Engineering News May 12 2017 Avxhm - Se

ISSN 0257-8646 RSA R14,50 (Incl.
cl.VAT) Combined Price for Engineering News and Mining Weekly Volume 37 no 17 May 1218, 2017
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INSIGHT South African intellectual property offices seeking to stimulate innovation Page 27
FEATURES Nampo Preview Page 34 Cement & Concrete Page 52 Nuclear Energy Page 68
NEWS FOCUS High-level support for innovative agrosolar greenhouse concept Page 22
AUTONOMOUS
AMBITION
Least-cost electricity transition being played
out at CSIRs Pretoria campus
Page 18
Picture by Dylan Slater
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Cover Story & Highlights 18 Least-cost electricity transition being
played out at CSIRs Pretoria campus
News & Insight

8 End to Eskom stalemate could unlock enormous 24 Daimler testing the effects of augmented lighting on
backlog of wind projects in 2017 health of truckers
8 M&R a co-applicant with GE in dispute with Eskom 24 Online bidding platform aims to disrupt truck
over Duvha contract transport industry
9 LNG-focused energy firm pursuing diversified 25 Chief selected for Imperials newest business venture
African investment pipeline
26 BMWs Rosslyn plant to start producing X3 early next
10 BlueNova launches production facility as lithium year
battery bug bites in South Africa
27 South African intellectual property offices seeking to
10 SA accounts for 59% of Africas outbound M&A stimulate innovation
activity study
28 Court ruling means new approach needed for SAs
12 LPG inquiry proposes far-reaching, yet nonbinding, nuclear programme
market overhaul
29 Kubayi should seize clean slate nuclear opportunity
13 Sacu makes formal request to initiate post-Brexit trade
talks with UK 78 Global law firm set to extend learnership programme
to Joburg
13 Icasa enters into a technical agreement with
Mozambique regulator 78 AfDB welcomes Zambia, Ghana to bond index
14 Canada contributes R25m to help revitalise inner-city 78 TNPA appoints new port managers
communities 79 Eastern Cape sets sights on becoming Africas leading
16 Mombasa-to-Nairobi rail line set for commissioning fuel bunkering centre
16 Renewed interest in delayed Uganda oil refinery plan 79 AI systems seen as key to managing contact centre as
volumes rise
20 Steel demand seen growing again as recession risks
recede 83 Banks warned of ATMs being infected remotely by
malware
20 Global steel production reaches 410Mt in Q1
83 South African telcos broadening ICT services
20 Four bidders shortlisted for Blantyre water project portfolios
21 CIG uncertain about local outlook, but sees growth in 84 Political decisions, downgrades push policy
rest of Africa uncertainty into negative territory
23 Ethiopia says it will continue to support cement 85 Huaweis SA OpenLab to focus on safe city, smart grid
investments solutions
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4 ENGINEERING NEWS | May 1218, 2017 LO

22 High-level support for 22 Maluti-A-Phofung 27 Construction of M1
innovative agrosolar Special Economic Zone Oxford, Federation
greenhouse concept officially launched bridges enters last leg
Real Economy Advertisers

6 Perspectives 11 Abland IBC INDUTEC 2017
7 Editorial Insight 53 AfriSam 41 Integrated Pump Rental
Afrox John Thompson (a
Features
44 62
34 APE Pumps division of ACTOM)
72 AquaJet Profiles 46 Kirloskar Brothers
34 Nampo Preview 49 Barloworld Equipment 60 Loesche
Nampo provides ideal platform 55 BBF Group 57 Morpho South Africa
to penetrate region 10 Beatrix Events 69 Nuclear Industry
Association of South
52 Cement & Concrete 4243 BMG Africa (NIASA)
Cement and concrete affected 59 BSi Steel 9 OK VUSA
by faltering construction industry 17 Department of Trade 66 Pan Mixers South
and Industry Africa (PMSA)
68 Nuclear Energy 47 DRA 30 PiA Solar
Nuclear is too expensive, too controversial 65 DRA 81 Reed Exhibitions
Columns 31 Edward Nathan

Sonnenbergs
OBC
13
RS Components
SA Gauge
38 ExxonMobil
74 Tech Track Kelvin Kemm IFC Sasfin
39 ExxonMobil
75 Electrically Speaking Terry Mackenzie-Hoy 58 Taishan Fibreglass SA
77 Trade@Work Riaan de Lange 36 Franklin Electric
61 TAKRAF Africa
21 G5 Properties
Tente Castors
Regulars
50
52 Garnett Cross Hydraulic
37 Toyota
Courses
73 TV SD South Africa
30 Projects in Progress 25 Gedore
35 UD Trucks
33 Company Profile 32 Graven Designs
23 University of Pretoria
51 Company Profile 3 Hypenica (Totally
Concrete) 9 VescoPlastics
66 Company Profile
67 Company Profile 15 IFAT Africa 2017 51 VescoPlastics
76 People in Camera 33 Incahoots 56 Weishaupt
80 Whats On? 63 Industrial Nozzles 67 Welding Alloys
82 Enquiry Service & Systems 71 WorleyParsons
86 Business Leader 54 Industry Q OHS 45 Zest WEG Group
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LO ENGINEERING NEWS | May 1218, 2017 5

PERSPECTIVES
Photograph: Simon Dawson for Bloomberg
IF ITS NOT MINED . . . The well-worn phrase, if its not mined, its farmed, comes to mind when analysing the
business model of commodities producer and trader Glencore. While the Swiss group, with strong South African ties,
is best known for its minerals and fuels operations, Glencore Agriculture is making its presence felt increasingly in the
trading of food. Pictured is an employee walking past a grain silo containing products for Glencore at the European
Bulk Services terminal at the Port of Rotterdam, in the Netherlands. Bloomberg reports that the standalone enterprise
currently generates more revenue from owning fixed assets in strategic locations than from trading.

EDITORIAL INSIGHT
STATE OF THE NATION
FACTSINFIGURES Toxic combination

4.9 1.53 TWO CORE ATTRIBUTES OF SOUTH AFRICA during apartheid
were State illegitimacy and political and social intolerance.
The amount in billion To recall just how illegitimate the apartheid government was,
The amount in billion
rands that South Africas it is worth revisiting the December 1973 resolution of the United
tonnes to which global
Department of Trade and Nations General Assembly, which reaffirmed that the practice of
steel demand will increase
apartheid constitutes a crime against humanity. The resolution
Industry has approved in this year, which, with a
declared that the South African regime had no right to represent
incentives for the clothing further 0.9% increase in the people of South Africa and that the liberation movements recog-
and textiles sector in 2017. 2018, will reach 1.55-billion nised by the Organisation of African Unity were the authentic
More than R3.1-billion in tonnes, according to the representatives of the overwhelming majority of the South African
incentives was disbursed World Steel Associations people. It also called for other States to impose military, trade,
in the previous financial latest short-range outlook sporting and cultural boycotts prohibitions that helped jolt some
year. published in May. white South Africans to the realisation that they were not living in
SHEILA BARRADAS | CREAMER MEDIA RESEARCH COORDINATOR & SENIOR DEPUTY EDITOR
a normal society.
Likewise, intolerance was not only a societal default, but the
legislated reality. Grand apartheid was intolerant of racial integration
and the provision of equal educational, economic and social oppor-
tunities for black South Africans. Petty apartheid, meanwhile, was
intolerant even of the most basic sharing of public facilities, such
as toilets, restaurants, trains, buses, swimming pools and beaches.
Formal and informal intolerance was all-pervasive, with political
parties banned, newspapers and radio stations censored, or self-
censored, and social segregation enforced.
The toxic combination of illegitimacy and intolerance meant that
even a false sense of societal equilibrium could only be sustained
through systematic and violent repression.
The democratic settlement of 1994 was meant to purify the
country of this poisonous mixture. Sadly, however, there are
worrying signs of re-emergence, notwithstanding the fact that
POISONOUS PROCUREMENT: In their April 26 judgment, justices ideas still flow freely, protests are commonplace and elections
Lee Bozalek and Elizabeth Baartman said it would be inappropriate are considered to be free and fair.
for the court to prescribe to the Minister the form of any procurement
process to be adopted. However, their ruling makes it plain that
The issue is that political legitimacy stands on two legs: electoral
processes followed until now have been neither rational nor lawful. support and the performance of the executive. A combination of
Making the process less toxic will require full transparency and corruption, incompetence and factionalism has seen the President
accountability. However, it will also hinge on whether nuclear Jacob Zuma administration losing balance on the second leg.
advocates are able to justify economically and technically the Government is, therefore, facing a legitimacy crisis. Besides the
technologys inclusion in the countrys future electricity mix.
protests, heckling and infighting, the most obvious outward sign of
this legitimacy shortfall is the continual leaning on the courts to
SPEAKOUT settle policy disputes.
With this fall in legitimacy, there has ben a commensurate rise
The credit story of South Africa has been deteriorating. in defensive rhetoric and political intolerance. And while South
Associate director and lead analyst for South Africa at Africans have arguably become somewhat numb to the vitriolic
attacks in the National Assembly, these are now spreading to
S&P Global Ratings Garner Rusike, commenting on South
municipal chambers and even Parliamentary portfolio committees.
Africas three credit rating downgrades over the past four It may make for titillating television viewing, but indulging this
or five years sort of behaviour carries serious long-term risks, including the
risk of political violence.
The only challenge that Eskom will have to contend with will Dealing with this toxic com-
be the higher cost of debt. bination of falling legitimacy
and rising intolerance is going
State-owned electricity utility Eskom CFO Anoj Singh, to require far greater account-
on credit ratings agency S&P Global Ratings decision to ability from government leaders.
downgrade the utilitys corporate credit rating to junk status But it will also require concerted
efforts to move the conversation
well beyond the current divisive
We will answer the question at the right time . . . once all of
rhetoric.
the work has been done.
Finance Minister Malusi Gigaba, reiterating his stance on
the countrys proposed New Nuclear Build Programme
SHEILA BARRADAS | CREAMER MEDIA RESEARCH COORDINATOR & SENIOR DEPUTY EDITOR

NEWS&INSIGHT
WIND ENERGY
Rapid Recovery?
End to Eskom stalemate could unlock enormous backlog
of wind projects in 2017
TERENCE CREAMER | CREAMER MEDIA EDITOR
T
he Global Wind Energy Council in 2016 and despite some uncertainty in the
(GWEC) expects a recovery in the market owing to the US election results in
deployment of wind projects in South November. Cumulative wind capacity grew
Africa, following a hiatus in 2016 brought by 12.6% to 486.8 GW in 2016 and the GWEC
about by Eskoms refusal to enter into power still expects the installed base to expand to
purchase agreements (PPAs) for renewable- 800 GW by 2021.
energy projects procured in 2015. In South Africa, it seems that the stale-
In its Global Wind Report: Annual Market mate is about to break with Eskom over the
Update 2016, which was released in India PPAs the State-owned utility has refused to
recently, the GWEC forecasts that South sign despite the government-run tender results
BREAKING THE IMPASSE
Africa, Kenya and Morocco will also lead a and instructions to do so. In February, President Zuma confirmed in his
recovery in the African market, after a rela- If it does, this will unleash an enormous State of the Nation address that all outstanding
tively quiet 2016 across the continent. backlog of projects, with more to come in PPAs would be signed
The report shows that 54 GW of new the next bidding rounds. South Africas new
wind capacity was added in 2016 a perfor- Integrated Resource Plan (IRP), if it becomes and new Finance Minister Malusi Gigaba.
mance that was below expectation, owing to policy, will facilitate this key African mar- In a recent briefing, Gigaba reiterated that
a slowdown in deployments in China to 23 kets living up to its potential, the report the policy of integrating independent power
GW and smaller-than-expected markets in states. producers into the countrys electricity
Brazil, Mexico, Canada and Africa, notably In February, President Jacob Zuma con- network remained unchanged and said there
South Africa. firmed in his State of the Nation address that should be no uncertainty as to our commit-
South Africa added only 418 MW of wind all outstanding PPAs would be signed and, ment to the energy mix and the renewable-
capacity in 2016, raising its overall installed following the announcement, former Energy energy programme.
base to 1 471 MW. Nevertheless, South Africa Minister Tina Joemat-Pettersson set April Twelve of the 37 outstanding projects
remained the only country in Africa, and 11 as the deadline for the signing of the procured under the Renewable Energy
among a group of only 29 countries globally, contracts. Independent Power Producer Procurement
to have a wind installed base of more than However, following the March 31 Cabinet Programme (REIPPPP) are wind projects,
1 000 MW. reshuff le, which saw Joemat-Pettersson while the draft IRP Base Case published
Secretary-general Steve Sawyer and chair- replaced by Mmamoloko Kubayi, the new last year calls for the addition of more than
person Morten Dyrholm wrote that they Minister requested a postponement to enable 37 000 MW of wind capacity by 2050.
anticipated solid prospects for wind in 2017, her to consult with stakeholders, including The IRP is still in the process of being
following slumps in key emerging markets Public Enterprises Minister Lynne Brown To page 14
CONTRACT DISPUTE entire unit being shut down. that it was applying to have Dongfang inter-
M&R a co-applicant
Business Day reported recently that GE had dicted from taking any steps towards the exe-
approached the High Court in Johannesburg to cution of any contract.
with GE in dispute interdict Eskom from implementing Dongfangs

c ontrac t until it had been reviewed and
Finally, we are asking that Eskom be called
upon to show cause why the decision was made
with Eskom over adjudicated again.

In an af f idavit deposed by GE head of
to award the tender to Dongfang, investor and
media executive Ed Jardim said.
Duvha contract sub-Saharan Africa George Njenga, the US
multinational alleged that Eskom had violated
In its affidavit, GE also alleges that Eskoms
departure from the requirements of the RFP
TERENCE CREAMER the terms of its own request for proposals resulted in an award that was more expensive
CREAMER MEDIA EDITOR (RFP), which outlined a two-stage adjudication to the utility.
MURRAY & ROBERTS (M&R) has confirmed involving a desktop evaluation to arrive at the Business Day reports that the GE bid was
that it is a co-applicant with GE in a court bid top two suppliers, followed by direct nego- for R3-billion, comprising a 25% fixed-price
to prevent Eskom from implementing a con- tiations with the suppliers for final selection. element and a 75% variable component.
tract with Dongfang Electric Corporation for Njenga said GE and M&R were the only short- M&Rs bid was reportedly for R3.3-billion, with
the Duvha Unit 3 boiler recovery project. listed suppliers when final offers were submit- 10% fixed. Dongfangs bid price was fixed at
The 600 MW boiler was damaged cata- ted on March 3 and Dongfang was not on the R4-billion, which Eskom contends carries a
strophically in March 2014 as a result of shortlist. Eskom, nevertheless, awarded the lower risk.
overpressurisation of the boiler furnace, which tender unlawfully to the Chinese firm. The State-owned utility is opposing the appli-
triggered an explosion that resulted in the M&R also confirmed to Engineering News cation.
8 ENGINEERING NEWS | May 1218, 2017 AN

NEWS&INSIGHT
ENERGY
African Ambition
LNG-focused energy firm pursuing diversified African
investment pipeline
TERENCE CREAMER | CREAMER MEDIA EDITOR
B
lack-empowered energy company
African Energy Partners (AEP),
which plans to list as a special-pur-
pose acquisition company on the JSEs AltX
board on June 1 to raise up to R500-million to
pursue liquefied natural gas (LNG) prospects
in Africa, reports that its investment pipe-
line includes a diverse range of prospects
in South Africa and the rest of the continent.
CEO Edwin Kikonyogo tells Engineering
News that AEP will participate across this
entire infrastructure value chain, with the
opportunities falling into three categories:
operating natural gas plants in South Africa
and elsewhere in Africa; brownfield plants EDWIN KIKONYOGO
available for conversion from heavy-fuel oil Africa has a long history in liquefied natural gas
or diesel to LNG or natural gas; and green-
field LNG-to-power developments. Identified investments range in size from
There are several LNG-to-power oppor- 8 MW cogeneration plants for specific indus-
tunities in Africa that AEP is targeting to trial offtakers and LNG conversion opportuni-
participate in, including South Africas gas- ties of 250 MW, inclusive of LNG importation
to-power programme when it gets under way, and regasification infrastructure and LNG sup-
Kikonyogo reports. ply, to 400 MW-plus of greenfield LNG-to-
I n 2016, t he D epa r t ment of Energ y power, covering combined-cycle gas turbine
released a project memorandum for a pro- plants, LNG importation and regasification
posed Liquefied Natural Gas Independent and fuel supply.
Power Producer Procurement Programme, AEPs first viable acquisition must take
in which it indicated that Richards Bay, in place within two years of listing and the
KwaZulu-Natal, and Coega, in the Eastern companys intention is to acquire mostly
Cape, had been selected as the initial sites for controlling stakes in a portfolio of opera-
the programme. tions. Our target operations offer a mix of
At the time, it was anticipated that the medium- and long-term off-take agreements
commercial process could get under way in and a contracted cost base, which makes for
either late 2016 or early 2017. However, fol- good long-term earnings visibility.
lowing protracted delays to the conclusion of The founding directors will contribute at
contracts between renewable-energy genera- least 5% of the capital raised and, besides
tors and Eskom, as well as the stabilisation of Kikonyogo, the company will be led by COO
South Africas electricity supply position, the Nkosi Gugushe and CFO Kevin Simons.
procurement programme has been delayed. Its board includes some well-known energy
There is strong impetus for LNG in Africa personalities, such as David Wright (chair-
that is independent of any South African initia- person) and Erica Johnson, and also com-
tive, Kikonyogo says, noting that LNG was prises Silvanus David, Carla Cloete, Meriam
commercialised in Africa, with the worlds Kekana and Sifiso Sibiya.
first commercial natural gas liquefaction plant AEP is undertaking an investor roadshow
opening in Algeria in the 1960s. and the offer will take the form of a private
Africa has a long history in LNG, but vir- placement, with only a small retail com-
tually all of Africas LNG production has thus ponent, which will be allocated at the boards
far been exported. This export-only landscape discretion.
is changing fast . . . and the time for African The cash raised will be held in an escrow
LNG import investment has arrived and is in account and will only be available for deploy-
fact long overdue. ment following shareholder approval. AEP is
He says AEPs investment pipeline is diver- anticipating making its first acquisition within
sified with regard to regional footprint, invest- the first year.
ment size and energy offtaker profiles. ENGINEERING NEWS COUPON ON PAGE 82 E450924
AN ENGINEERING NEWS | May 1218, 2017 9

NEWS&INSIGHT
MANUFACTURING temperatures, and they need to be warmed up
Efficient & Versatile

with a blanket that we sell.
Verster sees tremendous potential in using
LiFeYPO4 batteries in rural areas. Its small
13 kg battery is its most popular one, with a
BlueNova launches production facility as lithium battery bug cycle life of 7 000 cycles. Verster says the bat-
tery has a handle and is portable and can be
bites in South Africa carried by children.
We see it as giving power to the people in
KIM CLOETE | CREAMER MEDIA CORRESPONDENT the real sense. People, who have traditionally
E
used lead-acid batteries, will be able to power
nergy storage solutions company batteries as transformative, as the technology far more than simply a television or a light.
BlueNova has launched a new produc- has grown exponentially over the past 23 years. We see a strong correlation between quality of
tion facility in Somerset West, near An LiFeYPO4 battery is a member of a fam- life and energy consumption and we believe
Cape Town, to keep up with rising demand for ily of rechargeable battery types in which lit- this will make a difference.
lithium-iron-yttrium-phosphate (LiFeYPO4) hium ions move from the negative electrode to Verster says BlueNova is active mainly in
batteries. the positive electrode. They are extremely effi- the residential and light industry sectors but
Lithium-ion batteries, of which LiFeYPO4 cient and versatile and can be used in very high plans to talk to serious players in the heavy
batteries are a type, are seen as an excellent temperatures, Verster tells Engineering News. off-grid market this year. It sees great poten-
alternative to ageing lead-acid batteries, as they As such, they are well suited to the African tial for its battery range in big game lodges,
are more environment friendly and have up to climate. The battery life of lead-acid batteries including those in the Kruger National Park.
six times the storage capacity. They are also tends to diminish dramatically at high tem- We have a couple of projects going this
considered to be safer than lead-acid batteries. peratures. LiFeYPO4 batteries are designed year in the 100 kWh to 200 kWh category.
Lead-acid batteries will always be there as to withstand the heat. BlueNova buys its lithium cells from China,
a standby. But lithium-iron batteries are fan- We can offer a battery that will operate in but its control electronics, displays and soft-
tastic [in] the way they absorb energy, says a 35 C to 40 C environment and still give ware have been developed by its engineers in
BlueNova CEO James Verster. you 10 to 15 years of battery life. South Africa. It currently produces its bat-
BlueNova has formed a partnership with the Conversely, LiFeYPO 4 batteries do not tery for South African use, but also exports to
JSE-listed Reutech Group and is developing operate quite as well in very cold tempera- Zambia, Namibia, Botswana and Mozambique.
market opportunities in the residential, com- tures and need to be warmed up before use. The company intends to register one or two
mercial and industrial sectors. The Achilles heel of lithium-iron bat- projects with universities that will do further
Verster sees the introduction of LiFeYPO4 teries is that they lose capacity at very cold research on efficiency.
ECONOMY leading investments. Domestic

and inter-sub-Saharan African
SA accounts for M&A totalled $1.5-billion,
59% of Africas up 130% year-on-year, while
outbound M&A declined 40%
outbound M&A to $794.6-million.
South Africas overseas
activity study acquisitions accounted for
59% of sub-Saharan African
MEGAN VAN WYNGAARDT outbound M&A activity, while
CREAMER MEDIA SENIOR companies headquartered in
CONTRIBUTING EDITOR ONLINE the Seychelles and Mauritius
THE value of announced accounted for 23% and 18% of
merger and acquisition (M&A) sub-Saharan African outbound
transactions with any sub- M&A activity respectively.
Saharan African involvement The biggest deal clinched
reached $10.1-billion during the during the quarter was US
first quarter of 2017, the highest oil and gas company Exxon
opening-quarter total in six Mobil buying a 25% stake
years, research firm Thomson of a Mozambique liquefied
Reuters Africa has found. natural gas project from Italys
In its intelligence analysis of Eni for $2.8-billion. The deal
sub-Saharan African deals for helped boost the value of deals
the first quarter, the company in the energy and power
highlights that inbound sector to $4.2-billion. Bank of
M&A activity reached a seven- America Merrill Lynch topped
year high of $6.4-billion, the first-quarter Any Sub-
more than five times the value Saharan African Involvement
recorded in the first three Announced M&A Financial
months of last year, with the Adviser League Table with a
US, China and Switzerland 28% share of the market.

