENERGY AFFAIRS, MR R F (PIK) BOTHA
Pretoria 25 October 1995
The launching of a new initiative to electrify 2,5 million rural homes by 2015, was announced by the Minister of Mineral & Energy Affairs, Mr R F (Pik) Botha, at the National Energy Governance Workshop held in Pretoria on Tuesday 24 October 1995.
At the centre of the programme will be REFSA, a wholly-owned subsidiary of the Central Energy Fund, the state-owned energy holding company.
REFSA will co-ordinate and finance the provision of electricity- generating photovoltaic cells - solar energy - to rural communities. The financing will be sourced from the Department, the RDP and outside sources through the RDP office. These solar units will be sold to the communities concerned and paid for on terms still to be decided.
The purchase price gradually met by the purchasers will then be applied again to finance other purchasers via a Revolving Credit Fund. Overheads will be minimised. Provincial and local government as well as the private sector and NGOs will be involved. Consumers of solar energy will be trained in making use of the electricity provided to them as well in carrying out simple maintenance tasks. Local entrepreneurs will be trained to perform more complex maintenance and repairs as well as eventual installation.
The United States is showing great interest in assisting us with this programme.
The REFSA initiative dovetails well into ESKOM's off-grid rural school electrification programme and the Independent Development Trust's project to do the same for rural clinics. Together these three projects will bring new light to our rural inhabitants in more than one sense of the word.
This programme is also essential if we are to reduce rural dependence on traditional biomass fuels - one of the most serious crisis which our country faces. The financial and ecological consequences of twelve million tons of trees disappearing in smoke every year are formidable. More than 13 million South Africans - about one third of our citizens - depend on firewood, dung and crop waste, for energy.
The rural electrification initiative was announced at the National Energy Governance Workshop, a meeting of about ninety energy leaders representing both the demand and supply energy sectors, which met in Pretoria on Tuesday 24 October 1995, to discuss the governance of the energy industry. The Workshop, opened by Deputy President Mbeki, forms part of the ongoing energy policy formulation process which will lead to a Government White Paper on Energy after a National Energy Policy Summit on 20 and 21 November.
An Energy Policy Discussion Document (Green Paper) drawn up and issued by the Department is open to comment by interested parties. The due date for written comments is 15 November, 1995.
Enquiries: Dr S Kotze (Office) (012) 317-9017 (Home) (012) 991-1824
R Darroll (Office) (012) 322-9695 (Home) (012) 43-3394 (Cell) 082 552 7994