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NEWS&INSIGHT
LIQUID PETROLEUM GAS also notes that the pricing methodology has
Supply to Distribution
not been reviewed, despite a DoE commitment,
made in 2012, to conduct such a review.
Other key recommendations made in the
report include:
LPG inquiry proposes far-reaching, yet nonbinding, market overhaul capping long-term supply agreements to a
maximum of ten years;
ensuring that smaller wholesalers receive
TERENCE CREAMER | CREAMER MEDIA DEPUTY EDITOR preferential access to 10% of LPG volumes
S
for contracts with a minimum duration of
outh A fr icas Competition two years;
Commission has made fa r- structuring bulk-supply contracts in a
reach i ng, yet nonbi nd i ng, way that separates LPG supply from
recom mendations for dealing with equipment supply to ensure that end-
prevailing market distortions in the users own the installed equipment
Picture by Senior Chief Photographer Duane Daws
domestic liquid petroleum gas (LPG) and are, thus, able to switch LPG
sector following its first-ever market suppliers;
inquiry, which took nearly three years removing restrictions on cylinder
to complete. exchanges by making it possible
The report identifies serious policy for any wholesaler to enter bilateral
and regulatory misalignments, which exchange agreements; and
are crimping both the production having deposit fees for cylinders set
of LPG by existing refineries and by Nersa and linked to the size and
investment into new importation TEMBINKOSI BONAKELE AND EBRAHIM PATEL cost of each cylinder.
infrastructure. It also points to market LPG industry urged by Minister to act on nonbinding market The commission would also con-
inquiry findings
structures and entrenched behaviours tinue its ongoing cartel investigation
that are raising the costs to industrial relating to the current setting of deposit
and resident consumers and limiting entry into Easigas, Oryx Energies and TotalGaz), which fees by the industry.
the market by new participants. account for more than 90% of the market. It was not immediately clear how the refin-
Receiving the 206-page report in Pretoria, In addition, some of these sales agreements eries and the established wholesalers would
Economic Development Minister Ebrahim are associated with 20-year-plus evergreen respond to the report, which calls on the
Patel indicated that the recommendations contracts, which are often accompanied by industry to implement some of the recom-
would be tabled in the National Assembly and discounts of up to 10% against the regulated mendations as early as October.
would be used to drive an inclusive-growth maximum refinery gate price (MRGP). However, one small wholesaler expressed
agenda in the LPG industry, as well as the The price paid by end consumers, known disappointment with the lack of ambition
liquid-fuel sector more broadly. as the maximum retail price (MRP), is also shown by the commission. In fact, Wasaa
Competition Commission commissioner regulated. However, there is evidence of Gasses CEO Nokwanele Qonde said the
Tembinkosi Bonakele added that lessons collusion in the setting of deposit fees for gas 10% target for smaller wholesalers, together
learned from the inquiry would also be applied cylinders, while prevailing cylinder-exchange with two-year supply agreements, would be
to the two other market inquiries currently practices act as a barrier to entry for smaller inadequate to facilitate the opening up of the
under way in the private healthcare and wholesalers. In addition, the fact that whole- industry to new entrants, particularly if the
grocery retail industries. salers bundle equipment ownership with gas long-term supply agreements with the majors,
Patel argued that the report should not be supply when concluding bulk supply contracts together with the discounts, persisted.
allowed to gather dust and urged both the has made switching gas suppliers nearly However, Bonakele stressed that the recom-
public and private organisations named in the impossible. mendations regarding small wholesalers were
recommendations to take appropriate action To address the constraints to LPG supply, seen as minimum thresholds and were
to improve the performance of the LPG sector t he com m ission re com mend s g reat er reflective of the highly concentrated nature
rather than focus on the nonbinding nature of alignment between the National Energy of the sector.
the remedies. Regulator of South Africa (Nersa) and Should the supply constraints outlined in the
The reports recommendations, which Transnet National Ports Authority in both report be eased, he saw scope for far higher
were presented by Dr Liberty Mncube and the content and timeframes associated with levels of penetration by new entrants.
Thembalethu Sithebe, are also accompanied the licensing of new import facilities. The In fact, the commission notes that a number
by a voluntary implementation plan and current misalignment is viewed as a significant of licences have already been granted for
associated timeframes. impediment to investment and has also made the development of import facilities and
The commission concludes that the industry the process of licensing protected. recommends that the regulatory frameworks
is highly concentrated, with 80% of yearly It also recommends that Nersa, rather than be reviewed to encourage the construction
supply of 350 000 t arising from the countrys the Department of Energy (DoE), be respon- of LPG import and storage capacity at the
five refineries Enref, Chevref, Natref, sible for wholesale licensing and that the countrys ports.
PetroSA and Sapref and the balance from energy regulator also be responsible for the It also recommends that the DoE undertake
imports. Further imports are constrained by monitoring and enforcement of the regulated a market study on how price deregulation could
inadequate pipeline and storage infrastructure, prices. be achieved in the LPG market over time.
which is, in turn, undermined by policy, The commission notes that the DoE, which However, the commission stresses that,
regulatory and pricing dynamics. is currently responsible for monitoring and in light of prevailing supply bottlenecks,
The five refineries have long-term supply enforcement on the MRGP and the MRP, lacks immediate deregulation could result in a
agreements with four large wholesalers (Afrox, the inspectorate capacity to fulfil the role. It price spike.
12 ENGINEERING NEWS | May 1218, 2017 RA

NEWS&INSIGHT
TRADE RELATIONS TELECOMS
Proactive Step Icasa enters into a

technical agreement with
Sacu makes formal request to initiate post-Brexit trade talks with UK Mozambique regulator
TERENCE CREAMER | CREAMER MEDIA EDITOR ANINE KILIAN
S
CREAMER MEDIA
outh Africas Trade and Industr y CONTRIBUTING EDITOR ONLINE
Minister Dr Rob Davies reports that THE Independent Communications Authority
the Southern African Customs Union of South Africa (Icasa) has signed an agree-

(Sacu) has written a letter to the UK government of cooperation and coordination with the
ment formally requesting the initiation of talks communications authority of Mozambique,
on the terms of the bilateral trade relationship Autoridade Reguladora Das Communicaes,
that will be put in place when Britain exits the in respect of spectrum management for tele-
European Union (EU) in 2019. communications and broadcasting services.
On March29, British Prime Minister The agreement will see the establishment of
Theresa May formally triggered Article50, a technical committee to deal with matters of
which affords an EU member wishing to leave common interest between the two regulators
the union two years to negotiate exit terms. on radio frequency coordination.
ROB DAVIES
May subsequently also called a snap June8 For South Africa, which has tariff-rate quotas on It is our commitment as regulators to make
general election, which she claimed was nec- products such as wine, sugar and fruit entering expertise, infrastructure and equipment avail-
essary to provide the country with the stable the EU, a negotiation would be required able to assist each other on regulatory matters,
leadership required to see the UK through its including radio frequency spectrum investi-
Brexit negotiations. they will continue to have duty-free, quota-free gations, possible cross-border spillovers and
Davies told members of the British Chamber access into the UK, Davies said. of course, coordination of our services, Icasa
of Business in Southern Africa this week that But, for South Africa, which has tariff-rate acting chairperson Rubben Mohlaloga said
the Sacu letter, dated April7, followed discus- quotas on products such as wine, sugar and in a statement.
sions he had held with the UKs Minister of fruit entering the EU, a negotiation would be The agreement is the culmination of the
State for Trade Policy, Lord Mark Price, at required. memorandum of agreement entered into by
the inaugural Commonwealth Trade Ministers We cant just simply divide the quota by the two governments in June 2015.
Meeting, which took place in London on 28, Davies averred, noting that 40% of South
March9 and 10. Africas wine exports to the EU were destined
Davies and Price agreed that the discus- for the UK market. So we are going to have
sions between the UK and Sacu should be to establish a quota in a discussion with the
S A
uge Guys
done quickly and that the recently ratified UK and we are probably also going to have
GAUGE
The Ga
Economic Partnership Agreement (EPA) with
the EU should provide the framework for the
to discuss some geographical indications.
However, negotiations should not be overly PRESSURE
immediate period following Britains with-
drawal from the EU. Any possible improve-
complicated and Sacu, therefore, intended to
have them wrapped up well ahead of 2019 so GAUGE MANUFACTURERS
ments to the agreement could form part of a as to ensure that there was no disruption in
medium-term bilateral negotiation agenda. the trade relationship, which both sides rec-
T he EPA, wh ich took more tha n ten ognised as being important.
years to negotiate, includes Sacu members Yearly trade between South Africa and the
Botswana, Namibia, Lesotho, South Africa UK is approaching 9-billion, with the trade
and Swaziland, as well as non-Sacu member balance in South Africas favour. The UK is
Mozambique. The agreement has improved also South Africas second-largest trading
South Africas access to the EU on certain partner within the EU, after Germany, and
agricultural products in return for recogni- ahead of France.
tion of geographical indications on a range Ahead of her departure at the end of March,
of European foodstuffs, wines and spirits. former British High Commissioner to South
The deal was signed in Kasane, Botswana, Africa Dame Judith Macgregor promised that
in June 2016, and ratified by all participants there would be no cliff edge in the trade and
in November last year. investment relationship between the UK and
Davies said Sacu was eager for negotiations South Africa as a result of Brexit.
to begin with the UK, which would have seve- She added that there was even potential to Pressure Gauges
ral other more pressing negotiating priorities strengthen the relationship both bilaterally and Diaphragm Seals
Transmitters
in the run-up to Brexit. However, owing to the through a revitalised Commonwealth, where
Thermometers
June8 election, Davies said talks were unlikely a target had been set for increasing intra- Pressure Testing Kits
to start until the end of June, at the earliest. Commonwealth trade to $2.75-trillion by 2030. SANAS ISO 17025 Accredited
For most of the countries that are part of Macgregor has since been replaced by Nigel
Branches in Joburg & Durban
Sacu, we think that there is probably very Casey, who was present in Johannesburg for National Sales: 0860 007 911
little to talk about, because they have duty-free, Davies address to the British Chamber of International Sales: +27 031 579 2216
quota-free access into the EU. Presumably, Business in Southern Africa. sales@sagauge.com www.sagauge.com
EG ENGINEERING NEWS | May 1218, 2017 13

NEWS&INSIGHT
HOUSING DEVELOPMENT
Equal Spaces
Canada contributes R25m to help revitalise inner-city communities
ANINE KILIAN | CREAMER MEDIA CONTRIBUTING EDITOR ONLINE
C
anadas Deputy Minister of Global social housing units, accommodating about
Affairs, Ian Shugart, announced a 16 000 low- and moderate-income people.
contribution of R25-million last month Shugart said these efforts would help alle-
to the Equal Spaces: Social Housing to End viate poverty and contribute to economic
Spatial Apartheid project, in South Africa. growth, gender equality and transformation.
The project will be managed by Canadian Canadas development programming seeks
nongovernmental organisation Rooftops to help strengthen South Africas public insti-
Canada and will support four metropolitan tutions to meet the needs of all South Africans,
areas, including Johannesburg, Cape Town, particularly the most marginalised.
eThekwini and Ekurhuleni. He added that the project was an exam-
The Canadian governments support for ple of Canadas focus on supporting South IAN SHUGART
this project will help to revitalise inner-city Africas National Development Plan objec- The project will help to revitalise inner-city
urban communities through the creation of tives to reduce poverty and inequality, pro- urban communities
social housing developments that are well mote inclusive economic growth and build a
managed, centrally located, affordable and more capable State. professional improvement would be shared
secure, he said at an event hosted by the Shugart further stated that South Africa was equitably between women and men to ensure
Canadian embassy in Johannesburg. Canadas most important political and trad- that the benefits of this project did not entrench
He noted that the project would support ing partner in sub-Saharan Africa and this existing inequalities.
urban regeneration initiatives and provide new project was part of a broad collaboration Shugart pointed out that Canada and South
technical assistance for social housing insti- between Canada and South Africa. Africa were both committed to the global
tutions across the country. Sustainable development, the empower- Sustainable Development Goals, an over-
Rooftops Canada will work directly with ment of women and providing opportuni- arching set of 17 global commitments that
the South African Department of Human ties for youth are also key priorities for our together work towards ending poverty, pro-
Settlements, the Social Housing Regulatory government. tecting the planet and ensuring prosperity
Authority and the National Association of Canada is committed to ensuring that all for all.
Social Housing Organisations, as well as vari- development assistance recognises the differ- Among these is goal Number 11 focus-
ous stakeholders who play a part in the social ences in the experience of women and men ing on sustainable cities and communities,
housing sector. . . . to deliver equitable benefits and con- which speaks about the need for more safe
The initiative is set to reach hundreds of tribute to reducing gender inequalities, he and affordable housing in urban centres. I
social housing stakeholders and help pro- said. think this project is an excellent contribution
vide up to 4 500 safe, affordable, well-located He added that access to training and in meeting this objective, he said.
From page 8 times for projects average less than two years successfully competing with heavily subsi-
updated and the final version is not expected and the electricity price paid to projects has dised incumbents across the globe and that
until the second half of 2017. declined 68% within three years. wind penetration levels continue to increase,
Despite the unfortunate impasse in 2016, The price of wind energy in the last led by Denmark, which is approaching 40%.
the GWEC says South Africas wind indus- Round 4 expedited was 0.62c/kWh, more The GWECs rolling five-year forecast
try, under a government-designed competitive than 40% less than forecast prices for Eskoms sees almost 60 GW of new wind installations
bidding programme, has taken place within new-build coal plants, Kusile and Medupi. in 2017, rising to a yearly market of about
a relatively short period of about five years, However, besides the Eskom impasse, the 75 GW by 2021.
placing South Africa among the leading new GWEC also highlights weak growth, currency Growth will be underpinned by Asia, with
wind markets globally. There are currently volatility, tendering costs and grid integration China continuing to lead all markets. But
20 wind farms fully operational and more costs as constraints to wind projects. India, which set a new installation record in
than 3 365 MW under different stages of Additionally, extended transmission and 2016, also has ambitious targets.
development. distribution works are needed, and the cost Market fundamentals are also seen as
With bidding for the first four rounds recovery rules for this are not yet transparent strong in North America, and steady for
of South Africas REIPPPP completed, and or consistent. Europe, which will continue to lead the off-
with three rounds of preferred bidders hav- The GWEC believes the wind industry in shore market. Offshore wind has had a major
ing reached financial close by 2015, the wind South Africa can pick up its very rapid growth price breakthrough in the past year, and looks
industry has established itself as a major new phase from where it stalled if the current set to live up to the enormous potential that
infrastructure sector and is now worth about impasse can be overcome, which it describes many have believed in for years.
R75-billion, the report states. as a likely scenario. The council is, there- We see the technology continuing to
It also notes that the REIPPPP has facilitated fore, expecting a big year in 2017 for Africa, improve and spread beyond its home base in
both the rapid introduction of wind energy led by Kenya, South Africa and Morocco. Europe in the next five to ten years, Sawyer
and a steep decline in prices. Construction Sawyer also notes that wind power is said.

NEWS&INSIGHT
RAILWAYS
Critical Link
Mombasa-to-Nairobi rail line
set for commissioning
JOHN MUCHIRA | CREAMER MEDIA CORRESPONDENT
K
enya is gea r i ng up
for a new era in rail-
way transport with the
impend ing commissioning of a LONG-STANDING MAINSTAY
A Kenyan train travelling along a 1-m-gauge railway line; the country has
standard-gauge railway (SGR) depended on a 1-m-gauge system for more than a century
line on June 1.
The East African nation has
depended on a dilapidated 1-m- transport costs by as much as 35%. is testament to Kenyas determi-
gauge railway system for more Australia-based construction com- nation to become East Africas
than a century, but that is about pany John Holland, a subsidiary transport hub.
to change, following the comple- of CCCC, has been contracted to Apart from the new line, Kenya
Picture: John Muchira
tion of the $3.8-billion 472 km operate the SGR line. intends to construct a 3 500 km
SGR line from the coastal city T he SGR line will assist SGR network under the Railways
of Mombasa to Nairobi, the cap- in lowering the logistics costs Master Plan that will connect the
ital city. ATANAS MAINA associated with freight storage country to Uganda, South Sudan
The standard-gauge railway
The SGR line is the largest line will play a vital role in
and delivery, which will lead to and Ethiopia.
infrastructure project in post- decongesting the Port of Mombasa low freight transport costs for Maina says the Mombasa
independence Kenya. Its com- the business community, says Nairobi line is critical for the
missioning will mean low freight Maina. development of Kenya because
transport costs, which is a good News. The line, constr ucted The completion of the it will provide a more efficient
development for the economies of by C h i n a Com mu n icat ion s MombasaNairobi line, which mode of transport for freight in
the region, Kenya Railways MD Construction Company (CCCC), forms the first phase of a broader the northern corridor, the main
Atanas Maina tells Engineering ha s t he p ot ent ia l to re duce railway investment programme, transport route for cargo des-
tined for not only Kenya but also
Uganda, Rwanda and parts of the
FUEL INFRASTRUCTURE identities of the four shortlisted Democratic Republic of Congo.
companies. Trains will travel at 80 km/h,
Renewed interest in delayed Howeve r, t h e c o m p a n ie s
that have expressed interest
which will significantly reduce
transit times for cargo.
Uganda oil refinery plan in the project include Chinas
China Petroleum & Chemical
The line has a haulage capac-
ity of up to 4 000 t a trip.
JOHN MUCHIRA listed companies. Cor p or at ion (Si nop e c) a nd
CREAMER MEDIA Russias RT Global had won Guangzhou Dongsong Energy Struggling
CORRESPONDENT the tender to finance, build and G r o up; I E SC O, of Tu r key; Currently, cargo transport along
THE much-delayed crude oil operate the 60 000-bbl/d-capacity Profundo, of Spain; SNC Lavalin, the northern corridor, which com-
refinery in Uganda is back on refinery, which was slated for of Canada; Maire Tecnimot, petes with Tanzanias central cor-
track after eight international completion in 2018. Completion of Italy; and Yatra Ventures, of ridor, is mainly by road, at 97%.
companies expressed interest has now been rescheduled to the US. Rift Valley Railways, the opera-
in implementing the $4-billion 2020. The refinery, which will be tor of the 1-m-gauge line between
project. Although Uganda entered into located in Hoima district, in Kenya and Uganda, has been
Four of the bidders have been negotiations with SK Engineering western Uganda, is a high priority struggling to operate profitably.
shor tlisted, and the Uganda & Construction-led consortium, of project, owing to its importance The SGR line will play a vital
government intends to select one South Korea, which was named in add ressing t he count r ys role in decongesting the Port
of them before July, eight months the alternate preferred bidder, energy needs and saving Uganda of Mombasa, thus enable it to
after the Russian consortium that after the Russian pull-out, the the $1-billion-odd it spends on increase cargo throughput to the
was initially awarded the contract talks broke down, prompting the petroleum product imports each inland, says Maina.
to build the facility walked away authorities to seek fresh bids. year. The commissioning of the line
in unclear circumstances, We hit a snag last year when Uga nd a is d et e r m i ne d t o comes at a time when cargo traffic
Uga nd a E nerg y M i n ist r y we were about to sign with the implement the refinery project to at the Mombasa port is increas-
spokesperson Irene Muloni Russians, who then pulled out. refine its huge crude oil deposits, ing, having gone up by 2.4%
says the Uganda government is Now we have four consortia from estimated at 1.7-billion barrels from 26.7-million tons in 2015 to
currently undertaking technical which we will pick the winner to and has partnered with Tanzania 27.3-million tons in 2016.
and financial evaluations of build the refinery, she says. to build an export pipeline to the The SGR line is designed to
the bids submitted by the short- Muloni declined to reveal the Port of Tanga. To page 23

COVERSTORY
RENEWABLE ENERGY
AUTONOMOUS AMBITION
Least-cost electricity transition being played out at CSIRs Pretoria campus
DYLAN SLATER | CREAMER MEDIA STAFF WRITER
ROOFTOP INSTALLATION
The Energy Autonomous Campus of

the CSIR is rolling out its rooftop solar
photovoltaic units at an accelerated pace
T
he expansive Pretoria campus of the was its role as a platform to demonstrate smart power grid and use natural resources
Council for Scientific and Industrial physical results, which is in the form of the for all its energy requirements. This plan
Research (CSIR) is increasingly EAC. He adds that a major influence in hinges on three primary forms of power
being taken off the grid with the roll-out work undertaken by the EAC is the focus generation to form an integrated plant
of renewable-energy projects as part of on a least-cost approach to determine the that is not only flexible and reliable but,
its drive to demonstrate the potential of methods of using renewable energy. eventually, also capable of producing
renewable energy to the domestic energy Attention, therefore, is being paid to about 30 GWh/y of energy. This
industry. the results achieved through different integrated plant will comprise various
To drive research and development into types of technology and various forms of solar photovoltaic (PV) plants, a wind
renewable-energy solutions for South implementation of an array of renewable- turbine and a biomass plant.
African applications, the CSIR established energy solutions and concepts to help the These primary forms will be
a new research unit the CSIR Energy CSIR understand the most cost-effective supplemented by secondary forms of
Centre (CEA) in 2015 that focuses on option for specific applications, the energy, such as storage from batteries,
energy research. A major component of the advantages and drawbacks of certain and hybrid generation such as hydrogen
CEA is the CSIRs Energy Autonomous technologies and combinations thereof, fuel cells.
Campus (EAC) initiative. and the risks associated with different
EAC programme manager Sengiphile methods of implementation. PV Fillip
Simelane tells Engineering News that, Simelane points out that the aim of Although a sizeable solar PV plant already
considering the global transition in energy the EAC project is to be a working exists at the EAC currently contributing
that is increasingly seeing a focus on demonstrator model to showcase key just under 1 MW to the CSIR campus
renewable energy, the CSIR decided to factors of renewable-energy power network the integrated energy plant is
launch a specific unit dedicated to conduct- generation technology, including the still largely under development.
ing research into energy issues that impact costs involved in implementing different It is planned that another 1 MW of
on South Africa and the wider region. forms, the performance thereof, risks and rooftop solar PV modules will be rolled
Energy research at the CSIR is divided rewards, likely payback timeframes and out in the upcoming financial year.
into various streams, which are relevant integration methods. The currently operating solar PV plant
to various issues in South Africa. A key The ultimate plan for the EAC is to comprises ground-mounted and rooftop
criterion of the departments establishment transform the entire CSIR campus into a plants.

To ensure that the data gathered on yield results from the different surfaces. conducting wind tests at the Pretoria
an experimental basis involves the latest Simelane adds that, in time, the paving campus to determine wind speed and
available technology and innovations, on the bifacial unit will be painted silver prevalence at various points and altitudes,
the solar PV plants contain an array of to determine if a highly reflective surface with about five of the 24 months of
different components and different has any impact on performance. monitoring remaining.
technologies, which will be monitored If the wind turbine proves to be feasible
to determine which technology is more Energy Autonomy at the campus, the EAC aims to make
favourable in terms of output and It is imperative that any energy project the asset a tourist attraction with the
investment cost. undertaken as part of the EAC has a incorporation of an observation deck on
The ground-mounted solar PV plant sound business case. In this regard, each its nacelle. We are planning a very tall,
features single-axis and dual-axis tracking individual project and/or experiment needs large turbine, so it will be a landmark
units that use hardware and software to to be cleared by an executive committee feature in Pretoria, enthuses Simelane.
follow the suns path throughout the day. (exco) of the CSIR. Further, owing to the solar PV plant
The single-axis tracking units follow the Simelane says that, in addition to being and wind turbine relying on naturally
sun only in one direction, while the a demonstrator model, the EAC is based occurring resources, which may
dual-axis tracking units can follow the on assisting the entire CSIR campus to individually or collectively be unavailable
sun in any direction and use a more reduce its dependence on power coming at times, the EAC also plans to construct
precise live feed of the suns exact from the national grid, thereby increasing a baseload power generation plant in the
position, which is generated using a its green footprint and gradually lowering form of a 2 MW or 3 MW biomass plant.
weather station. the cost of buying power from Tshwane Although he says the current plan is
The single-axis tracking units rely on municipality. to fire this plant using biomass generated
a preprogrammed path and are, therefore, The levelised cost of energy (LCOE) from solid waste from landfills processed
less efficient than the dual-axis tracking from the current solar PV plant is already by Tshwane municipality, the plant will
units in dynamic conditions such as an achieving the goal of being cheaper than be specified to operate using any biomass
overcast day or during seasonal changes. municipal power. The single-axis tracking feedstock.
Compared with fixed-axis modules, the plant produces an LCOE of 83c/kWh, We are in consultation with the City
tracking units result in about 20% greater while the dual-axis tracking plant produces of Tshwane, which has indicated a
efficiency in harvesting the suns energy. an LCOE of R1/kWh. The rooftop solar willingness to avail about 50% of its
As an additional point of reference, PV plant produces an LCOE of 87c/kWh. currently available solid waste to us for
some of the solar PV modules will be As we move forward, these prices will feedstock, he notes.
cleaned twice yearly, while another set drop purely because of the market, as the
of modules will never be cleaned to prices for solar PV modules continue to Storage Concepts
determine the effect of cleaned versus drop, says Simelane. Simelane says there will be regular
uncleaned panels. Although the solar PV plant is a main intervals when the integrated power plant
The dual-axis tracking plant also focus of demonstrating renewable energy, produces surplus power.
contains monofacial modules he says the EAC is also actively pursuing The campus has a peak demand of about
(conventional solar PV panels) and other forms of renewable energy and 7 MW and an average demand of about
bifacial modules, the latter of which storage, including hybrid generation and 3 MW. This raises two options in terms
contains PV solar cells on both sides of storage. of what to do with surpluses: storage or
the panel to absorb direct and indirect curtailment. He states that curtailment
(reflected) sun energy. Wind Watchers is not an option, as this is wasted power,
The bifacial modules are also The next big project being devised by the and has led the EAC to seek out various
separated into natural-reflection EAC is the incorporation of a large wind methods of storage to ensure no wastage.
(positioned on sand and grass) and turbine. Simelane says this will either be The most obvious storage method, says
manufactured-reflection (positioned on a unit of 2 MW or 3 MW. The EAC is Simelane, is batteries which the EAC
paving) to determine if a greater solar plans to roll out soon. By the end of the
year, there will be various battery systems
in operation throughout the campus. These
will include the most popular types, such
as lithium-ion batteries, as well as any
other viable new technology.
Selling surplus power into the regional
Tshwane grid is also an option being
looked at.
To page 82

NEWS&INSIGHT
STEEL 1 performer among key steel-using sectors,
Cyclical Upturn
owing to the consumption-driven recovery
in the developed economies, low oil prices
and the government stimuli programmes sup-
porting automotive purchases in several coun-
Steel demand seen growing again as recession risks recede tries. However, this may now be approaching
a peak.
MEGAN VAN WYNGAARDT | CREAMER MEDIA SENIOR CONTRIBUTING EDITOR ONLINE The construction, building and infrastruc-
G
ture sector, which accounts for 50% of global
lobal steel demand would increase by is expected to record increases in steel demand steel use, has been reflecting different pictures
1.3% to 1.53-billion tonnes this year, of 4% and 4.9% in 2017 and 2018 respectively. of the developing and developed economies.
and by a further 0.9% to 1.55-billion We expect Russia and Brazil will finally This sector has been a major driver of steel
tonnes in 2018, following growth of 1% in move out of their recessions. However, demand in developing countries on the back
2016, the World Steel Association (worldsteel) China, which accounts for 45% of global steel of urbanisation, but activity in the developed
said in its latest short-range outlook (SRO). demand, is expected to return to a more sub- economies since the 2008 financial crisis has
worldsteel economics committee chair- dued growth rate after its recent short uplift. been more subdued.
person TV Narendran noted that steel For this reason, overall growth momentum This appears to be about to change, with a
demand recovery had been stronger than will remain modest, Narendran pointed out. recovery in construction activities apparent in
expected in 2016, with the upside mostly com- With the risk of global recession reced- the European Union as a result of the improv-
ing from China. ing and economic performance improving ing economic conditions and the potential
We believe, in 2017 and 2018, we will see across most regions, a number of geopolitical renewal initiatives for infrastructure in the US.
a cyclical upturn in steel demand, with a con- changes still create some concern. US policy The machinery sector could also benefit
tinuing recovery in the developed economies uncertainties, Brexit, the rising populist wave from rising investment activities if the uncer-
and an accelerating growth momentum in the in current European elections and the poten- tainties surrounding the global economy can
emerging and developing economies. tial retreat from globalisation and free trade be contained.
Steel demand in developed economies is under the pressure of rising nationalism add On the other hand, depression in ship-
expected to increase by 0.7% in 2017 and 1.2% a new dimension of uncertainty in investment building activities is expected to continue for
in 2018. The developing world, excluding environments, worldsteel notes in the SRO. some time, given the global glut in shipping
China, accounts for 30% of global demand and The automotive sector has been the top capacity.
STEEL 2 quarter of 2016 and came on the back of flat year-on-year, with Germany recording a 1.9%
Global steel
year-on-year production in March of 539 000 t. year-on-year increase to 3.9-million tonnes dur-
Total global steel production for the 67 coun- ing March, Italy producing 9.5% more crude
production reaches
tries reporting to worldsteel totalled 145-million steel at 2.2-million tonnes and Spain produc-
tonnes during March, a 4.6% increase, while ing 1.4-million tonnes, up 15.7%.
410Mt in Q1
first-quarter production totalled 410.5-million France produced 1.3-million tonnes of crude
tonnes, up by 5.7% year-on-year. steel, up by 18.1%, compared with March 2016.
MEGAN VAN WYNGAARDT Asia produced 280.6-million tonnes of steel, The Commonwealth of Independent States
CREAMER MEDIA a 5.4% increase year-on-year. This was due produced 25.9-million tonnes of crude steel in
SENIOR CONTRIBUTING EDITOR ONLINE to Chinas March crude steel production of 72- the first three months of 2017, an increase of
SOUTH Africa produced an estimated 1.56- million tonnes, an increase of 1.8%, compared 4% over the same months of 2016.
million tonnes of steel in the first quarter of the with March 2016. Japan produced 8.9-million Turkeys crude steel production for March
year, the World Steel Association (worldsteel) tonnes in March, an increase of 1.8%. was 3.1-million tonnes, up 14%.
said in a recent note. This was roughly the same The European Union produced 42.5-million North Americas crude steel production
as the 1.54-million tonnes produced in the first tonnes of crude steel in the first quarter, up 3.8% totalled 29.3-million tonnes, a 7.1% increase.
WATER Megha Engineering & Infrastructure, SMC 20 000 m3 (20-milllion litres) of water a day,
Infrastructure and Technafab Engineering. thus meeting the present demand for water,
Four bidders shortlisted Bakuwa reports that the four bidders were says Bakuwa.
for Blantyre water project selected after Exim Bank had scrutinised
ten applications from several interested
Secondly, it will assist in reducing exorbi-
tant electricity costs, as the system will largely
MARCEL CHIMWALA contractors. be operated under gravity specifically, the
CREAMER MEDIA CORRESPONDENT The main components of the project include raw water transmission mains.
MALAWIS Blantyre Water Board (BWB) the construction of an intake structure on the The project is aimed at curbing water
has shortlisted four bidders for a project to Likhubula river; the laying of a 50km pipe- shortages in Blantyre, which are the result
tap water from the Likhubula river to the city, line from the river to Nguludi, which is close of increasing demand caused by rapid popu-
the countrys commercial capital. to the city of Blantyre; the construction of a lation growth.
The project will be financed by a $23- storage tank at Mpingwe Hill, in the city; and Malawi will also implement a project to
million loan from the Export and Import the laying of supply mains from the storage tap water from Lake Malawi to supply the
(Exim) Bank of India. tank to two locations in the city. city of Lilongwe.
BW B CEO Henry Bakuwa says the The importance of [this project] cannot be The contract for the project has been
four shortlisted bidders comprise a joint overemphasised. Firstly, it will supplement awarded to South Africa-based Katho Civils
venture of WPIL and SMS Paryavaran, the existing water supply systems by adding in a restricted tendering process.
20 ENGINEERING NEWS | May 1218, 2017 EG

NEWS&INSIGHT
INFRASTRUCTURE companies to introduce their CIG peers prod-
African Energy
ucts and services. A tangible example is
Ghana, where Conco has an excellent record
but where Conlog has never operated.
He also remained optimistic about oppor-
CIG uncertain about local outlook, but sees growth tunities in South Africa, despite the delays in
starting Round 4 renewable-energy projects.
in rest of Africa CIG is a major participant in Round 4, hav-
ing secured work valued at R2.3-billion. We
MEGAN VAN WYNGAARDT | CREAMER MEDIA SENIOR CONTRIBUTING EDITOR ONLINE have to bear out the delay in starting Round 4,
P
as we are confident that the programme will
a n-A fr ica n infrastr ucture group currency had improved in Angola and AES happen and will contribute significantly to
Consolidated Infrastructure Group currently had no backlog on its offshore cre- our South African power business over the
(CIG) posted revenue growth of 29% to ditor payments. next three years once active. Gamsu pointed
R2.7-billion for the six months to February 28, Looking ahead, he noted that CIG would out that addressing new black economic-
owing to its strategy to expand across Africas leverage the groups cross-selling opportuni- empowerment legislation in South Africa and
energy markets. ties by piggybacking the established pres- the sectors skills shortage would continue to
The company further reported a 20% year- ence and local market experience of group pose challenges to growth.
on-year increase in its earnings before inter-
est, taxes, depreciation and amortisation to
R330-million; however, it noted that its earn-
ings were negatively impacted on by a reduc-
tion in profitability in CIGs Angolan associate, Call Irene on +27 10 060 2955
AES, owing to a slowdown in oil exploration, Email info@g5properties.co.za
a stronger South African rand and higher
interest costs.
Earnings per share and headline earnings
per share were down 18.5% to 111c apiece. Ready 1st September 2017!
The group ended the period with cash of
R548-million, compared with R481-million
as at end-February 2016.
Meanwhile, CIG posted a strong order book,
growing 25% year-on-year to R6.6-billion.
CEO Raoul Gamsu said he remained con-
fident in the groups focus on Africa and the
Middle East, and was pleased at the con-
tinued momentum in CIGs international pen-
etration in the period; the Middle East-Africa
region presents a wealth of opportunity given
the upward trend in renewable-energy pro-
jects and continued demand for and funding
of electricity grid infrastructure.
The companys power division remained
the key driver of results and performed well, LETTING FROM
with its renewables start-up, CIGenco, con- R55 p/sqm
cluding its first contract for an independent
power project in Namibia.
In South Africa, the division faced mixed 10 PREMIUM
conditions, with uncertainty in the municipal
and renewable-energy sectors balanced by con- UNITS
tinued infrastructure investment on the part
of Eskom and the mining sector.
The building materials and rail divisions Each unit comprising spacious warehousing with modern offices, generous
both recorded stronger and positive growth, internal stacking heights of minimum 11m, excellent security, ample yard
mainly owing to improved market condi-
tions and expanded market share. AES, the space and parking areas. Ramps and docking level provisions. Centralized
oil and gas divisions waste service business backup electricity supply. Conveniently situated in the Western Capes
in Angola, fared worse and was impacted on Northern Suburbs Brackenfell.
by reduced oil exploration activity and the
appreciation of the rand.
CIG acted quickly together with local
management to contain costs in the slower
period and AES continues to deliver positive
returns on investment for the group, said
Gamsu, adding that conditions for foreign

NEWS&INSIGHT
ENERGY & FOOD partnership between government, higher learn-
Secure with Solar

ing institutions and business.
Zokwana highlighted that initiatives such
as these would help the department reach its
goal of establishing one-million jobs in agri-
High-level support for innovative agrosolar greenhouse concept culture by 2030.
Agriculture is the answer to various prob-
MIA BREYTENBACH | CREAMER MEDIA STAFF WRITER lems. We need a doctor or dentist or attorney
T
several times a year, but we need a farmer
he Department of Agriculture, Forestry yields than conventional farming. No soil is at least three times a day. We must strive for
and Fisheries (DAFF) has pledged its required to grow the vegetables and water friendlier methods of agricultural production.
support for the SUNfarming Food & economy is increased through drip irrigation. What NWU and SUNfarming are doing here
Energy project run by North-West University Through the project, several women from is the answer to these challenges we are fac-
(NWU), in Potchefstroom, in the North West the local Ikageng community are being trained ing within the agriculture sector.
province, which promotes the growing of in cultivation methods, insect control, nutri- What I saw today is the future of agri-
affordable and nutritious food in local munici- tional values of the different crops, root sys- culture... It is important that these and
palities, thereby effectively addressing house- tems and harvesting techniques. other projects seek cooperation agreements
hold food and nutrition insecurity. We are no longer planting our vegetables with the private sector to expand it further
The project is a partnership between using the soil, but coco fibre. Our system of across the province and the country, the
Germany-based photovoltaic (PV) specialist farming saves water. Our vegetables pots are Minister said.
SUNfarming and NWU. irrigated on time and we produce fresh vege- N W U Potchefst room ca mpus rector
The project, which is cofinanced by the tables, Buni Maretlwa, one of the workers Professor Fika Janse van Rensburg said
German government, focuses on the applica- at SUNfarming, said. many communities would benefit from this ini-
tion of technological engineering solutions NWU and SUNfarming donated the initial tiative should it be rolled out on a bigger scale.
and takes traditional, small-scale vegetable plants, fertiliser and compost and the reve- SUNfarmings objective is to roll out the
farming to new heights. nue generated from the produce will enable project to all universities and schools in
Special so-called agrosolar greenhouse the community members to sustainably grow Africa and it is collaborating with universi-
structures are used to grow vegetables, such produce for many production cycles. ties in Kenya, Ghana, Zambia and Botswana,
as tomatoes, spinach, cauliflower, lettuce, cab- At a site visit to the project last month, besides other countries, to achieve this goal.
bage, broccoli, onions and herbs. The project, Agriculture, Forestry and Fisheries Minister Through the cooperation with African edu-
which started production in June 2016, cur- Senzeni Zokwana said, in view of the pro- cational institutions, we seek to lay the ground-
rently comprises three greenhouses, or tunnels. jects innovative technology for agriculture, work for future investments and joint ventures
While agricultural produce is grown, the the department wanted to see this replicated between our company group and local com-
solar panels mounted on top of the tunnels in other parts of the country, as it effectively munities in your country, said SUNfarming
generate electricity. deals with the issue of climate change and founder Peter Schrum.
Solar tunnel production offers much higher the scarcity of water and land, calling for a ENGINEERING NEWS COUPON ON PAGE 82 E450989
INVESTMENT completely neglected, resulting in their deve-

Maluti-A-Phofung lopment potential being severely constrained.
He added that many of the excluded areas
SEZ officially launched lacked the critical factors for long-term eco-
nomic and industrial success and that the SEZ
ANINE KILIAN programme was an important catalyst that
CREAMER MEDIA would allow these areas to contribute to the

CONTRIBUTING EDITOR ONLINE countrys economy.
THE 103 ha Maluti-A-Phofung Special This launch demonstrates our promotion
Economic Zone (MAP-SEZ), in Harrismith, of industrial development, which is key to the
in the Free State, forms an important part of nations long-term economic success and pros-
governments SEZ programme, which is aimed perity, Zuma said.
at ensuring excluded areas of the country are He further noted that the SEZ, initiatives
developed and enabled to contribute to the like it and the Department of Trade and
countrys economic growth. RIBBON CUTTING Industrys broader industrial parks initiatives
Speaking at the launch of the SEZ, President President Jacob Zuma and Trade and Industry were critical to efforts to radically transform
Jacob Zuma said the SEZ was aimed at cre- Minister Rob Davies the economy. He also noted that, to date, the
ating growth opportunities outside traditional SEZ programme had attracted over R9-billion
manufacturing and industrial areas. a balanced regional economy, together with in investment into the country.
We are doing this by promoting industriali- industrial development. Trade and Industry Minister Dr Rob Davies
sation and the development of township and Sout h A f r icas economy continues agreed that the SEZ programme was a critical
rural economies, he added. to rely on the regional investor hubs in tool for attracting foreign direct investment,
He stated that government was fully com- Gauteng, eThekwini, the Cape Peninsula creating decent jobs, establishing new indus-
mitted to pursuing and implementing a pro- and Pietermaritzburg. These regions collec- trial centres, and developing and improving
gramme of radical economic transformation, tively account for 70% of the nations gross existing infrastructure.
noting that one of the critical components of value-added tax (VAT), Zuma pointed He stated that the SEZ programme had
achieving transformation was the notion of out, stating that many other regions were entered full implementation phase.

NEWS&INSIGHT
CEMENT meet its domestic needs but also From page 16
Cement Incentives
export to neighbouring carry 22-million tons of cargo
countries. Ethiopia aims a year, equivalent to 40% of the
to produce 27-million tons Mombasa ports throughput.
of cement each year by In anticipation of increased
Ethiopia says it will continue 2020, making it an African container throughput at the port,
powerhouse in cement the Kenya government is modern-
to support cement investments production and a key exporter ising and expanding the inland
of the material. container depot (ICD), in Nairobi.
JOHN MUCHIRA | CREAMER MEDIA CORRESPONDENT The commissioning of When completed, by August,
E
Habesha Cement comes barely the ICD will have five additional
thiopia will continue human resources, among two years after the opening SGR lines serviced by six gantry
to offer investors in others, to help them become of the Dangote plant in the cranes for offloading and loading
the cement industry competitive in the international country, which has a yearly containers, a staking yard for at
attractive incentives as it seeks market, said Prime Minister capacity of 2.5-million tons of least 5 000 twenty-foot equiva-
to dominate the cement trade in Hailemariam Desalegn when cement and is the biggest in lent units (TEUs) and a yearly
the wider East African region. he commissioned a plant East Africa. throughput of 405 000 TEUs.
Cement production in the owned by Habesha Cement, a Currently, the depot has a yearly
Horn of Africa nation has joint venture involving South Yearly Production throughput of 180 000 TEUs.
increased tenfold during the Africas Industrial Development The Habesha plant, which T h e s e c o n d p h a s e of t h e
past decade, owing to the entry Corporation and Pretoria was constructed at a cost of SGR project will see the line
of new investors attracted by Portland Cement, as well as $155-million by Chinese com- being extended from Nairobi to
incentives like cheap electricity, local shareholders. It is the pany Northern Heavy Industry, Naivasha, a distance of 120 km,
government-provided land and newest cement factory in the has a yearly production capacity at a cost of $1.5-billion, funded
tax incentives. country. of 1.4-million tons. by a loa n f rom t he Ch inese
The Habesha plants commis- It is located in Holeta town, government.
Support sioning increased Ethiopias some 35 km west of the capital, Kenya has also signed con-
Government will continue cement production capacity to Addis Ababa. Besides Habesha struction agreements with CCCC
to support investors in the 16.4-million tons a year, ten and Dangote, other cement covering Phase 2B, from Naivasha
cement industry by providing times more than ten years ago. manufacturers in Ethiopia to Kisumu, and Phase 2C, from
them with clean energy, The production surge has are Mugher, Messebo, Derba Kisumu to Malaba, on the Uganda
logistics infrastructure and enabled the country to not only Midroc and Ethio Cement. border.
You dont have to see the whole

staircase, just take the first step.
Martin Luther King Jnr
Take the first step with a postgraduate

qualification in engineering, technology or
project management.
The Graduate School of Technology Management (GSTM) at the

University of Pretoria is the first graduate school of its kind in
South Africa and also the largest in Africa.
Degree programmes:
Masters in Engineering Management (MEM)
Masters in Project Management (MPM)
Masters in Technology and Innovation Management (MTIM)
Honours in Engineering and Technology Management (MOT)
Year programmes and short courses:

Project Management
Engineering Management
Technology Management
Maintenance Management
Systems Engineering
Asset Management
For more information on programmes offered by the GSTM,

visit www.up.ac.za/gstm
RA ENGINEERING NEWS | May 1218, 2017 23

NEWS&INSIGHT
TRUCKS was exposed to additional biologically effec-
Light & Load

tive daylight under clearly defined conditions.
The extra dose of light took three forms
involving different intensities:
steady light while driving, where the inten-
Daimler testing the effects of augmented sity was adjusted to the exterior light level;
an intense light shower of maximum inten-
lighting on health of truckers sity during the tests, before and after driving;
and
IRMA VENTER | CREAMER MEDIA SENIOR DEPUTY EDITOR light while reclined, also of maximum inten-
A
sity, during breaks while the driver relaxed.
research team from German truck For many years, scientists have been During the night, the test subjects slept in a
maker Daimler recently explored an researching the complex relationships between normally darkened truck.
interesting question in the darkness the availability of biologically effective light The team documented the test results with
of Finlands polar night: Does the biological and the physical and mental states of human support from co-researcher Dr Michael
effect of light have a positive influence on the beings. Schrauf and the use of electroencephalo-
wellbeing and performance of truck drivers? Various related health problems have been graphy, electrocardiography and electrooculo-
Eight Daimler test drivers simulated two defined. One of the most common is seasonal graphy and other physiological measurements,
typical working weeks for truckers at a site affective disorder. as well as saliva samples, to ascertain levels
in Rovaniemi, in Northern Finland, in the Lack of light is a serious problem for many of the sleep hormone melatonin.
Arctic Circle. people in Northern Europe, for example, which Mental state and professional performance,
The truckers alternated between driv ing barely gets light during the winter months. which are closely related, were examined
for one week in a truck cab with conventional This can result in reduced performance and a using standardised psychological test proce-
lighting and for another week in a cab with a lack of motivation. dures (sustained attention and reaction tests on
Daylight+ module that provides additional day- Light therapy is a standard method of treat- the computer) and by recording vehicle data
light while driving and during breaks. ing these symptoms. through the FleetBoard telematics system.
In order to ascertain the possible benefits of When viewing trucks in terms of daylight, Rothe estimates that it will take several
applying daylight inside the truck cab, project Rothe determined that the shape of a conven- months to sift and analyse the extensive data
manager and head of the experiment Siegfried tional truck cab allowed only a comparatively from the series of experiments conducted in
Rothe, of the Daimler research department, low percentage of natural light to reach the the Arctic Circle.
defined this working hypothesis an applica- drivers light receptors. This finding prompted Only then we will be able to make a
tion of biologically effective light with a wave- him to think about possible solutions. recom mendation as to whether the test find-
length of between 460 and 490nanometres has An initial series of experiments with engi- ings should lead to changes in the design of
a positive effect on humans. neers from Daimlers test drive department cab lighting.
Nobody thinks too much about daylight, pro- proved positive. The subjective condition of Initial feedback from the truck test drivers
vided they do not suffer from a lack of light. all test subjects improved significantly under already provided some new insights.
Yet light dictates how life on earth is organised. the influence of an additional dose of light, The drivers consistently reported that they
The shift from day to night provides struc- regardless of the time of day. perceived the space inside the cab to be con-
ture as a short-term time cycle, as do the Another finding proved surprising test siderably more pleasant with the additional
changing seasons. Also, evolution means drivers with more daylight in the cab drove light fittings.
that the human internal clock has adapted to more economically. During the formal expe- When designing the series of tests, we
these circumstances, with this clock helping riments in Rovaniemi, Rothe examined how a hadnt even considered that the space might
in synchronising circadian rhythms. drivers performance changed when he or she appear larger, says Rothe.
LOGISTICS
Online bidding platform aims to

disrupt truck transport industry
IRMA VENTER the least expensive truck transport
CREAMER MEDIA for their goods.
SENIOR DEPUTY EDITOR Linebooker was born from our
LINEBOOKER wants to do for discomfort with the transport bro-
the truck transport industry what ker business model, says CCS
Ubers introduction did within the Logistics MD Naud Rademan.
metered taxi industry disrupt We found the pricing model
the traditional business model, rather murky.
cut costs and improve competi- Transport brokers typically
tiveness and convenience. charge a brokerage fee to marry
A spin-off from the innovation a transporter and a company in
arm of CCS Logistics (part of need of transport. Companies seek
Oceana Group), Linebooker has a transporter as they either do not
launched an online bidding plat- own a truck fleet or because they BIDDING WAR
form that allows customers to seek To page 26 Transport companies have a two-hour window to bid on a load

NEWS&INSIGHT
AUTO INDUSTRY
Consolidated Model
Chief selected for Imperials newest business venture
IRMA VENTER | CREAMER MEDIA SENIOR DEPUTY EDITOR
T
he automotive business of the JSE- business unit in July 2016.
listed Imperial group has a new leader. The restructuring has prompted the question
Former Imperial CFO Osman Arbee whether Imperial will consider listing these
was named the CEO of Imperials newest entities as separate units on the JSE.
business venture, the Motus Corporation, in Before we consider listing either of these
January. Arbee has been with Imperial for divisions, we need to run them as two focused,
close to 13 years. increasingly self-sufficient effective businesses,
Manny de Canhas retirement from and we think that will take us to 2018, says
OSMAN ARBEE
Imperials Associated Motor Holdings with Arbee. The way forward for Motus is to pull the
Imperial buying out his 10% share of the busi- Once we get to June 2018, we will be in businesses together, see where the industry is
ness has allowed the JSE-listed group to a better position to decide whether a sepa- headed
restructure its interests into two businesses. ration is the right decision for stakeholders.
Imperial now consists of the Motus and Right now we are trying to focus two large get in terms of warehousing, our footprint
Imperial Logistics divisions, which currently independent businesses and see how we can [and] the way we distribute our cars and man-
generate roughly R70-billion and R50-billion maximise our returns. age our parts. We are one family now in the
in revenue a year respectively. Currently, these divisions are still held Motus division, and we need to run the busi-
Motus came into existence on January 1, together by the Imperial group balance sheet. ness as one.
consolidating all Imperials vehicle import, Once we get some rubber on the road, we can Arbee also wants Motus to sell all its avail-
distribution, retail, rental, aftermarket parts question if they still fit together as a family. able motor-related financial services across
and financial services businesses into one Arbees task for the next 12 months is to pull the family.
division, operating through 1 360 dealerships, a relatively young team of leaders together, The longer-term goal is to ensure the sus-
depots, and car rental and franchise outlets. and to create whatever synergies, whatever tainability of the business going into the future.
Imperial Logistics was formalised as one cost savings and economies of scale we can To page 28

NEWS&INSIGHT
AUTO INDUSTRY
Gearing Up
BMWs Rosslyn plant to start producing X3 early next year
IRMA VENTER | CREAMER MEDIA SENIOR DEPUTY EDITOR
P
roduction of the new X3 at the BMW capital expenditure budget for the X3 was
plant in Rosslyn, outside Pretoria, for spent over an eight-week shutdown period in
the local and export markets, will start December 2016 and January 2017. ROBOT FARM
in the first half of 2018, says BMW Group Around 1700 people spent a total 1.4- The plants new body shop increases the
South Africa (SA) and sub-Saharan Africa million workhours at the plant, moving 2225t amount of robots used from 190 to 288
CEO Tim Abbott. of material into the plant and removing 1959t
The plant currently produces the 3Series from the facility. Around 226km of cabling Abbott. Job opportunities will also increase.
sedan, also for the local and export markets. was also laid during the shutdown. A number of BMW Group SA staff have been
In 2016, the facility produced 63000units, The X3 project sees BMW Group SA mak- upskilled to become maintenance person-
with 2017 to deliver roughly the same volume. ing use of a new body shop, an upgraded paint nel at the bodyshop. We also do a lot more
Around R6-billion is being spent on the shop, a new combined vehicle body stacker manual work in our body shop than in
Rosslyn facility to gear up for X3 production, and a refreshed assembly line. Germany, for example, in an effort to create
says Abbott. With the new X3, the plant will, A new training centre, due to open in the jobs, says body shop GM Danny Bester.
technically, be designed for a potential maxi- middle of the year, will also gear up the The new 26000m 2 body shop, with its
mum capacity of 71000 units [a year]. companys employees for production of the improved ventilation and use of natural light,
Abbott adds that the sports utility vehicle newX3. is twice the size of the old body shop.
(SUV) is the right vehicle for Africa going BMW Group SAs paint plant has always The old body shop will become a logistics
forward. He believes the German carmaker been the Achilles heel, in terms of qua lity, space once X3 production starts.
will eventually also find a market for the X3 of the Rosslyn plant, says Abbott. Now it The assembly plant received a new roof as
in African countries outside South Africa, is comparable with the best anywhere in the part of the X3 project.
such as Nigeria and Kenya, when the conti- world. The roof had to be lifted by 14m to enable
nents economy picks up again. The new paint plant will save 20% on its production of the taller X3 (compared with
In 2016, around 30% of all BMWs sold energy use, partly by cutting the primer phase the 3Series). The new roof was built over
globally were SUV X-models. X-model sales (and the use of an oven after this phase) from the existing roof, with the existing roof then
jumped from 295000 units in 2010 to 644992 the traditional four-phase process of e-coat, dismantled.
units in 2016. primer, base coat and clear coat. A new inte- The planned change in production also
grated paint process sees the base coat tak- introduces a hanger system to the plant, which
Big Change ing over the function of the primer coat. The brings the vehicle being assembled to the
Having focused exclusively on 3 Series Rosslyn plants new combined body stacker worker (associate in BMW-speak), instead
sedan production since 1990, gearing up can store up to 132painted and unpainted car of the associate moving to and from the unit.
for X3 assembly has led to the biggest bodies. At 32m high, it is the tallest build- The plant also had technology installed that
infrastructure change in the history of plant ing in Rosslyn. turns vehicles on their sides to allow for the
Rosslyn, notes Abbott. The plants new body shop will increase the easy fitment of components such as fuel lines,
Around R500-million of the R6-billion number of robots used from 190 to 288, says instead of associates working overhead.
From page 24 This very open, transparent at his destination, as well as to paperwork, as well as a 13% sav-
need to subcontract other trans- system means smaller transport- upload proof of delivery. ing in transport costs to the cus-
porters to assist them with their ers can easily compete with the The customer and Linebooker tomer on average. Linebooker also
operations. big guys, says Hoffman. can view the drivers progress in provides the opportunity of lane
Linebooker is an online plat- Linebooker charges a book- real time. balancing, adds Hoffman.
form, explains Linebooker sup- ing fee of no more than R450, The system currently includes When a truck delivers goods
ply chain manager Nick Hoffman, dependent on the value of the suc- 40 transport companies. Load from Johannesburg to Cape Town,
where customers log on, stating cessful bid. capacity starts at 12t. that truck does not have to come
details such as the pallet count, We execute the load, notes We vet these transport compa- back empty, which costs around
pallet height, loading point, deli- Hoffman. We take full accounta- nies and their trucks through face- R8 000 in fuel alone. Through
very point and temperature range bility for the delivery of the goods. to-face visits, says Hoffman. We Linebooker, that truck can find
of the goods to be transported. We track the truck and the deliv- inspect the vehicle and make sure a load to carry back to Gauteng.
Transport companies then have ery of the load. We pay the trans- the correct insurance is in place. Rademan says Linebooker will
a two-hour window to bid on the porter within 15days, while we Rademan says Linebooker carry its 1000th load this week,
load, with bids moving in R200 will give the customer 30days delivers several benefits for the of which 300 were executed in the
increments. The customer selects to pay us. industry, such as improved effi- last month.
a winning bid after the two-hour A Linebooker phone app allows ciency, increased competition, bet- We have experienced exponen-
period, only then learning the the driver responsible for the deli- ter visibility of the logistics chain, tial growth in the last two months.
identity of the company that will very to note when he is loading the a single creditor, the opportunity We aim for 2000 loads a month
provide the service. vehicle and when he has arrived to compare rates and reduced by July.

NEWS&INSIGHT
SCIENCE & TECHNOLOGY you invest in knowledge generation. Science
Protect & Promote

has made so much difference in our lives.
That science . . . has also created wealth. Our
focus, through Nipmo (National Intellectual
Property Management Office), when we fund
South African intellectual property offices research, the knowledge that is generated
that IP is protected.
seeking to stimulate innovation The DST is also getting universities to set
up technology transfer offices to protect and
KEITH CAMPBELL | CREAMER MEDIA SENIOR DEPUTY EDITOR commercialise the IP developed by them.
T
When you have IP, you mustnt behave like
he Compa n ies a nd I nt el le ct u a l IP is [currently] all over [the place], she a stingy husband or a stingy boyfriend, he
Property Commission (CIPC), an observed. The DTI is mandated to lead cautioned. The value of IP is its utility. When
agency of the Department of Trade and policy in this area. The success of what we you protect IP, it is to protect it so it can be
Industry (DTI), has been holding talks with are doing in the IP space is dependent on our used. Similarly, the DST is creating IP reposi-
the Department of Higher Education about success in collaborating. tories, so that local researchers and entre-
establishing a national intellectual property South Africa . . . [has a] very fragmented preneurs can access South African IP. So, if
(IP), or innovation, academy, reported CIPC IP [environment] . . . [with] pockets all it isnt being utilised, you can take it forward.
executive manager: innovation and creativity over gover n ment , p oi nt e d out C I P C We ought to educate, to raise awareness,
Nomonde Maimela. She was speaking at commissioner Rory Voller. Involved with so you are comfortable talking about IP,
a function to celebrate World Intellectual IP development and protection are the DTI, asserted Maimela. Not all of us know about
Property Day on April 26 at the Innovation the Department of Science and Technology this thing, especially the youth. There is
Hub, in Pretoria. (DST), the Department of Health, among a whole [IP] value chain. Once you register
She stressed that these talks were in their others. We need to centralise it. Africa has [your patent or design] with the CIPC, you
early stages. The proposed academy would many challenges, he empha sised. A lot have to ask: how do I commercialise this? It
be a large innovation/incubator complex, of challenges can be over come if we, as a is like we are a team in a relay, passing the
apparently inspired, or partly inspired, by continent, can understand the IP situation and baton one to another. We need to elevate our
such a complex now operating in Russia. use the [global] innovation and IP system. country. South Africans are very innovative,
The intent would be to concentrate as much Over a couple of years, we have been very inventive. We are a very inventive nation.
as feasible of the countrys IP development in look ing at how best we (DST) can protect IP (The Innovation Hub, which hosted and was
one big place. developed through public funding, stated DST one of the sponsors of the World Intellectual
The idea is that such a concentration would deputy director-general: technology innovation Property Day celebration, is an agency of
accelerate IP development in the country by Mboneni Moufhe. We really felt we need to the Gauteng provincial government, not the
bringing hitherto widely scattered innovators find a way to protect [this] IP. The country, national government. It is also currently
into proximity with each other. We can get as a whole, invested R2-billion in research regarded as the leading science park in Africa.
where we want to go faster when we are and development in the 2014/15 financial The other sponsors were the DSTs Nipmo and
working together, she affirmed. year, he noted. When you invest in science, biotechnology association AfricaBio.)
INFRASTRUCTURE month, two lanes of the M1 would
Construction of M1 be open in each direction, while the

Ettrick road onramp (southbound)
Oxford, Federation
would reopen and the Oxford road
offramp (northbound) would close.
bridges enters last leg

Also speaking at the briefing,
Transpor t MMC Nonhlanhla
Makhuba said a high-quality road

ANINE KILIAN network was an essential element of
CREAMER MEDIA
CONTRIBUTING EDITOR ONLINE a prosperous and thriving city that
was able to attract much-needed
THE Johannesburg Roads Agency (JRA) invest ment a nd move people,
reports that construction upgrades on the M1 services and goods effectively
freeways Oxford and Federation bridges will across the city.
enter the third and final phase this month. The essential rehabilitation of
The R127-million project is 75% complete, NONHLANHLA MAKHUBA our ageing M1 freeway and bridge
A high-quality road network is an essential element of a
with most of the fill and stabilisation of prosperous and thriving city infrastructure is a major project to
underground conditions completed on the improve mobility in Johannesburg
southbound section. for school learners, employees, taxi
A 3 km stormwater drainage system on He added that the application of protective and bus drivers and the 80 000 vehicle owners
the freeway between Rockridge bridge and coatings was also under way and work would who use the freeway daily, she said.
Federation bridge is being upgraded, as well now move to the northbound section of the M1, She added that, when investors took deci-
as Oxford and Federation bridges below necessitating a switchover of lanes. sions on whether they would expand their
the freeway, JRA MD Dr Sean Phillips Further traffic disruptions should be businesses into specific cities or regions, they
said at a media briefing in Johannesburg expected, he warned drivers. always enquired about the quality of available
last week. The JRA pointed out that, as from this infrastructure.

NEWS&INSIGHT
NUCLEAR
New Course
Court ruling means new approach needed for SAs
nuclear programme

KEITH CAMPBELL | CREAMER MEDIA SENIOR DEPUTY EDITOR
T
he South African Nuclear Energy In its reaction, also issued in a press release
Cor p or at ion ( Ne csa) ca l le d for on the same day, Business Leadership South
caution and common sense in the Africa (BLSA) hailed the judgment. Once
press release it issued on April 28 in response again, the rule of law has triumphed in South
to the Western Cape High Court judgment on Africa. It congratulated the groups (Earthlife
April 26, which set aside as unconstitutional South Africa and the Southern African Faith KELVIN KEMM
and unlawful certain policy decisions and Communities Environment Institute) which A false impression has been created that this
intergovernmental agreements announced and brought the case before the court. judgment is antinuclear
entered into by the South African government Judge Lee Bozalek . . . has assured South
regarding the countrys planned construction Africans of future public participation and We look to the Department of Energy for
of new nuclear power plants (NPPs). It high- more transparency, it averred in its press guidance on the matter and will take [its]
lighted that the judgment had not derailed the release. BLSA applauds this ruling, particu- lead on the next course of action. The asso-
countrys new NPP programme. larly given the nuclear new-build programme ciation emphasised that the High Court had
The court has ruled on an administra- was a red flag for ratings agencies. It pointed passed no judgment on nuclear energy but
tive process, stressed Necsa chairperson to ratings agency Fitch as having cited the new had focused its concerns on the procedures
Dr Kelvin Kemm. The court has not ruled NPP programme as a key reason for the dis- that had been adopted by government in
on the wisdom, or otherwise, of nuclear power. missal of former Finance Ministers Pravin carrying out its nuclear policy.
A false impression has been created that this Gordhan and Nhlanhla Nene. Niasa reaffirmed its commitment to proper
judgment is antinuclear. It is not and comment BLSA has also noted and supported the procedures, transparency and fair trade in
to that effect is premature and regrettable. clear findings of the Integrated Resource Plan, the implementation of the new NPP pro-
There are many misunderstandings and which suggest South Africa does not need a gramme. It pointed out that all its members,
false perceptions around nuclear and the pub- R1-trillion nuclear plan. In our current low- which include all the companies seeking to
lic is often fed misinformation about the costs, growth environment, the costs and affordabil- sell NPPs to South Africa, had signed a dec-
benefits, safety and South Africas long-term ity of a nuclear programme will strain public laration committing themselves to a fair and
energy requirements, he affirmed. One posi- finances already under pressure. The judges transparent acquisition process that respected
tive aspect of this ruling is that it presents the findings have forestalled government from South African law.
opportunity for the facts and truth to be fully flouting Constitutional requirements, side- Nuclear technology is not new to South
aired and debated so that rational people can stepping Parliament and the public and defy- Africa and would play its part in an energy
think and decide on realities, not hearsay. The ing the standards of transparency required in mix for the country, which would, Niasa stated,
antinuke lobby has had the platform to them- a democracy . . . BLSA welcomes the ruling meet both the countrys baseload electricity
selves, not least because the nuclear industry that the Minister of Energy and the National requirements and climate change commit-
has been quiet. This will change. Necsa and Energy Regulator of South Africa will make ments. [T]he argument for nuclear technol-
the nuclear industry intend to step up efforts to a new, more accountable determination. ogy is undisputed and supported by scientific
put the facts before the court of public opinion The Nuclear Industry Association of research, said Msebenzi Equally so, we
and to present a balanced and evidence-based South Africa (Niasa) issued its reaction on respect our democracy and the need for cor-
case for nuclear energy as the right energy April 27. As an industry, we respect the courts rect process and procedure.
option for South Africa. judgment, stated Niasa MD Knox Msebenzi. ENGINEERING NEWS COUPON ON PAGE 82 E451000
From page 25 ourselves how we make Motus sustainable seeks to earn more revenue offshore. Around
In current market conditions, things are in this industry. 13% of Motuss profits are currently earned
changing constantly, such as peoples buy- That sustainability, he adds, involves outside South Africa, mainly through vehi-
ing patterns, says Arbee. This includes the remaining an importer of vehicles such as cle distribution rights in Africa and dealer-
way people choose cars the way they see the Hyundai, Renault, Kia, Mitsubishi and ships in the UK and Australia.
the ownership of vehicles. Disruptive service Tata brands. The second challenge to the newly minted
offerings, such as Uber, are coming naturally Local assembly of these passenger cars division is the lack of economic growth in
to younger people, for example. offers no economies of scale. Motus will, how- South Africa and, as a result, the demand for
We need to invest in information tech- ever, continue to assemble commercial vehicles new cars are low. No new jobs means no new
nology, we need to make sure we understand in South Africa, such as the Hyundai bakkie. vehicle buyers, says Arbee.
the consumer, and we need to make sure we Looking to the future, Arbee notes that The third challenge is that any down-
are more efficient in the way we sell vehicles. Motus faces three challenges. grade in South Africas sovereign rating will
In short, says Arbee, the way forward for The first is a volatile, unpredictable rand, probably lead to higher interest rates, which
Motus is to pull the businesses together, see more so than a weak rand. will negatively affect consumers spending
where the industry is headed, and then ask In order to counter rand movement, Motus power.

NEWS&INSIGHT
NUCLEAR RULING opportunity for re-engaging with stakeholders
Kubayi should seize clean

including Earthlife Africa Johannesburg
and the Southern African Faith Communities
Environment Institute, which brought the
slate nuclear opportunity

application to open a proper debate on
South Africas electricity future.
Surely, the latter would be the better course,
particularly in light of the space created by the
current power glut an ironic situation brought
TERENCE CREAMER | CREAMER MEDIA EDITOR about by a combination of worryingly weak
H
demand, higher coal-plant availability and new
aving been effectively directed by the The ruling was also scathing in its assess- renewables and conventional supply.
Western Cape High Court to start ment of the content of the 2014 intergovern- The logical platform for such re-engagement
with a clean slate when approaching mental agreement (IGA) with Russia as well as is the process already under way to update the
the controversial issue of nuclear procure- the tabling of the Russian, South Korean and IRP. True, the base case has been tabled and
ment, South Africas new Energy Minister, US IGAs before Parliament. On the content there has already been a public participation
Mmamoloko Kubayi, has some big calls to of the Russian IGA, the judges found that it process. However, there is still an opportunity
make. could not be considered a routine agreement to make the updating far more inclusive, more
In the April 26 judgment signed off by jus- with many attributes of a binding deal, while transparent and more credible.
tices Lee Bozalek and Elizabeth Baartman, its tabling before Parliament was declared For one, Kubayi could announce a tem-
acknowledgement is made that it would be unlawful and unconstitutional. The court porary moratorium on any further procure-
inappropriate for the court to prescribe to the also set aside the tabling of the South Korean ment processes based on the 2010 IRP until
Minister the form of any procurement process and US IGAs, which the applicants described the update is finalised. Thats not to say that
to be adopted. Nevertheless, the ruling makes as mere window dressing to minimise the the 37 renewables projects legally procured
it plain that the nontransparent processes hith- impact of the Russian IGA. way back in 2015 should be included under
erto employed for a procurement with such The main hammer blow for the current such a freeze; they should not. Indeed, those
far-reaching consequences for the South Eskom-led procurement process flowed natu- power purchase agreements should be signed
African public, and the allocation of resources rally from the courts ruling that the 2013 and and resolution found to Eskoms cost-recovery
by government, are neither rational nor lawful. 2016 determinations were unlawful and uncon- anxieties. However, Eskoms nuclear procure-
Not only was the hur r iedly prepa red stitutional. As a consequence, the judgment ment should be halted until the IRP is updated
revised nuclear determination of December set aside any request for proposals (RFP) and that update should take full account
2016 (which transferred nuclear procure- or request for information (RFI) issued as a of the public submissions. In addition, any
ment responsibilities from the Department of result of the determinations. policy adjustments made to the least-cost
Energy (DoE) to Eskom and the South African This, no doubt, has consequences for model should not only be made transparent,
Nuclear Energy Corporation) found to be want- Eskoms RFI, which closed on April 28, and but also be justified on the basis of a cost-
ing, but so too was the earlier December 2013 for any subsequent RFP, which the utility had benefit analysis.
determination, which was only gazetted in been hoping to issue during the second half of Additionally, the process of electricity reform
December 2015. 2017. Eskom says it is studying the judgment could be broadened beyond the IRP and the
In both cases, the concurrence of the and will, if it deems necessary, comment in countrys current fixation with generation
National Energy Regulator of South Africa the near future. technologies. South Africans need to have a
(Nersa), in the absence of a public participa- However, the ball is now firmly in Kubayis mature, far-sighted conversation on the future
tion process, was held up to be procedur- court and how she responds will have far-reach- design and operation of the entire system so as
ally unfair. ing effects not only for the credibility of the to futureproof it (as best as practically possible)
The judgment notes, too, that, in the 2016 DoE and government, but also for the shape in the face of the disruption that is already
instance which Nersa delivered within three and cost of South Africas electricity supply under way, as well as the disruption that is to
days of then Energy Minister Tina Joemat- industry transition from coal. come. How best can South Africa navigate
Petterssons request concurrence was given Naturally, the Minister has the option to this transition without allowing slippage on
despite the fact that two years had elapsed appeal, which is a likely scenario. Here there what some call the Three As of electricity
since the regulator officially concurred with may even be some merit, as clarification is affordability, accessibility and availability?
the 2013 determination. It was also provided arguably required on Nersa needing to con- Naturally, any restructuring of the domes-
despite continuing misgivings over the 2010 sult the public when offering concurrence for tic industry will take time, particularly given
Integrated Resource Plan (IRP), which called a Ministerial determination that is based on the political sensitivities associated with such
for the building of 9600MW of new nuclear an IRP, drafted after public consultation. In an overhaul, not to mention the technical and
capacity by 2030 and was in the process of other words, should Nersa be entertaining financial dangers associated with any effort
being updated. further public consultations on a plan that to transform.
Given the elapse of two years since Nersas has already been canvassed? If so, would the Nevertheless, the debate cannot be held off
concurrence in the 2013 determination and the IRP be adapted after such consultation by the forever, with the utility model under threat
changed format of the determination, most par- regulator? Additionally, what would it mean in many countries, including South Africa,
ticularly in its designation of Eskom Holdings immediately for the renewable-energy, coal and given this countrys particular challenges
or its subsidiaries as the procurer in respect and gas determinations that have also arisen around strengthening the transmission grid and
of the nuclear programme, it was, in my view directly from the 2010 IRP? the sustainability of some of its municipal dis-
incumbent upon Nersa to afford members of However, that clarity aside, Kubayi can tributors that are currently failing.
the public and/or interested and affected per- either approach this judgment as an unaccept- Its not often that a Minister has a clean
sons an opportunity to influence the decision, able intrusion on executive power to be con- slate opportunity. She should grasp it with
Bozalek said. tested on all fronts, or she could use it as an both hands.

COMING UP
The Binnenhof complex, located in The Hague,
COMING UP
Turkish company Biokim Rafineri letmeleri
PROJECTSIN
PROGRESS
in the Netherlands home to the Dutch Senate, Sanayi ve Ticaret is planning to build a
the House of Representatives, the Council commercial-scale biorefinery in the Adana
of State and the Ministry of General Affairs Free Zone, in Turkey. The production facilities,
requires large-scale renovation to ensure the including all related utility facilities and
safety of employees and visitors to the complex. infrastructure, are expected to be operational in
The renovation is expected to start in 2020 2020
By Sheila Barradas
WAR ON POTHOLES SAINSHAND SALKHIN worlds longest immersed tunnel of its type for
PROJECT PARK WIND FARM road and rail transport.
The Fehmarnbelt link will be 18 km long and
PROJECT
40 m below sea level.
Name of the Project Name of the Project In contrast to a bored tunnel, an immersed
War on potholes project. Sainshand Salkhin Park Wind Farm project. tunnel comprises hollow concrete elements,
Location Location cast on land and assembled section by section
Johannesburg, Gauteng, South Africa. The project is located 460 km south-east of to form the tunnel.
Client Ulaanbaatar, near Sainshand City, the capital The tunnel will comprise a four-lane motorway
Johannesburg Roads Agency (JRA). of Dornogobi province, Mongolia. and two electrified rail tracks. It will consist of
Project Description Client 79 individual elements, each 217 m long, and
The JRA is prioritising the repair of failing road Ferrostaal Industrial Projects. ten special elements with a lower floor for the
services in the City of Johannesburg. Project Description tunnel operation and maintenance equipment.
The 2017 citywide Visual Condition Index The project involves the construction of a The trench for the tunnel will entail the
inspection has indicated that 40% of the 55 MW onshore wind farm, which will have a excavation of about 19-million cubic metres
citys roads are in very good condition, 15% yearly output of 190 000 MWh. of stone and sand from the seabed. This will
in a good condition, 15% in a fair condition, The project will prevent the emission of about be used to establish about 3 k of new natural
14% in a poor condition and 15% in a very 210 000 t/y of carbon dioxide. areas on Lolland and, to a lesser extent, on
poor condition. As of February 2017, 37 450 Jobs to Be Created Fehmarn.
potholes had been reported to the JRA, of Not stated. Once complete, it will take ten minutes to travel
which 32 740 have been repaired. However, Value from Denmark to Germany by car and seven
the time to repair potholes is a concern. The project is valued at about 117.5-million. minutes by train.
To address the current pothole repair backlog, Duration Motorists will be able to drive at 110 km/h in
the City of Johannesburg has allocated addi- Construction is planned to start this year, with the tunnel. Electric trains will be able to travel
tional funding to the JRA for 2016/17; a con- commissioning of the plant in the second half at 200 km/h.
tractor has been appointed to assist in repair- of 2018. Jobs to Be Created
ing potholes, while additional staff are being Latest Developments Up to 3 000 people will be directly employed in
recruited; and pothole repair teams are working None stated. building the Fehmarnbelt tunnel.
overtime to tackle the backlog, including on Key Contracts and Suppliers Value
weekends. None stated. The construction budget for the Fehmarnbelt
Jobs to Be Created On Budget and on Time? link is DKr52.6-billion.
Not stated. Not stated. The Fehmarnbelt link will be user-financed.
Value Contact Details for Project Information Revenues from the link will repay the loans that
R88-million. Ferrostaal Industrial Projects head of wind financed construction.
A total of R60-million has been allocated for power Holger Boy, tel +49 201 818 28 60 or Duration
materials and equipment for pothole repairs fax +49 201 818 35 14. The project is expected to take about 8.5 years
and other types of road maintenance; and Sainshan Wind Park, tel +976 11 325867 or to complete.
R28-million to start addressing the 40% email info@sainshandwindpark. Latest Developments
staff capacity shortage in the road maintenance Arup, in joint venture with Rambll and Tunnel
teams. FEHMARNBELT FIXED Engineering Consultants (TEC), will provide
Duration LINK PROJECT consultancy services and technical support for
Not stated. the construction of the tunnel.
Latest Developments Key Contracts and Suppliers
None stated. Name of the Project Femern Link Contractors (construction of
Key Contracts and Suppliers Fehmarnbelt fixed link project. the immersed tunnel and the tunnel element
None stated. Location factory, and construction of the portal
On Budget and on Time? The Fehmarnbelt link will be built between structures, toll buildings, bridges and ramps);
Not stated. Rdbyhavn on Lolland, in Denmark, and the Dredging International (dredging contract)
Contact Details for Project Information German island of Fehmarn. COWI (consultant) and Arup (consultancy
JRA operations manager: CRM, Marketing and Client services and technical support for the
Communications Bertha Peters-Scheepers, Femern. construction of the tunnel).
tel +27 11 298 5023 or Project Description On Budget and on Time?
email bscheepers@jra.org.za. The project entails the construction of the Not stated.
B
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Contact Details for Project Information Client headrace tunnels and a surface power house
Femern, tel +45 33 41 63 00 or Eidsiva Vannkraft. containing 4 180 MW Francis turbines with a
email info@femern.dk. Project Description warranted output of 116.1 MW.
The project involves the construction of a The project includes a new public bridge
hydropower plant with an installed capacity of across the river and a substantial spillway
K-1 SOLAR
85 MW. structure to manage flood flows.
PHOTOVOLTAIC PROJECT
It will include about 12 000 m of tunnel Jobs to Be Created
work, construction of the power station and Not stated.
Name of the Project transformer hall in the mountain, as well as Value
K-1 solar photovoltaic (PV) project. concrete work around the intake, the power The project value is estimated at $1.28-billion.
Location plant area, the outflow and the portal. Duration
Kaduna state, Nigeria. The power plant will use the existing intake The project is expected to be completed
Client dam at the Eidefossen power plant. by 2021.
The project is a joint venture between Water will travel through tunnels from the Latest Developments
GreenWish Partners and eN Consulting & intake to the new power plant. The project achieved financial close in March.
Projects. Production from the plant will be about Key Contracts and Suppliers
Project Description 315 GWh/y, equivalent to the electricity Three Gorges Economy Development
Kaduna state has an electricity access rate consumption of about 15 000 households. Company (engineering and construction
of 37%. Jobs to Be Created contract), China Machinery & Electric Company
The construction of the solar plant will Not stated. (equipment supply contract) and Mott
strengthen northern Nigerias electricity Value MacDonald (lenders technical, environmental
network and improve the electricity access rate NKr657-million. and social adviser).
in the region. Duration On Budget and on Time?
The project involves the construction of a The project will be completed in 2020. Too early to state.
50 MW solar PV plant. Latest Developments Contact Details for Project Information
The solar farm will feed the grid with 95 GWh/y None stated. Karot Power Company, tel +92 51 8487408 or
of clean power and prevent the emission of Key Contracts and Suppliers fax +92 51 8482222.
354 000 t/y of carbon dioxide. Skanska (construction contract).
Jobs to Be Created On Budget and on Time? KIRENE BEVERAGE
Three-hundred jobs are expected to be created Not stated.
PLANT MODERNISATION
during construction, and 25 permanent jobs will Contact Details for Project Information
PROJECT
be created for the operation and maintenance Eidsiva Vannkraft, tel +47 62 561 000 or
of the plant. fax +47 62 561 400. Name of the Project
Value Kirene beverage plant modernisation project.
Not stated. KAROT HYDROPOWER Location
Duration PROJECT The project is located near the village of
Construction is expected to start in the fourth Kirene, Senegal, in the subprefecture of Thies.
quarter of 2017, with the project expected to be Client
completed in 2018. Name of the Project Societe Industrielle Agro-Alimentaire (Siagro).
Latest Developments Karot hydropower project. Project Description
The project is at an advanced stage of Location The modernisation of the Kirene plant includes
development, with power purchase agreements The project is located on the Jhelum river, in equipment for wastewater treatment and
and land rights agreements secured. the Punjab region of Pakistan and the countrys water quality; an enterprise resource planning
Key Contracts and Suppliers self-governing Azad Kashmir division. system; expansion of warehousing; an
None stated. Client automation programme for product packaging;
On Budget and on Time? Karot Power Company. and a facilities and infrastructure upgrade.
Not stated. Project Description Jobs to Be Created
Contact Details for Project Information Karot is part of the ChinaPakistan Economic Not stated.
GreenWish Partners, Corridor initiative and is the first hydropower Value
email contact@greenwishpartners.com. project being developed in Pakistan by China The project is estimated 5.6-million.
eN Consulting & Projects, Three Gorges. Duration
tel +234 9 291 7824/5 or The hydropower project forms part of a five- Not stated.
email .enafrica@enafrica.com.ng project cascade that will help manage the Latest Developments
vital water resource of the Jhelum river and The International Finance Corporation
NEDRE OTTA provide much-needed generation capacity (IFC) plans to provide loan finance of up to
HYDROPOWER PLANT to the country. The project is a single-power 4.5-million.
PROJECT generation task hydropower complex, with Key Contracts and Suppliers
reservoir storage of 164.5-million cubic metres. IFC (loan finance).
Name of the Project Its installed capacity is 720 MW, with an On Budget and on Time?
Nedre Otta hydropower plant project. average electricity output of 3 436 GWh/y. Not stated.
Location The project will comprise a 95.5-m-high Contact Details for Project Information
The power plant is located in the municipalities asphalt core rock-fill dam, a separate spillway, Siagro, tel +221 33 849 56 66, or
of Sel and Vg, in Norway. intake structure, three diversion tunnels, four email kirene@orange.sn.
ENSafrica.com
ENSafrica | Africas largest law firm

DNIPRO 1 HYDROPOWER Value Contact Details for Project Information
STATION MODERNISATION Not stated. AISD, tel +1 281 449 1011 or
Duration fax +1 281 985 6300.
PROJECT
Start-up of the plant is scheduled for the
Name of the Project second half of 2018. NORTHEAST SUPPLY
Dnipro 1 hydropower station modernisation Latest Developments ENHANCEMENT PROJECT
project. Andritz has received an order from steel
Location producer Nucor to supply turnkey production
Ukraine. lines for the cold-rolling mill complex. Name of the Project
Client Andritz will supply a high-performance push Northeast Supply Enhancement project.
Ukrhydroenergo. pickling line with line speeds of up to Location
Project Description 200 m/min for pickling hot-rolled carbon steel. New York, in the US.
The project entails the complete rehabilitation Its scope of work includes in-house electrics Client
of three Francis turbines and generators, and automation, a multiroll leveller for shape Transco, a wholly owned subsidiary of Williams
including dismantling, supplying, installing and correction and a four-high skin pass mill. Partners.
testing the new equipment. The order also comprises a reduction cold- Project Description
Apart from the embedded parts, all major rolling mill and a temper-rolling mill in four-high The project will create 400 000 dekatherms a
components will be replaced by new design, including reduction mode. day of incremental firm transportation capacity
equipment. Key Contracts and Suppliers to markets in the north-eastern US for the
The modernisation will increase the output of Andritz (production lines). 2019/20 winter heating season.
the hydropower station from 64 MW to 75 MW On Budget and on Time? It will consist of 16 km of 107-cm-diameter
and substantially enhance reliability and safety. Too early to state. pipeline looping facilities, about 5 km of
Jobs to Be Created Contact Details for Project Information onshore 66-cm-diameter looping facilities,
Not stated. Nucor, tel +1 704 366 7000 37 km of offshore 66 cm looping facilities, the
Value fax +1 704 362 4208. addition of 16 332 kW at an existing compres-
Not stated. sor station; a new 23 862 kW compressor
Duration HOUSTON SCHOOLS station; and related appurtenant facilities.
The project is expected to be completed by the PROJECT Jobs to Be Created
end of 2021. Not stated.
Latest Developments Value
Andritz Hydro has been awarded the contract Name of the Project The project is estimated at $926.5-million.
for the modernisation of the Dnipro hydropower Houston schools project. Duration
station. Location The target in-service date for the project is
Key Contracts and Suppliers The schools are to be built in Houston, Texas, December 2019.
Andritz Hydro (hydropower modernisation in the US. Latest Developments
contract). Client Transco has filed an application with the
On Budget and on Time? Aldine Independent School District. Federal Energy Regulatory Commission
Not stated. Project Description for authorisation of its Northeast Supply
Contact Details for Project Information The project entails the construction of two Enhancement project.
Ukrhydroenergo, tel +380 459622006 or schools. Each school, designed for 1 400 Key Contracts and Suppliers
fax +380 459622007. students, will comprise a 21 089 m2 building None stated.
on an 18 ha plot. On Budget and on Time?
HICKMAN COLD ROLLING Facilities will include a cafe, a gymnasium, Not stated.
science labs and playing fields, outdoor and Contact Details for Project Information
MILL COMPLEX
group learning spaces and art and music Williams Partners media, Christopher
rooms, as well as a theatre. Stockton, tel +1 713 215 2010.
Name of the Project The project also includes building roads and
Hickman cold rolling mill complex. parking spaces on campus.
Location Jobs to Be Created Readers of Engineering News are
Hickman, Arkansas, US. Not stated. requested to email details of
Client Value projects to Sheila Barradas at
Nucor Steel Arkansas. The project will cost $94-million to implement. sheila@engineeringnews.co.za
Project Description Duration
The project involves the construction of a new The schools are expected to open in the
650 000 t/y speciality cold rolling mill complex 2018/19 school year.
at Nucors sheet steel mill. Latest Developments
The project will increase Nucors production of Webber, a Ferrovial Agroman subsidiary, has
speciality grades, including third-generation, been selected by Aldine Independent School
advanced high-strength steels, high-strength District to build the two schools. To receive regular updates on these and
low-alloy steels and high-efficiency electrical Key Contracts and Suppliers other projects, subscribe to Creamer
steels. Webber (construction contract).
Jobs to Be Created
Medias Research Channel Africa.
On Budget and on Time?
Not stated. None stated. Email: subscriptions@creamermedia.co.za
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Agriculture important
NAMPO PREVIEW
for economic growth
Page 40
Nampo Harvest Day
allows company to build
relationships Page 41 Compiled by VICTOR MOOLMAN
Nampo provides ideal platform

to penetrate region
VICTOR MOOLMAN | CREAMER MEDIA REPORTER
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Agricultural equipment from Vermeer has been
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ith aspirations to start distribu specials, we envision generating equipment The Vermeer VRseries Carted Wheel
tion of its agriculture products sales and product inquiries which we can Rakes feature a number of Vermeer inno
across subSaharan Africa, follow up on immediately after the show, vations the VR1022 is easy to operate
Industrial equipment supplier Vermeer says Vermeer equipment supplier MD and built for highvolume raking.
believes the Nampo Harvest Day is an Frank Beerthuis. The Vermeer Rancher 6640 is designed
ideal platform to promote its products to He highlights that at the Vermeer stand, to produce a large amount of bales, the
the market. the Rancher 6640 Baler, BPX9000 Bale Vermeer TMSeries Trailed Mowers can
The show easily attracts over 60000 Processor, 604N Cornstalk Special Baler, hitch up easily and are easy to operate and
visitors, and among these will be many TM800 Rebel Trailed Mower, R2300Twin the Vermeer 604N and 605N Cornstalk
potential customers for our products. With Rake and the VR1022 Carted Wheel Rake, Special Balers are equipped to bale their
a fittomarket product and lucrative retail will be on show. To page 36

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NAMPO PREVIEW
From page 34 In the upcoming years, it will be our

way through even the toughest crop aim to distribute through a network of
quickly and efficiently, Beerthuis explains. local agriculture equipment dealers in
He notes that a vast majority of the other subSaharan African countries
equipment has being distributed on the to have touch points closer to our end
US domestic market; however, in recent customers.
years, Vermeer being an international In either case, our equipment will be
company, has expanded its distribution strongly backed from our Johannesburg
into Latin America, China and sub based headquarters, with originalequip
Saharan Africa. ment manufacturer support from the US,
Farming practices and climate condi Beerthuis explains.
tions in Southern Africa are comparable To date, the company has already seen
with markets that Vermeer has distributed interest from existing clients in the new
in, he says, adding that the company has products, with a number of special heavy NEW MARKET
tested the equipment line that will be on duty round balers running in cornstalk The sub-Saharan Africa agriculture market is a
show at Nampo for suitability for the sub applications in the Free State. new market that Vermeer is eager to impress
Saharan Africa market. He says the balers are producing bales
He explains that to start off its African of up to 1.80 m diameter and are equipped have also received the first inquiries for
presence, Vermeer will distribute the with special features to enable powerful haymaking equipment, such as mowers,
equipment from its South African head and productive baling of tougher materials mowerconditioners, rakes and balers for
quarters, in Johannesburg, where it has a such as cornstalk, sugar cane residuals and hay and silage, explains Beerthuis.
large spare parts depot, workshop facili biomass. He concludes by mentioning that farmers
ties, and an existing and wellfunctioning Our customers have already baled will be able to order new machines from
logistics hub from where the company over 10 000 bales per season with these Vermeer at the show.
has been distributing Vermeers industrial machines on their farms. With larger The company has also prepared a
products. marketing activities commencing, we number of Nampo specials that will attract
customers to place orders for equipment
such as the Ultra Heavy Duty Netwrap
I have never understood why women love cats. Cats are independent, they dont listen, they dont come during the show, which takes place from
in when you call, they like to stay out all night, and when theyre home they like to be left alone and May 16 to 19, in the Free State.
sleep. In other words, every quality that women hate in a man they love in a cat.
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NAMPO PREVIEW
Agriculture important At the Polaris stand, there will be two

new vehicles launched as well, the Polaris
Ranger 570 and the Polaris Ranger 570 Crew.
for economic growth Industry Challenges

Chittenden points out that the most successful
year that SPE has had was in 2015, before the
market slowed down as a result of the drought
VICTOR MOOLMAN | CREAMER MEDIA REPORTER that hit South Africa last year.
T
The drought last year made trading
he continued growth of agricultural conditions very challenging and, as an
exhibition Nampo Harvest Day, in the industry, we have lost momentum, he says.
Free State, reflects the importance However, Keir explains that SPE is positive
of agriculture to the economic growth of about the outcomes this year, as the company
South Africa, says equipment supplier Smith has already observed some positive trends in
Power Equipment (SPE) Polaris and Linhai the market: the rand is strengthening slightly
product range national sales manager Mark and customers of the company are spending
Chittenden. more strategically than before.
Having attended the show for the past 16 Even though we see disparate weather
years, he notes that every year SPE show patterns and rainfall in different provinces,
Pictures by Senior Chief Photographer Duane Daws

cases new products in order to reach a with the Western Cape still navigating a
broader customer base. This year, we will bad drought, it is encouraging that we have
be relaunching the Linhai range, as some had good rains in the northern regions, he
of the products have been revised. We will notes.
also have new models on our Polaris stand, Creative financial offerings such as off
as well as a new tractor from equipment balancesheet funding are important in this
manufacturer Kubota and the 8 t KX0803 climate. With SPE having been accredited at
Kubota excavator. all banking institutions in South Africa, the
SPE marketing manager Robert Keir MARK CHITTENDEN company can make deals that are aimed at
explains that the Nampo Harvest Day show This year's industry outlook is showing more assisting its clients. He points out that such
brings the agricultural industry which growth than last year an approach to asset finance comes with
includes importers, dealers and customers benefits to the farmer, such as not having to
to one place. The show offers an array of from a financial perspective, mechanisation lay out any initial capital, which helps with
products and insights for farmers to make is vital in running a farm more efficiently, essential cash flow.
the best informed investments for their he says. Further, lease payments on the equipment
operations. Keir points out that Nampo Harvest Day are fully tax deductible and VAT refunds are
Weve identified agriculture as a key is the ideal event at which to launch new paid on a monthly basis. Tailormade finance
market for SPE, since every farmer needs the products onto the agricultural sector market. like this can mean the difference between the
right tools to do their work effectively and, New products from SPE, like the Kubota disappearance and survival of the farmer,
compact excavator KX0803S, which was Keir explains.
launched this year, boost mechanisation Some of the topics being discussed at
GO FIGURE of agriculture in South Africa and fuel the show, such as greater agricultural
16
competition in the market. mechanisation, the impact of emissions on
Chittenden explains that the relaunching the environment, productbuyer connections
of Linhai allterrain vehicles, such as the 300 and financial solutions in the sector are
The period in years for which Smith and 400 4 4 models, will fill the stand, of interest to SPE, he says. The company
Power Equipment has been attending while the dieselpowered Linhai 800 side specialists will participate in key discussions
the Nampo Harvest Day show byside with bench seat and steel bin will be on these matters.
demonstrated at the new agricultural track. Chittenden concludes that, because the
Nampo Harvest Day show is an agricultural
show, SPE will be focusing on the Kubota
tractors, with the other company brands
being there to support a full product lineup.
T h is yea r has st a r te d of f look i ng
promising and we believe it will be better
than last year.
The reason people find it hard to be happy

is that they always see the past better than
it was, the present worse than it is, and the
KUBOTA future less resolved than it will be.
Kubota machines will be exhibited at the Smith Power Equipment stand

NAMPO PREVIEW
Nampo Harvest Day GO FIGURE
75 000
allows company to Total visitors at the Nampo show last
year
build relationships With over 75 000 visitors setting a new

attendance record at Nampo last year,
BI business unit head Ross Trevelyan
says the show is an ideal place to also
VICTOR MOOLMAN | CREAMER MEDIA REPORTER educate its customers on the benefits and
O
advantages of standardising its extensive
wing to the agriculture market what we have, understanding some of the product range.
becoming more technologically needs that may not be met and finding We are far more than a product supplier
advanced, bearings supplier solutions for these needs, he explains. To page 50
Bearings International (BI) says attending
the Nampo Harvest Day will allow
the company to build the necessary
relationships within the sector.
[Economic] growth is important, but, FULL RANGE OF DEWATERING
[that said], so too are the relationships and
meeting customers that Nampo offers. At
AND DREDGING RENTAL SOLUTIONS
BI, we believe in customer relationships Extensive fleet available at short notice
and Nampo is an ideal way to meet with supported by an experienced technical team
all our clients in a relaxed environment to
discuss some of the challenges faced and
offer solutions to these challenges, says BI
CEO Burtie Roberts.
As a result, he notes that BI will show
case the product offerings that support the
agriculture industry at its stand in Nampo
Hall 45 and 46, from belts for vehicles,
transmission products for motors and
chains for drives to bearings, couplings,
electric motors, tools and many other
products.
Roberts says that BI also provides advice
on keeping farming equipment operating at
optimum efficiency, in addition to outlining
the most proactive maintenance procedures
to increase the life span of equipment.
We show what the industry uses and
CM 270117CG
needs; as we see demand change and new
products become available, we offer these
to the market. The show is about offering
Integrated Pump Rental

Call us for more details on
Tel: +27 (0) 11 894 2906
Cell: +27 (0) 72 627 6350
ADVANCED TECHNOLOGY
Bearings International will be showcasing
some of the advanced technology that it has
available at the Nampo Harvest Day show
www.pumprental.co.za

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PTO Shafts Tractor Accessories Fasteners
Drive Belts Hand & Power Tools Electric Motors
Irrigation Gearboxes
For more information contact your nearest BMG branch.

URAL COMPONENTS.
Visit us at Nampo 2017

Santam Hall, Stand 15 & 16
NAMPO PREVIEW
Revamped stand to
encourage positive
customer experience
I
ndustrial gases company African Oxygen, The stand will feature familiar and popular
better known as Afrox, will be featuring elements from previous years, such as live
a revamped stand at the Nampo Harvest demonstrations, daily specials, welding
Day show, from May 16 to 19, in the Free workshop bays and product displays, as well
State, to enable its agricultural customers to as the Handigas mascot which made its first
view and experience welding machines and appearance at the Nampo Harvest Day show
equipment in a suitable environment. last year making it easy to spot.
The company explains that the theme of The new Afrox industrial metal arc
the stand will convey its desire to be the welding (MMA) 221S is a robust machine
preferred supplier of choice, allowing Afrox that features a digital display with arc force
to demonstrate a range of welding machines, and hot start capabilities and will be on TIG WELDER
Customers will be able to use some of the
consumables, gases and support services special throughout the duration of Nampo welding equipment from Afrox at the show
on offer. 2017, says Afrox arc equipment product
manager Dewald Bodenstein. Other newly
launched models will also being on display machines, which include two new MMA
My son asked me what its like to be married, and available for purchase. models, three new metal inert gas (MIG)
so I told him to leave me alone, and when he
did, I asked him why he was ignoring me.
He highlights that the Afrox stand will welding models with multiprocess capabilities
include new Afrox industrial welding as standard and two new tungsten inert gas
Serving the needs of the agricultural

sector for over 80 years
Afrox has served the needs of the agricultural All our products conform to the highest
sector for more than 80 years. Our offer serves standards: SABS/ISO/SANS or Afrox
the farming community with the very latest corporate specifications where relevant.
cutting, heating and welding equipment and
consumables, as well as tailor-made gas For customers requiring gas installations,
solutions and technical support services. our dedicated team is able to provide safe,
reliable and affordable on-site solutions.
Our product range includes:
Agrigas: oxygen, acetylene and Afrox offers a delivery service to co-
Argoshield 5 operatives, and to approved customer-
Industrial gas: nitrogen and a variety of specific site delivery points. Alternatively,
shielding gases an extensive range of products is available
Speciality gases: Ripe Gas from more than 60 retail outlets nationally.
Liquid Petroleum Gas (LPG): Handigas
and bulk Shop online at www.afroxshop.co.za or visit
Welding, cutting and heating solutions www.afrox.com for product information and
Porta range of cylinders including PortaPak safety recommendations, alternatively you
Personal Protective Equipment (PPE). can call our Customer Service Centre on
0860 020202.
Afrox products are available in a wide range
of practical packaging options and sizes.
African Innovation. German Precision.

Customer Service Centre: 0860 020202 Email: customer.service@afrox.linde.com www.afrox.com

NAMPO PREVIEW
(TIG) welding models. Weld i ng professiona ls wi l l

Along with the launch of the new demonstrate processes, such as hard
welding machines, there will be a facing for farming applications, and
competition that will see a lucky visitors to the stand will have the
customer of Afrox winning one of opportunity for hands-on interaction
the newly launched Afrox industrial with the welding machines and
MMA 221S welding machines every equipment that Afrox has available.
day. The winners full prize will
include an Afrox Transarc OHE 410 Lasting Business
auto-darkening helmet and a 5 kg Bodenstein explains that Afrox is
pack of Vitemax 3.15 mm welding celebrating 90 years of business
rods. He explains that the value of in sub-Saharan Africa, supplying
the daily prize package is R20 000. gas, welding consumables and
To make buying equipment from equipment.
Afrox easier, this year, a pay and AFROX OPERATIONS This will include Vitemax,
collect service will be introduced. Afrox supplies gas, welding consumables and equipmnent Afroxs leading premium electrode
He points out that, with the pay-and- across sub-Saharan Africa for mild steel applications; a range
collect option, Afrox customers can of liquefied petroleum gas products
take advantage of the discounted prices on with complete agricultural welding and that can be used in the agriculture sector,
welding machines and other equipment on cutting solutions, so, along with offering including the Handipack a compact gas
promotion and then collect them from their them products they can trust, we also aim to cylinder and cooker combo, as well as the two
nearest Afrox branch at their convenience. support all their agricultural needs, he says. plate stove and the ARCmate range a suite
Afrox is dedicated to providing farmers Bodenstein explains that, to showcase of lightweight and portable products aimed
Afroxs versatility, the stand will include at the DIY sector, he explains.
GO FIGURE a large welding workshop where welding Bodenstein points out that the PortaPak
processes will be showcased th rough welding and cutting set will also be on display
90 interactive projects. at the show, as well as the Agrigas and Porta
Two live demonstration bays will be in range of gas cylinders.
operation one dedicated to plasma and gas The PortaPak allows work to be performed
The period in years that Afrox has been equipment and the other to MMA, TIG and at remote locations and in elevated areas.
in sub-Saharan Africa MIG welding. ENGINEERING NEWS COUPON ON PAGE 82 E450643
RELIABLE ENERGY
3
4
5
6 SOLUTION
for the entire
2
7
agricultural sector.
8 1 Diesel Generator Set
1 2 WWash Motor
3 Invicta Vibrator Motors
9
4 Indoor Customisable Control Panels
5 Overhead Lines
6 Transformers
14 10
7 All Weather Outdoor Control Panels
13
8 Pole Mount Transformers
12
9 Premium Efficiency Motors
11
10 Variable Speed Drives
Zest WEG Group has been servicing the agricultural sector for more than 35 years with
its range of robustly engineered products. 11 Soft Starters
12 Direct Online Starters (DOL)
WEG products, designed using modern technology, offer farmers optimum reliability
coupled with excellent energy efficiency. From WEG Premium Efficiency electric motors 13 Motor Protective LV Switchgear
to WWash electric motors with WEG Variable Speed Drives, all have developed a 14 Pushbuttons and Pilot lights
reputation for solid performance in the most demanding conditions. Low maintenance
requirements as well as ease of serviceability allow reduced total cost of ownership to
the agricultural sector.
As a market leader, Zest WEG Group offers access through WEG Brazil, to international
best practice in electrical solutions for the agricultural sector. The Zest WEG Group
operates a strategically situated network of branches and distributors to ensure
optimum availability of product and parts. Tel: +27 11 723 6000 www.zestweg.com

NAMPO PREVIEW
KIRLOSKAR BROTHERS INTERNATIONAL (PTY) LTD

Robust pump
delivers water
on dry days
P
Creamer Media 120517CG
umps manufacturer access to industry logistics and
Franklin Electric has support.
developed a rugged, He explains that the Fhoton
high-output solar-powered SolarPAK is modular and com-
pumping system which solves pact and was jointly developed
the challenges presented by by Franklin Electric USA and
Kirloskar Brothers International is a market leader in the design and harsh and remote environments, Franklin Electric SA offering
manufacture of centrifugal pumps and engineered pumping providing pumping power on a versatile, all-in-one system
solutions for over 130 years. dry days when water is needed solution for all solar pumping
most. requirements.
Contact us for more information:
Franklin Electric South The Fhoton SolarPAK is
Tel: +27(0)11 393 7177/9 E: sales@spppumps.co.za
www.spppumps.com E: sales@braybarpumps.co.za
Africa (SA) application based on conventional borehole
www.kirloskarpumps.com engineering manager Lyon technology and includes
Our Companies: van der Merwe explains that submersible motors that, he
the Fhoton SolarPAK is unique points out, operate at variable
in its use of standard borehole speeds that provide quiet,
equipment that is backed up by pollution-free, corrosion-free
and self-lubricating water
pumping solutions.
Sometimes your joy is the source We are bringing dependable,
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standard borehole equipment
to the solar market for the first
GOLD
This feature will provide an overview of the gold sector in South

Africa, as well as in the rest of Africa, focusing on factors
influencing the state of the gold market and the price of gold.
Advertising booking deadline 13 June 2017
To book advertising in this feature, please contact Reinette Classen on

+27 11 622 3744 or email: advertising@creamermedia.co.za
NAMPO SHOW
Franklin Electric will have several pumping systems on show at the
Nampo Harvest Day show

NAMPO PREVIEW
time in South Africa, giving

our customers access to solar
pumping systems with the same
consistency as conventional
Industrial strike
borehole equipment, he says.
Van Der Merwe explains
that the Fhoton SolarPAK is
also economical in the long run
with many of the smaller sized action. Lost time
due to rain.
systems costing little more than
the fuel-powered equivalents.
Source: Bloomberg
The solar pumping system
decreases future costs and cost
uncertainties as the fuel is free
SOLAR POWER
Project delivered
6 months ahead
and the pump element, which The SolarPAK uses solar power
can be removed and replaced to transport water over long
alone, is the only wearing part, distances
with little or no maintenance
required.
With a solar pumping
300m, he elaborates. Small-
scale systems use highly
of schedule.
system, there is a significant efficient, standard alter nating
reduction of cost of ownership current motors and progressing
and customers are assured of cavity pumps, while medium-
many years of reliable water scale systems use multistage,
supply at near-zero operating centrifugal submersible pumps
cost. powered by high efficiency
The investment payback permanent magnet motors.
period for Franklin Electrics
Fhoton SolarPAK is 12 to
Van der Merwe says the large-
scale systems are driven by an Impossible?
Not for DRA.
24months, allowing customers array of high powered modules,
to quickly realise the benefits of ensuring reliability and an
a solar-powered water pumping expected lifetime in excess of
system, he points out. 20 to 25years.
Van der Merwe explains that Power from the solar array
the advantages of the Fhoton is fed into a high-quality
SolarPAK include not being electronic inverter which
reliant on fuel or electricity; converts direct current into
being expandable; extremely three-phase variable frequency
efficiency, meaning pumps output, he says.
can be used in marginal wells, Franklin Electric is a
pushing water through pipelines manufacturer of high-quality
that may be several kilometres pumping solutions, with an
long; being constructed of high- extensive branch and distri- In one year, DRA delivered 6 platinum concentrators to
quality materials and designed bution network of authorised various clients in Africa, resulting in a total processing
for corrosion resistance and service providers across Africa capacity of 670 Ktpm. As one of the industrys leading
maintenance-free service even and the world, offering a range concentrator and mining experts, DRA can proudly attest
in harsh environments; and of support facilities to its to satisfied clients in all areas of the platinum industry.
offering long-term performance customers. Its just another way DRA delivers through
and reliability. Van der Merwe concludes all circumstances.
The Fhoton SolarPAK that the solar-powered pumps
is suitable for a variety of will be available for purchase
DRAglobal.com
applications from livestock at the Nampo Harvest Day
watering to rural water supply show, in the Free State, at
and renewable-energy projects, Stand25 from May 16 to 19,
and can be designed for small-, at a one-off promotional offer
medium- and large-scale water for the duration of the show.
requirements. Typical flow There will be prizes for
ranges begin at 1000 /d and visitors to the stand, with a
from depths of 5m to 120m grand prize of a complete solar
for small systems, to large- powered pumping system,
scale flow systems that can including a 250 Wp solar Extraordinary Possibilities
reach in excess of 185000 /d panel.
and achieve depths of up to ENGINEERING NEWS COUPON ON PAGE 82 E450660

NAMPO PREVIEW
New block-making whos who of the sector and a platform for

networking not only within this industry, but
also with the many other businesses that are
business trailer at Nampo

critical to its success.
The products and innovations on display
at the show are of a high quality, says
Harvest Day show

Hydraform sales and marketing director
Nazlie Dickson.
The show facilitates the demonstration
of all the latest technologies available to
the sector, not only to grow the market, but
also to play a part in facilitating the constant
VICTOR MOOLMAN | CREAMER MEDIA REPORTER
improvement of the quality of produce.
B
Nampo is an ideal platform for suppliers
lock-making machine manu- and manufacturers to access invalu-
facturer Hydrafor m will able direct market input from a
be launching the new M9 customer base and vice versa, and,
business-on-a-trailer block-making with the shows new international
machine at the Nampo Harvest Day pavilion, the enterprise is growing
show to be held from May 16 to 19 its international visitor and exhibitor
in the Free State. base tremendously, she explains.
Hydraform marketing coordinator The drought has also inspired
Ryno Saayman explains that. while farmers to seek supporting oppor-
the machine is electrically powered, tunities and enterprises that can be
the trailer includes a generator that sustained on their farms.
not only powers the machine but This creates the perfect oppor-
also all ones building needs. It also tunity for block making using the
has several extra components that farmers nonarable soil and the farm
can be added to enable farmers and labour available.
small businesses to complete work BLOCK-MAKING TRAILER The M9 concept lessens the load
on their farms or add new industry The M9 trailer is a combination of machines that can be used to
easily create blocks for construction projects
on farmers to acquire a large amount
to their operations. of water to facilitate building new
The concept behind the business- structures.
on-a-trailer is that it serves two purposes as other Hydraform machines: once it has H e r e it e r a t e s t h a t t h e Hyd r a fo r m
the block-making business on a dismountable reached the location where the construction t e c h n o l o g y o n l y r e q u i r e s a s m a l l
skid, as well as a standalone trailer for loading is taking place, interlocking blocks can be amount of water to create several thousand
and transporting other materials and items manufactured using only a mixture of 10% blocks.
that affect ones business or operation. cement, water and soil from the surrounding Un for t u nately, water wi l l st i l l be
Saayman explains further that the block- area, using the M9 trailer-based block-making playing a part in the construction process,
making machine follows the same principle machine. but you will end up using less water,
Hydraform has been developing the Saayman says.
Hydraform interlocking building system for He adds that farmers prefer the hands-on
29 years, with the M9 trailer-based machine approach to building and maintaining the
being the latest innovation. equipment and structures that they have.
The Nampo Harvest Day festival has been Dickson explains that Hydraform has a
chosen as the launch platform for the new long and successful relationship with the
M9 concept, because of the opportunity this agriculture community.
represents for our farming clientele, He explains that, by nature, successful
Farmers can use the M9 business on a farmers are innovators whose survival
trailer block-making machine and take it to depends on finding solutions to day-to-
wherever it is required to build new buildings, day challenges, which makes Hydraform
add to a building or to improve already technology an ideal companion for them.
existing structures, Saayman highlights. Saayman adds that Hydraform will be at
GREAT OPPORTUNITY He explains that, during the slowdown in Stand 65c, where the M9 machine will be
Farmers can use the M9 business-on-a-trailer
block-making machine and take it wherever
farming operations, farmers choose to focus used to create blocks throughout the Nampo
it is required to build new buildings, add to on the maintenance of existing structures, Harvest Day show.
a building or to improve already existing and building storage facilities and housing We are proud to be associated with the
structures He points out that the Nampo Harvest Nampo event for so long and are grateful
Day show is the largest agricultural show in to the growing enterprise for its support in
the southern hemisphere and it is attended connecting the agriculture industry with the
I thought I was just really tired, but its by the agriculture community from across tools it needs not only to survive but also to
been five years, so I guess this is how I
look now.
Africa. thrive, Dickson concludes.
It offers exhibitors direct access to the ENGINEERING NEWS COUPON ON PAGE 82 E450771

NAMPO PREVIEW
From page 49 customers, the company sup

says. Herbst explains that there ports products that come with
is a direct correlation between parts supply, advice and training.
profitability and production. Our highly skilled technical
When it comes to crop farm team delivers specialist mainte
ing, for example, farmers have a nance and aftersales services.
limited window period for plant As part of our customer service,
ing and harvesting, so costly we pay regular visits to our cus
breakdowns in the field are tomers to ensure that our sys
simply not an option. tems are in good working order,
Our automated lubrication Source: Bloomberg Herbst says.
systems, which include single Lincoln Lubrications agricul
nipple greasing, as well as fully tural offering is available from
monitored systems, deliver SKFs extensive agri distribu
fast, accurate greasing for opti SPREADER NIPPLE tion network. Product knowledge
The grease distribution systems from Lincoln Lubrication use one or
mum equipment reliability. is important, so we are spend
more nipples to spread lubrication equally across a system
When greasing the machine ing time with distributors and
during planned maintenance, endusers, sharing product infor
some points are often missed We recommended the single any greasing points for complete mation and training. We have
while others are either over nipple greasing system as the peace of mind. In addition, the completed a number of Muster II
or underlubricated, leading best solution. Using distribu system also offers substantial fire suppression demos in the
to equipment downtime, he tion blocks, we route all greas time saving, explains Herbst. Free State, which we plan to roll
adds, noting that over or under ing points to one grease nipple, He adds that longterm cus out across the country together
lubricated parts not only waste which enables lubrication of all tomer relationships are of the with our successful crop spray
valuable time but also compro points from one greasing point, utmost importance for both par system, he concludes.
mise equipment reliability. eliminating the risk of missing ties. Building partnerships with ENGINEERING NEWS COUPON ON PAGE 82 E450667
From page 41
we also focus on offering our customers
BI also provides advice
in the agriculture community a total on keeping farming
solution for their specific needs, explains
Trevelyan. Further, he explains that the
equipment operating at
agriculture sector is under increasing optimum efficiency
pressure to cut costs and improve BURTIE ROBERTS
productivity, owing to the recent drought
and the changing political climate. BI has
made its product line available to help
its customers reduce their downtime and
boost productivity. bearings and shaftmountedgearbox
On display at the BI stand at the Nampo supplier Dodge, power tool manufacturer
Harvest Day show are products from Makita, hand cleaner and degreaser
manufacturer Citronol, electric motor
manufacturer Bauer and bearings and
When the wealth is lost, nothing is lost. transmission components manufacturer DODGE GEARBOX
When the health is lost, something is lost.
Mental peace leads to good health. KML. Bearings International will be showcasing
ENGINEERING NEWS COUPON ON PAGE 82 E450648 some of Dodges gearbox offerings

COMPANYPROFILE
VescoPlastics finishing. VescoPlastics produces its proprietary brands of Vesconite

and Vesconite Hilube bushings and wear plates that operate in dusty,
dirty or wet conditions and still last longer than other products on
South Afric a - based self- lubric ated bearings manufacturer the market.
VescoPlastics will be able to machine custom components faster and The company also provides extensive machining services and has
easier, owing to the introduction of a new 5-axis computer numerically the largest machine shop in the Free State, with 60 CNC lathes and
controlled (CNC) machining centre at its factory in Virginia, Free State. machining centres, and numerous large conventional lathes that are
The state-of-the-art Haas VF-11 machining centre has a 3 000 mm capable of machining bushings up to 3 000 mm in diameter.
travel, and allows the cutting tool to move across the X,Y and Z linear VescoPlastics has warehouses in Johannesburg, the US, the
axes and the workpiece to tilt and to rotate in any direction. UK, the Netherlands and New Zealand, with stocking distributors in
Among the many applications that it may be used on is in the Argentina, Australia and Singapore.
machining of daggerboard casings for high-technology sailing boats Legers SABS-approved and ISO 9001-accredited company boasts
that are used as an alternative to fixed keels on catamarans, for a staff of 71, of which 25 are employed in the sales and administration
performance boat builders. Other complicated machining jobs can divisions, with 46 in manufacturing.
also be carried out. The company also focuses significantly on training and skills
The machining centre will allow us to complete complex projects development, and is currently mentoring 30 young people as part of
quickly and accurately, says VescoPlastics chairperson Dr Jean- its learnership and apprenticeship programmes.
Patrick Leger. VescoPlastics boasts customers in more than 100 countries, exports
He notes that it will also save manufacturing time because over half of its total sales, and dispatches large orders regularly to
components do not need to be transferred between machines for the US, China, South America and Australasia.

New audit service CEMENT
& CONCRETE
to support concrete
product manufacturer
Page 56
Compiled by TASNEEM BULBULIA
Cement and concrete affected by

faltering construction industry
TASNEEM BULBULIA | CREAMER MEDIA REPORTER
NOTHING CONCRETE
A lack of major infrastructure projects in
South Africa is negatively affecting the
Source: Bloomberg
construction industry, thereby hindering

the state of cement and concrete
T
he construction industry in South projects that are implemented. on February 19, 2013, which aims to elimi
Africa which is tied directly to the He is concerned over a lack of major infra nate poverty and reduce inequality by 2030
state of cement and concrete is stut structure projects in South Africa recently, as being behind schedule according to con
tering, but there is scope to improve, says with the last two notable constructions being tained forecasts.
chemicals solutions provider Chryso Southern Stateowned power utility Eskoms Medupi To mitigate this situation and facilitate
Africa CEO Norman Seymore. and Kusile power stations, both of which growth, Chryso has been expanding its terri
It has been widely reported that the con have been completed from a construction tories by developing into subSaharan Africa.
struction industry has not been doing well point of view. However, Seymore says there is scope
for several years, he tells Engineering News. This leaves only road infrastructure pro for South Africas construction industry to
Seymore explains that the reliance of jects constituting major infrastructure pro improve, as there is a need for infrastruc
cement and concrete on a thriving construc jects in the country. This abatement negatively ture development.
tion industry, which, in turn, is reliant on impacts on the construction industry, thereby While there are no major infrastructure
infrastructure projects means the condition affecting cement and concrete. projects on the cards, he concedes that there
and progress of the construction industry is Further, Seymore points to governments are pockets of good performance. These
directly proportional to the number of such National Development Plan implemented To page 54
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We do not sell or repair Hydraulic equipment, neither are we affiliated to any such company. Tel: Dee Kruger at (011) 453 8063
Email: garnett@cross.co.za
Accredited by the S.A. Institute of Mechanical Engineers, mandated by the Engineering Council
Web: www.garnettcross.co.za
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Creamer Medias 181111MF

CEMENT & CONCRETE
From page 52
infrastructure projects are very localised,
however; for example, in Sandton, where
passersby might be under the impression
that there is a construction boom, this is not
the case rather, there is isolated growth in
the area.

T he sa me appl ies to Um h la nga , i n
KwaZuluNatal, where several highrise
residential buildings are currently under con
struction. The provinces apparently good
levels of activity are also supplemented by
a number of road infrastructure projects
under way.
He cites that good market conditions
in the Western Cape are facilitating projects. LOCALISED
However, this is mostly through private Several areas in South Africa represent pockets of good performance for infrastructure projects
investment, on which the construction indus
try is overreliant, Seymore says. prices, but reassures that there is reason to be to this issue. He is hopeful that the cycle will
He indicates that it is not only South positive, with development work becoming change this year. The construction industry
Africas construction industry that is suffer available as the commodity markets recover. in South Africa is very advanced in terms of
ing, as the entire African market has been Seymore posits that the refugee crisis, construction methods, materials and prac
depressed by commodities and exports fal which is still prevalent in Europe, has unin tices, and Chryso is on hand to support the
tering, and revenues shrinking, in the global tended consequences as farreaching as the industry and ensure that it remains competi
economy. construction industry, owing to international tive, he adds.
He cites Angola as an example, which aid money, which historically had funded We, as a South African industry, need to
has been heavily affected by the drop in oil many projects in Africa, now being diverted support one another to keep the expertise in
South Africa and remain exceptionally com
petitive, and keep working on big projects,
Within you right now is the power to do things you never dreamed possible. This power becomes
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www.industryqohs.co.za Creamer Media 120517CG

CEMENT & CONCRETE
New audit service to

support concrete
product manufacturers
C
ement a nd const r uc new Efficiency Audit service Infrastructure projects are
tion materials supplier offering. necessary for CPMs to sell their
A f r i S a m i s p r ov i d AfriSam national sales man products, and this downturn has
ing additional support for its ager Amit Dawneerangen says increased pressure, necessitating CENTRE OF EXCELLENCE
Concrete Product Manufacturers there has been a downturn in [the consideration of] operational AfriSams Centre of Product
(CPMs) customers through its infrastructure projects locally. efficiencies to reduce costs. Excellence offers customers an
additional Efficiency Audit service
This has subsequently been
the catalyst for AfriSam's new
offering, which was implemented opments and trends in produc
weishaupt at the beginning of this year as
extra support for customers to
tion, this service can mitigate
[the situation], Dawneerangen
(South Africa) (Pty) Ltd ensure that they remain profita explains.
ble, he notes. Mo r e ove r, h e n o t e s t h a t
Weishaupt WM 20 monarch Burners The support is also a new AfriSam can draw from the expe
Advantages: feature of AfriSams Centre rience and progress gleaned from
Easy fuel changeover between gas and oil on dual fuel burners of Product Excellence facil several readymix concrete plants
Digital combustion manager with electronic compound ity, in Roodepoort, Gauteng. operated by the company nation
regulation at all ratings Dawneerangen explains that a ally in its provision of these advi
Sound attenuated air inlet as standard for quieter operation team of technical experts are dis sory services.
All WM 20 burners are delivered with a mixing head preset for the patched to a customers manufac Though still in its infancy, the
required output of the burner turing operation to conduct an service has been offered to one
Computer controlled function tested at factory
audit on the process taking place. of AfriSams biggest clients, with
Digital combustion manager Burner housing This provides a fresh set of plans to roll it out to other CPM
hinge
with control and display unit
eyes, as people working at the customers over time.
same operation daily become Dawneerangen notes the only
Electronic ignition unit
accustomed to it and might miss challenge experienced has been
opportunities for improvement. the reluctance by some opera
This team covers the entire tional staff to have outsid
process, from the starting point ers evaluate their operations
of constituent material selection and scrutinise their daily work.
to the finished concrete product. However, there has been good
Stepping motor for The company has produced, buyin by senior management
gas butterfly valve
through its experience, a checklist from the companies AfriSam
of items to identify areas of has approached.
improvement in the facility, he To mitigate this reluctance, a
adds. preaudit meeting is conducted,
Once this has been con where the intentions of the audit
Stepping motor for
air damper control ducted, the management team are clearly outlined and freedom
Certification is briefed regarding the results, to participate is emphasised.
The burners are tested by an independant body and conform to the even in the case where opera The meeting aims to clar
following standards and EU directives: tional efficiency is at its optimum, ity to staff that the audit is not
EN 267 and EN 676 (Emission Class 2) Machinery Directive 98/37/EU with no need for improvements. being done on the order of senior
Electromagnetic Compatibility EMV 89/336/EU Low Voltage Directive
73/23/EU Gas Application Directive 90/396/EU Press Vessel Directive
When manufacturers have management, but is an additional
97/23/EU The burners carry the CE and CE-PIN label not kept up with the latest devel service offered by AfriSam to
improve productivity.
Weishaupt (South Africa) (Pty) Ltd This service is mutually bene
PO Box 1739, Honeydew 2040 Why dont we wait for life on ficial, as it ensures an opti
Tel: 011 793 6711 Fax: 011 793 6488 mised process for CPMs and
CM 120517CG
other planets to find us? Why

E-mail: weishaupt@mweb.co.za do we have to do all the work?
Website: www.weishaupt.de To page 61

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CEMENT & CONCRETE
Vertical roller mills

enhance cement plant
H
ighquality cement manufacturer of cement raw material boasts a production
and supplier United Cement rate of 500 t/h.
Company (Unisem), of Nigeria, Mill LM 70.4+4 CS type is designed
is using two vertical roller mills (VRMs) for a capacity of more than 370 t/h. In
from exportorientated engineering combination with this enormous capacity,
company Loesche at its successfully a new drive, with system operating power
commissioned new Cement Plant 2 at of up to 8 800 kW, was necessary. Close
Mfamosing, in Cross River state, Nigeria. cooperation between manufacturers
Loesche received the order for two of propulsion components and test
VRMs of the LM 60.4 type for grinding systems RENK Augsburg and Loesche
cement raw material and the LM 70.4+4 Dsseldorf, saw this development take
CS type, the biggest Loesche VRM, for place. Input from the enduser, global
grinding cement clinker. building materials and solutions company
The cement plant at Mfamosing, located
30 km northeast of Calabar, the capital of INNOVATIVE ENGINEERING
Cross River state, Nigeria, has been fully The biggest Loesche mill type, the
operational since February 2009 and is LM 70.4+4 CS, in successful operation
equipped with the latest technology. With Another advantage of this with the new COPE drive at cement plant
Mfamosing
a capacity of 2.5million tons of cement mill is that it has the same
a year, the Unicem plant has now been
extended by this Loesche technology. footprint as a standard mill LafargeHolcim, as well as from a
The type LM 60.4 mill for the grinding gearbox for VRMs renowned technical university in Germany,
was taken into consideration.
LOESCHE The innovative result of this combined
input and effort is the Compact Planetary
Loesche is an owner-managed, export- is well positioned in the market in terms Electrical (COPE) drive. The new concept
orientated company, which was founded of vertical mills and turnkey grinding mills. is designed for gearboxes of 4 000 kW
in Berlin, in Germany, in 1906. Today, Loesche supplies turnkey plants, which are
the company operates from its head individually planned and built for the required to 12 000 kW. This results in a single and
office in Dsseldorf and has subsidiaries, process steps. This includes plants for special motor, as well as the attendant
representatives and agencies around the processing, material storage, transport and risks, becoming obsolete. Further, it
world.In 1928, Loesche built the first spring- delivery, vertical mills, hot-gas generators, eliminates the failure in the fast running
loaded air-flow mills, which are known to this filter and separator systems, complete
day as Loesche mills. automation technology, plants for all aspects firststage gear of conventional gearboxes.
Nowadays, Loesche vertical mills form the of construction above and below ground, steel Another advantage of this mill is that it
core of many plants used to dry-grind coal, construction and piping systems. has the same footprint as a standard mill
cement raw materials, granulated slag, The companys grinding plants are compliant To page 61
industrial minerals and ores.Thanks to its with national and international safety
grinding plants with throughputs of 200 t/h regulations. At present, around 330 people
to 300 t/h for the cement industry and self- are employed at the companys head office Remember, everyone seems normal until
inert, central coal-grinding plants for hard in Dsseldorf, with around 600 employed you get to know them . . .
and brown coal power stations, Loesche worldwide.
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CEMENT & CONCRETE
Online concrete technology been correspondence-based

self-study courses, which
prepare delegates to sit the
courses launched
Concrete Technology and
Construction Stage2 and
Stage3 examinations set by
the London-based Institute of
Concrete Technology.
ROBYN WILKINSON | CREAMER MEDIA STAFF WRITER Perrie explains that the
T
completion of the level41
o improve ease of African construction sector, notes that level41 and 42 and 42 courses, following
access to education cement and concrete technical courses, covering general completion of the level10,
and training courses as services provider The Concrete principles of concrete 20 and 30 courses, is an
well as pass rates in the South Institutes (TCIs) School of technology and practical appli- important prerequisite for
Concrete Technology launched cations respectively, have delegates who wish to study
its online e-learning platform been a mainstay of TCIs towards the ultimate goal
I met my soulmate. She didnt. in January. education and training offering. of the Advanced Concrete
TCI MD Bryan Perrie These have traditionally Technology diploma offered
by the Institute of Concrete
Technology.
The School of Concrete
Technology will offer the
diploma programme again
in 2018, in Midrand.
However, delegates often
do not realise how crucial it
is to complete the coursework
to pass the level41 and 42
examinations and, thus, tend
to be ill-prepared, resulting
in low pass rates, Perrie
points out.
To improve the pass rates,
TCI has taken advantage of
technology advancements
and converted the courses
to an online platform. Perrie
explains that, once delegates
have registered and paid for
MOVING WITH THE TIMES the course, they receive course
The Concrete Institute is now able to track delegates progress through the online platform to ensure that they notes online.
prepare adequately before sitting the exam To page 64
MILLING & CLASSIFICATION IS OUR BUSINESS
E V E N 1 0 0 Y E A R S O F B E I N G A N I N N O V AT O R A N D
MARKET LEADER DOES NOT KEEP US
EVERY DAY
FROM INVENTING BETTER SOLUTIONS
Loesche six roller Mill
Are you looking for cost-effective size-reduction and classification of ores, industrial minerals and concentrates? Contact Loesche
SA to find out the advantages of the Loesche Grinding System for your beneficiation process.
Tel: +27 (0)11 482 2933 | Fax: +27 (0)11 482 2940 | Email: umeyer@loeschesa.co.za | Web: www.loesche.com

CEMENT & CONCRETE
From page 56 achieve the high early strength any product currently on the mar
strengthens the relationship with that is required by manufactur ket, says Dawneerangen.
customers, enabling AfriSam to ing operations. He emphasises that it should
offer continued service provision. Dawneerangen explains that be ensured that RHC is used cor
most CPM products are made rectly. Ensuring this correct use
Streamlining Operations in moulds that form the prod is facilitated through the cen
Several inputs can determine how uct. Therefore, the quicker the tres team of technical experts,
profitable manufacturing opera moulds are turned around and which provides technical support
tions are for concrete products, the product demoulded, the more on site for customers. Moreover,
and Dawneerangen highlights efficient, or productive, manufac Dawneerangen notes that, since
the constituent materials that turers are. RHCs implementation, sales
are used to manufacture the This necessitates a very high have increased yearonyear.
products as one of the biggest early strength performance and RHC is not required to be used
inputs. consistency, as a variation will on all concrete applications, but
CPMs essentially buy cement impact on productivity, owing to has a niche market, such as appli
and aggregates, and combine TAILOR-MADE inconsistent demoulding times. cations where high early strength
them to create another product AfriSams Rapid Hard Cement He indicates that AfriSam is required and when concreting
such as a brick or a roof tile, product has been specifically is currently the only manufac in cold weather conditions, but
Dawneerangen says, dispelling designed to achieve a very high turer in South Africa produc more manufacturers are enter
early strength
the misconception people may ing a cement product in the ing this space and adopting this
have that cement is just cement. 52.5R strength class, which is product.
The product found in a bag is To help subvert this, AfriSam the higheststrength class possi AfriSam RHC is a sophisti
mistakenly believed to be suit has developed specific cement ble, according to South African cated product developed using
able for any application. products over the years that cement specifications. the latest cement production tech
He h igh lights the cost of have been tailormade for spe According to the specifica nology. Its effectiveness should
cement as the priciest compo cific applications, which takes tion, AfriSam RHC 52.5R needs not be measured against price by
nent in manufacturing. As such, into account the demands of to achieve a twoday strength comparing it to other cement
this is where he believes that customers. of 30 MPA. When compared products available, but rather
manufacturing operations are not Dawneerangen cites AfriSams with the closest strength class against its ability as a concrete
optimised, as they are not fully Rapid Hard Cement (RHC) as 52.5N which needs to achieve offering at the lowest possible
using the properties of different an example, with RHC having on ly a two day st rengt h of cost.
cements to their full potential. been specifically designed to 20 MPA, it is far superior to ENGINEERING NEWS COUPON ON PAGE 82 E450439
From page 58 of individual mill motor units to minimise duration to repair the mills conventional
gearbox for VRMs. Further, this presents downtimes by about two gearboxes, will be a matter of the past.
the first time eight drive motors for a hours; and an extremely compact design Implementing the COPE drive requires the
VRM gearbox have been used, as well with motors directly attached to the standard foundation. The replacement of
as the first time multiple drives in VRMs gearbox housing. one of the eight small motors is easily done
have operated with or without variable Loesche points to the most important as they are readily available and easy to
frequency drive. difference of this development being the install.
Other benefits include the easy removal fact that long standstills of months in ENGINEERING NEWS COUPON ON PAGE 82 E450478
DELIVERING CONCRETE RESULTS

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Specialised services and technology for the cement industry cover
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CEMENT & CONCRETE
New research facility

enhances offerings
C
hemicals solutions provider Chryso Engineering News that South Africa has
Southern Africa has established been facing a weakening currency over the
a research facility in Jet Park, past few years, which has put pressure on
Johannesburg, to develop products a number of Chryso products, as many of
specifically for the African market, while these are imported. To circumvent this, the
offering regional testing services. company initiated an investment in 2015 to
Chryso CEO Norman Seymore tells produce the polymers for the raw materials NORMAN SEYMORE
New Chryso products are the continual
evolution of improvements on existing products
it uses in its local products, which was

Air Pollution Control across the manifested in the construction of a new
plant that began operating in 2016.
spectrum...from engineered, turnkey Further, Chryso has rolled out three
systems to unit dust collectors concrete laboratories in Durban, Port
Elizabeth and Cape Town to assist
customers with the application of company
products.
The company relied on imported con
centrates for concrete, which it would then
blend locally, but the new facility now
allows for local manufacturing, offering
benefits to customers, Seymore says.
He further points out that Chrysos
cement and concrete products are tech
nical in nature, and not commodities.
This is evident in the many variables
to consider in the production of these
products, such as different aggregates
and areas of application, which require
that concrete mix designs and concrete
admixtures (chemicals added to concretes
at the mixing stage to modify some of the
properties of the mix) be suited to local
conditions.
It is, therefore, imperative that the com
pany has the necessary facilities to test
customers materials to offer the best, most
suitable solution, Seymore says, adding
that this is being facilitated through the
new centre.
He also highlights that, previously,
Our product range includes: Chrysos technicians worked remotely or
Pulse jet bag filters | Reverse air baghouses in different facilities, but now all 15 will
Venturi, dynamic & vane scrubbers | Cyclones be housed at the new centre. This will
Pressurisation units | Shaker & silo vent filters combine their skills under one roof for
development work on repair materials,
grouts, all cementitious systems and
cement testing. In this way, the new centre
will allow for a knowledgesharing base to
Air Pollution Control a business unit of John Thompson | A division of ACTOM (Pty) Ltd communicate knowledge and experience
Tel: +27 (0)11 478-0456 | P.O. Box 4051 Cresta 2118, RSA
Email: infoapc@johnthompson.co.za www.johnthompson.co.za/apc easily while evaluating different aspects of
concrete.

CEMENT & CONCRETE
Specialised construction products are the continual

products supplier a.b.e evolution of improvements
Construction Chemicals a on existing products. The
subsidiary of Chryso has a company has been successfully
development facility laboratory marketing such products in
on its premises in Boksburg, South Africa some since the
Johannesburg, for all cemen inception of the company in
titious matters. Seymore the country and the charac
indicates that staff from this teristics, technology or perfor
laboratory form part of the mance of these products
group of technicians that will improve every year.
be moving to the new facility. Moreover, he says, current
Chryso Southern Africa is achievements in terms of how
Source: Bloomberg
part of Chryso Group, which is high skyscrapers can reach,
headquartered in France, where the speed of construction and
the groups main laboratory is ease of concrete placement are CENTRE OF EXCELLENCE
also located. The new Jet Park initiatives that are facilitated by Chrysos new research facility will develop products specifically for the
facility is Chrysos biggest these continual improvements. African market, while offering regional testing services
centre of operation in South
Africa. Concrete Solution mining up to a distance of then having to set immediately
While the laboratory has Chryso enjoys a dominant 4 km underground as an once applied.
not yet been officially opened, position in the South African example. In this instance, Seymore says this is faci
Seymore says it is already ope market and it has been concrete needs to be litated through the use of
rational. The official opening involved in supplying cement manufactured on the surface chemical additives, which
will be held within the next few and concrete products for and transported below surface create workability for ease of
months. some of the countrys major at depth, and horizontally transport and then accelerate
infrastructure projects, such once there. This situation is the setting and final stages of
Product Innovation as the Gautrain, the Nelson further complicated by the the concrete. Chryso has also
Chryso has been in South Mandela bridge, the Durban concrete having to remain fluid worked on gold, platinum and
Africa for more than 20 years. port upgrade and the Cape and workable from when it is diamond mining operations.
Seymore avers that, in line Town Waterfront development, mixed to when it is placed, and ENGINEERING NEWS COUPON ON PAGE 82 E450368
with the companys tagline, Seymore explains.
Innovation is our chemistry, The company is supply
the company invests up to 4% ing the Fourways Mall
of its yearly revenue in research
and development (R&D).
The global company
upgrade project, the pedestrian
bridge construction between
Alexandra and Sandton, all in
NOZZLES AND SYSTEMS
FOR GAS COOLING DeNOx FGD
launches about 30 new pro Gauteng, and the Saldanha Bay
ducts each year, with these upgrade, in the Western Cape,
new technologies having to with cement and concrete Gas Treatment by Lechler
be adapted regionally to suit products. Gas Cooling Systems complete with
local conditions. Seymore Moreover, he notes that
says the new facility allows the company has a notable nozzles, lances, pumps and control units
for this adaptation to facilitate presence in mining operations, for single and twin fluid nozzles
introduction into the local specifically in underground DeNOx-Equipment for SCR- and
market. construction. He cites the SNCR-Processes with nozzles, lances,
He explains that these new scenario of an operation
pumps and control units
Wet FGD with nozzles
Semi dry, or dry FGD with nozzles,
lances and systems
Source: Bloomberg
LOCALISATION
CM 120517MF
Concrete mix designs and concrete admixtures will be specified to suit

local conditions at Chrysos new centre

CEMENT & CONCRETE
Mitigating poorly laid companies to work with, are not

always followed and, therefore,
have to be mitigated from the
concrete floors
flooring companys side, he
notes.
This necessitates the need for
a levelling screed application.
KBAC is using developer and
TASNEEM BULBULIA | CREAMER MEDIA REPORTER manufacturer of concrete-based
A
products iTes self-levelling
n element often screed, which Duncan indicates
overlooked by the is the companys current pre-
construction industry ferred choice. He describes it as
contractors when laying a smooth textured cementitious
screeds for floor surfaces compound, with a good flow
is the importance of laying rate to facilitate a smooth finish.
concrete subfloors to tolerances
acceptable for flooring finishers, Self-Levelling Screed
says interior flooring supplier Prior to 1976, companies used
and installer KBAC Flooring a far less sophisticated product,
senior contracts manager Ian which was spread manually
Duncan. onto the floor, followed by
Source: Bloomberg
He tells Engineering News grinding and sanding to achieve

that most sites that use vinyl the smooth finish. Duncan says
flooring materials, KBAC has UNDER THE SURFACE this process was very labour
to prepare the subfloors before Poorly laid concrete floors are problematic for flooring installers, who intensive and time consuming.
installation, owing to the thin, have to remedy this before laying floor coverings However, UK-based con-
malleable nature of the vinyl. struction industry Ardex
If the concrete surface is not vinyl is used in a number of extra element to create launched a self-levelling screed
prepared to a sufficient smooth, commercial and residential the desired smooth finish. in 1976 that contributed much
flat standard, the vinyl moulds application, ranging from The onus mostly falls to moving this away from a
itself to the concrete subfloor kitchens to banqueting areas. on flooring contractors to manual process.
and a bumpy, poorly prepared When a building is con- prepare uneven subfloor, as KBAC sent experts to the
undulating surface will show structed, a slab is cast, which the construction companies UK for training on installing
through the completed vinyl consists of a concrete mix, that laid it are reluctant to do and laying this product to
floor covering. comprising stones, a sand so. Duncan notes that this has apply the knowledge and
The subfloor preparation is component and cement, been a prevalent problem in skills in South Africa. Duncan
especially important because Duncan explains. As a result the building industry for many mentions, however, that these
of this combination of different years. products were expensive at the
consistencies, the finished slab There are tolerances builders time, as they were imported,
Time is what keeps things from
happening all at once.
is not completely smooth, which have to work to, but these but that there has been a posi-
requires the company to add an are inadequate for flooring tive proliferation of locally
From page 60 platform to ensure that they

These are subdivided into have undertaken adequate
smaller, manageable modules preparation before sitting
with tests at the end of each the exam.
section. Perrie points out that this
This helps to encourage is particularly useful in cases
continuous learning, as where an employer is paying
delegates cannot progress to for employees to complete the
the next section of notes course, as the TCI can provide
without proving their compe- an alert if delegates are not
tency in the previous section upholding their obligation
by passing the test. to undertake adequate exam
In this way, they are preparation.
encouraged to... re-read He further highlights that
sections they are struggling the online platform provides
with until they are able to the institute with the scope
BRYAN PERRIE answer the questions correctly. to expand its education and
We have gone to great lengths to make the online learning interface as TCI also tracks delegates training offering beyond South
user friendly as possible and have received positive feedback progress through the online Africas borders.

CEMENT & CONCRETE
manufactured self-levelling
screeds in South Africa, with
many companies now offering
excellent quality products. 6% of the
population
He says such screeds are
quicker to apply than the older
manual methods, which took
days to be completed, as they
had to be manually sanded have access
to electricity.
down, which self-levelling
PREFERRED PRODUCT
screeds do not require. KBAC Flooring is using iTes
The critical aspect of apply- self-levelling screed to achieve
ing a self-levelling screed is
to follow the products mix-
smooth surfaces
A 22 MW
hydropower
ing methodology, whereby levelling screed obviously adds
a predetermined ratio of the weight to the building, at least
screed and water are combined 5 kg to 10 kg per square metre
in a drum (5 of water to one
bag of screed), mixed with
on a particularly poorly laid
surface. This weight can add plant delivering
electricity to
an electric mixer and poured up and, therefore, needs to be
on the surface. The screed is monitored by an engineer to
then raked out to the required ensure stability.
thickness level and rolled flat
using a roller. The screed is then
Secondly, laying self-levelling
screed is labour intensive and Africas largest
gold mine.
left for 24 hours at a set flow time consuming, which adds
rate, settling and drying into a an additional facet to the com-
smooth, flat surface, Duncan panys workflow, as this pre-
extolls. paration of concrete surfaces
The training departments of has to be conducted before
manufacturers train installers to being able to install the floors.
use the correct mixing method
for self-levelling screeds, which
The additional time required
is not included in the flooring
Impossible?
KBAC does as well. We train
each of our teams how to use
this product to ensure that they
contractors work programme.
Duncan says KBAC can
lay a floor within 24 hours
Not for DRA.
are competent, and this has of applying the self-levelling
placed us in good stead when screed. Self-levelling screed
Randgold Resources and Anglo Gold Ashantis
it comes to preparing concrete has made the process of
processing plant at Kibali in oriental DRC, designed and
surfaces for flooring, Duncan levelling floors so much easier.
implemented by DRA, is currently producing 600 000
acclaims. Previously, it would take three
oz of gold per year thanks to the energy provided by
He does note two repercus- to five days he concludes.
Africas most powerful river. Detailed designed and
sions, however. Firstly, the self- ENGINEERING NEWS COUPON ON PAGE 82 E450838
constructed by DRA, a first for the company, the Nzoro
II hydropower plant produces clean, sustainable power
at a third of the cost of diesel. Every member of our
TCI is currently in discus- through them. The first group
team dedicated their expertise to ensure that the utmost
sions to set up an examination of learners to use the online
environmental preservation was maintained at all levels
centre in Kenya, and Perrie is platform will write their exam
of implementation. In a country with little electrical
confident that this will be the this month and we are eager to
infrastructure, were proud to deliver a solution that not
first step in further expansion see the positive impact that this
only sustains the natural resources, but the people of
into the continent. development has had.
Kibalias well. Its just another way DRA delivers through
The institute will also aim A new one-day course, a
all circumstances.
to expand the online learning Level15 Concrete for Batchers
format to its other courses in and Batch Plant Staff, will
due course. also be offered this year by the DRAglobal.com
We have gone to great School of Concrete Technology,
lengths to make the online in partnership with the Southern
learning interface as user African Ready Mix Association
friendly as possible and have (Sarma).
received positive feedback so The course will be pre-
far. Obviously, there have been sented by Sarma and offered
a few teething problems, but in Johannesburg, Durban, Port Extraordinary Possibilities
we are being very proactive Elizabeth and Cape Town.
in identifying and working ENGINEERING NEWS COUPON ON PAGE 82 E450382

COMPANYPROFILE
PMSA Paver, Block & Brick Machinery

C onc rete equipment manufac turer PM SA of fer s t he most staff to ensure that the customers business is sustainable in terms of
technologically advanced and high-quality machinery available to the technology transfer from PMSA to the customer and that the customer
precast concrete sector, including brick, paver, block and specialist is able to produce quality products once the training is complete.
decking and retaining wall block products in South Africa. Curing systems are also offered to reduce cement consumption by
The company has been the leading concrete product producer for up to 10% or more, increase early 24-hour strength and offer a better
almost five decades. The company is the leading and largest supplier overall quality concrete product.
of a full range of brick, block and paver making machinery on the The company employs over 260 staff, including 16 field service and
continent. With over 40 years of experience in the market, PMSA installation technicians with years of specialist knowledge. PMSA has
can offer bespoke solutions to customers. direct owned branches in Johannesburg, Cape Town and Durban,
PMSA partners with leading European suppliers of components which allow for countrywide support to clients.
used on the brick, block and paver machinery to ensure that the plant The business philosophy of PMSA is Built To Last, which
is robust and able to continuously produce at very high efficiency encompasses three aspects of the business: customer for life through
output levels. a partnership approach with customers, quality machinery that will
PMSA offers fully automated plants as well as manual plants operate effectively for decades as well as PMSA being a reliable
to operators starting up in the sector. Along with installation and supply partner that is here to stay and support clients into the future
commissioning, PMSA also offers full training of plant operators and for decades to come.
66 ENGINEERING NEWS | May 1218, 2017 MM

COMPANYPROFILE
Pictures by Chief Photographer Duane Daws
Welding Alloys
South Africa with surfacing provided by the hardfacing method, using sophisticated
alloys, notes the company.
To lead the market in engineered wear protection solutions and flux Operating from its facilities in Benoni and Roodepoort, WASA is
cored welding wire technology, Welding Alloys South Africa (WASA) equipped with wire manufacturing, automated plate, pipe, roller press
is focused on responding to its customers needs. and table welding equipment, and employs 147 people. The company
Part of the Welding Alloys group, which covers more than 150 offers chromium carbide overlay, flux cored welding wire, wear linings
countries through a network of 30 subsidiaries worldwide, WASA has in basalt and alumina ceramics, silicon and tungsten carbide and
been servicing the sub-Saharan Africa market since 1976. rubber; epoxy wearing compounds; idlers; ultrahigh-molecular-weight
Together with KRAM Engineering, a new subsidiary of WASA since polyethylene; and hydrocyclones.
2016, the company provides the mining, cement, power, petrochemicals Applications include crushers, steel mill rolls, sugar cane milling,
and steel industries with abrasion-, impact- and corrosion-protection coal transportation, mining and quarry equipment, excavator buckets,
services to reduce life cycle costs. caterpillar rollers and tracks, valves, forge hammers, chutes, cyclones,
Performance and quality criteria are becoming ever more stringent feeders, hopper bins, pulley lagging, launders, thickeners, screw
and require ever more complex materials. Shortages of raw materials conveyors and pulverised coal systems.
are leading increasingly to the development of composite components, The company is ISO 9001- and ISO 3834-accredited.
CM 170317MF
Engineered Wear Protection Solutions
Tel: 011 421 3750 Tel: 011 552 8640

www.weldingallyssa.co.za www.kramengineering.co.za
sales.wasa@welding-alloys.com info@kramengineering.co.za

NUCLEAR ENERGY
Nuclear energy
provides secure,
clean, affordable
baseload power
Page 72
Compiled by NADINE JAMES
Nuclear is too expensive,

too controversial
NADINE JAMES | CREAMER MEDIA STAFF WRITER
CONTROVERSIAL
While the Cape Town High Court significantly
delayed the implementation of a nuclear new
build programme last month, the plans for
such a programme persist
I
mplementing a nuclear build pro added to the costs of importing most of the recent past. The lack of public support
gramme in South Africa would the nuclear technology, fuel and materials, is also concerning, says Fish, noting that
be extremely difficult because of will incur large amounts of debt. a deal has yet to be signed with a court
the associated expenses as well as the Additionally, financing the project and case challenging the nuclear procurement
controversy surrounding nuclear power, its resulting foreign currency denominated process having recently been heard. The
says financial services company Thomson debt would, in light of recent reviews by case was heard before the Cape Town
Reuters. ratings agencies, prove difficult. High Court on February 22 and judgment
Globally, government decisions Fish comments that, although the ulti handed down on April 26.
regarding nuclear programmes are mate cost of the nuclear build is important, Environmental organisations Earthlife
delayed and often deferred to incoming one should also ask, how much has the Africa Johannesburg and South African
administrations because its too big a nuclear build programme already cost Faith Communities Environment Institute
decision to make, especially in light of us?, citing ratings agency Fitch Ratings approached the court in December to
public concerns relating to costs and decision to downgrade the sovereign credit legally challenge the South African
safety, says Thomson Reuters Africa rating and its likely impact on the South governments nuclear procurement process.
supply chain and commodities head African economy. He explains that the Earthlife notes on its website that, in
Robert Fish. downgrade was partially owing to Fitchs the initial hearing on December13, the
He states that, globally, there has hardly concerns regarding the proposed nuclear court was disquieted by the signing of a
ever been a nuclear build that has been deal. Section34 determination for 9600MW of
completed on time and within budget. Fish adds that many nuclear reactors nuclear power by then Minister of Energy
Further, he notes that African countries have had some sort of safety incident, Tina Joemat-Pettersson.
already struggle to build oil refineries, noting that the major ones that come The website states: The Court stressed
and that embarking on a nuclear build to mind are Fukushima, in Japan, and in its judgment that there was no evidence
programme is, 12 times more complex Chernobyl, in what is now Ukraine. presented to the court explaining how
than building and maintaining a refinery. However, he stresses that less publicised this determination came about, when
Fish notes that the costs associated with and smaller incidents such as radiation it was decided upon and the processes
constructing the necessary infrastructure leaks and technical malfunctions occur leading thereto, despite the determination
including the establishment of transmission semifrequently, with both Koeberg and apparently having been made more than
infrastructure as well as labour costs Pelindaba experiencing such incidents in To page 70

NUCLEAR ENERGY
Atomic agency looks to Ghana. In January, an IAEA

team of experts concluded an
eightday mission to Ghana
increase assistance to
to review the countrys infra
structure development for a
nuclear power programme.
The Integrated Nuclear
nuclear hopefuls
Infrastructure Review (INIR)
was carried out at the invitation
of the Ghanaian government.
Ghana, whose economic
N
development is hampered by
uclear energy organi general Mary Alice Hayward, Milestones Approach provides a lack of consistent electricity
sation, the International and Rosatom International structured guidance and supply, is considering a poten
Atomic Energy Agency Relations deputy director checklists to help nuclear tial role for nuclear power in
(IAEA) and the Russian State general Nikolay Spassky, newcomer countries better the countrys energy mix. It
owned atomic corporation in the presence of IAEA understand the commitments has established the Ghana
Rosatom have reached an directorgeneral Yukiya involved in introducing nuclear Nuclear Power Programme
agreement that is aimed at Amano and Rosatom director power, from developing a Organisation (GNPPO) to
strengthening IAEA assistance generalAlexey Likhachev. regulatory framework to build coordinate all preparatory
to member States that are The IAEAs nuclear infra ing a plant and planning for its activities related to the deve
considering introducing or structure development sec decommissioning and nuclear lopment of a nuclear power
expanding nuclear power tion, through the technical waste management. programme.
programmes. cooperation programme, In particular, the agreement The INIR team concluded
Under the agreement, IAEA provides targeted support to will help strengthen IAEA that Ghana has made con
programmes on nuclear infra member States embarking on efforts to promote capacity siderable progress in the
structure development will new nuclear power programmes building in newcomer and development of its nuclear
receive a financial contribu or expanding existing ones. expanding countries in areas power infrastructure.
tion of up to $1.8million and According to the IAEA, about including nuclear safety, It established effective
inkind contributions of up to 30 countries are currently stakeholder involvement and mechanisms to involve a
$1.9million from Rosatom, considering, planning or the development of a national comprehensive range of
over the next three years. starting such a programme. position on nuclear power. national stakeholders in the
The agreement was signed Developing a nuclear relevant activities. The team
at the IAEAs headquarters in power programme is a major Ghana Case Study made recommendations and
Vienna last month by IAEA undertaking of at least ten One of the countries that may suggestions aimed at assisting
management deputy director to 15years. The IAEAs benefit from this agreement is Ghana in making further
From page 68 the decision, ensuring that

a week before the hearing. questions around the countrys
IS NUCLEAR NECESSARY?
The State was ordered to future energy mix remain Of the 195 countries on earth, European Union contemporaries
pay punitive costs, while the unresolved. only 30 have some sort of Italy, Belgium, Germany and
case was postponed until nuclear capacity. Of these Spain are in the process of
30, only five use nuclear to phasing out their reactors.
February22. Alternatives
generate more than 50% of their Fish notes that: Theres a
In the courts judgment, it In a country where one in electricity. saying that Nuclear isnt for
set aside this and a previous four people do not have access Thomson Reuters Africa Africa. Id add a caveat that
determination, as well as the to electricity, the focus should supply chain and commodities nuclear isnt for most countries.
request for information for the be increasing access relatively head Robert Fish states that, of He concludes that most
nuclear new build programme quickly and not on build pro late, most of the world is moving of the industrialised world is
issued by Stateowned power grammes that will take 15 to away from nuclear. He comments reluctant to invest in nuclear,
utility Eskom in December. 20years to complete, notes that even France, which has the and that the proposed nuclear
largest share (72%) of electricity build programme is costing us
Fish points out that, Fish.
generated by nuclear globally, already, adversely impacting on
while many will welcome He says in terms of quick has levelled off, while its the countrys economic future.
the decision, particularly and effective electrification,
with regard to ensuring renewables technologies are
Parliamentary involvement vastly superior. A new coal to complete. Thats a quarter of unparalleled, noting that, since
and endorsement, there is fired power station takes the time it will take to build a 2011, the number of patents
still the distinct possibility about eight to ten years to nuclear reactor. for hydro and wave energy
that government will appeal complete, a nuclear pro Further, he notes that related inventions have
gramme is almost double the cost/kilowatt hour for increased by 82%, with solar
that, with a bare minimum of renewable technology has been related patents increasing at a
Youre like a candy bar:
half sweet and half nuts.
15years. Renewables plants exponentially reduced, and similar rate.
take between four and six years that innovation in this sector is He advocates for the use

NUCLEAR ENERGY
POWER
Coal & AQC | Advanced Coal | Gas Turbine | Power Networks
Hydroelectric | Power Select | Power Improve | Nuclear
Solar Wind | Biomass | Geothermal | Other Renewable Energy
Resource Power | Energy Storage
NUCLEAR AMBITIONS
Ghana may soon erect a nuclear power station, making it the second
African country to do so Innovative solutions...
progress in its nuclear power general and acting GNPPO for all your power needs
infrastructure development. chairperson Benjamin Nyarko,
The INIR mission was welcomed the outcome of
conducted in a cooperative the INIR mission.Ghana is
and open atmosphere, said committed to the careful step
IAEA nuclear infrastructure bystep development of its
development section team nuclear power programme,
leader and senior nuclear he said.
engineer Anthony Stott. The gaps identified by the
The Ghana team was very mission will be tackled in
well prepared for the mission, earnest to enable the country to
and managed its participation make a knowledgeable decision
in the review effectively. in 2018, as per its roadmap for
At the time, Ghana Atomic nuclear power development.
Energy Commission director ENGINEERING NEWS COUPON ON PAGE 82 E450711
of renewable microgrids, capacity. Fish notes that,

compact, standalone renewable while the large gas find in
power generators that service neighbouring Mozambique
small towns or communities. is too big to be ignored, he
Fish notes that aside from cautions that South Africa
the fact that they would be would still have to import the
more cost effective and faster gas from producers. As such,
to implement, microgrids he suggests that hybrid gas
would also negate some of the and renewables plants may be
problems plaguing conventional the solution, as it will limit the WorleyParsons provides innovative solutions that result
power stations. He cites, amount of gas consumed. in on-time delivery, cost savings and risk reductions. Our
for example, problems with Further, he notes that were
full range of power services and experience is driven by
transmission, noting that, government to proceed with the
currently, a large percentage stated intent regarding new our customers needs.
of power is lost during trans build nuclear stations, it should
mission, which would not focus on smaller, modular
be the case with a renewable reactors such as those being - Over 100 years in power industry
microgrid, as it would be implemented in the US. He - Deep local knowledge
servicing the community notes that light water reactors
- Global expertise
where it is directly located. produce less than 500MW, and
Gas is a common cosource that it may prove more feasible - BBBEE Level 2
of power for utilityscale power to focus on smaller, more
provision when renewable costeffective nuclear power
www.worleyparsons.com
power makes up a component generation.
of electricity generating ENGINEERING NEWS COUPON ON PAGE 82 E450581

NUCLEAR ENERGY
Nuclear energy provides life cycle costs of electricity from the different
generation technologies over the 60-year life
of a NPP, nuclear energy comes second only
secure, clean, affordable

to hydropower. For example, Koeberg has
been producing high volumes of the lowest
cost energy on the grid, since its construc-
tion costs were amortised two decades ago,
baseload power
he points out.
He notes that discrepancies in estimated
energy costs can and have been manipulated,
stating that, when conveniently taking certain
criteria out of context, some technologies can
NADINE JAMES | CREAMER MEDIA STAFF WRITER
appear to be more cost effective than others.
N
uclear energy is the only provider on the electricity price in the future. Finally, Preparing for the Proposed Build
of secure, reliable, clean and afford- the intermittency of renewables ensures Muller notes that, as with all power genera-
able baseload power that, from a total that they barely compete in the baseload tion technologies, the average cost of NPPs
life cycle cost perspective, offers one of the space, especially when factoring in the cost of will drop as more power plants are built and
most affordable electricity sources, states balancing power from gas turbines and the manufacturing and construction techniques
the Nuclear Industry Association of South costs of energy storage systems needed to are refined.
Africa (Niasa). manage this intermittency. Additionally, as far as he is aware, South
Niasa supply chain development subcom- Muller notes that the high cost of nuclear Africa would likely procure a proven tech-
mittee chairperson Des Muller lists reasons power plants (NPPs) can be attributed to nology to mitigate the risk of cost and sche-
why other baseload power providers are sub- the essential safety systems built into the dule overruns being seen on first-of-a-kind
par, noting that coal despite its ability to plants, affirming that these systems ensure builds. This provides us with highly expe-
provide reliable and affordable power supply that installed costs are higher than those of rienced partners and hard-won construction
produces emissions that affect air quality other technologies. He comments that, despite methodologies to help minimise the cost.
and are a major health concern. Gass dis- higher lead times and costs, the total life cycle He notes that he is hopeful that the recent
patch ability is not suited for pure baseload cost of electricity from a NPP is still one of downgrades are not a medium- to long-term
and, the volatility in fuel costs, although cur- the most affordable forms of electricity. feature, and expects that financing will be
rently low, could have an enormous impact When considering the all-inclusive total managed in the competitive procurement
Focus on future uranium

Materials: tech amid subdued price
Ferrous Non-Ferrous,
Composites, Plastics etc. WITH innovations in the extraction and appli- the Southern African Institute of Mining and
cation of uranium constantly being made, Metallurgy (SAIMM).
Tolerances:
the Uranium 2017 International Conference Considerations of how new technologies
Dimensional tolerances
will provide a platform for the discussion can assist with sustainable uranium extrac-
0,15mm-0,3mm
of advances in the industry and a forum for tion, lower energy costs and the reduced envi-
generating new ideas. ronmental impact of uranium mining will be
Benefits: Uranium as a material, and its applica- at the fore, says SAIMM.
Taper Free cutting
tions, are often controversial. Yet, nuclear SAIMM is hosting the conference in col-
No heat affected zones
No Distortion reactors are still being built, despite the laboration with the Canadian Institute of
Accommodate up to 4m x2m growth in energy generation through renew- Mining, Metallurgy and Petroleum, the
plate sizes able sources and despite highly publicised Namibian Uranium Institute and the Namibia
High Accuracy nuclear accidents. University of Science and Technology, from
Quick turn around times Several countries are pursuing uranium September 11 to 15 at the Swakopmund Hotel,
Free De-burring enrichment programmes. Although prices in Swakopmund, Namibia.
Free packaging are subdued, it is highly likely that there The event, themed Extraction and appli-
Free Drawing
will be continued and sustained demand for cations of uranium present and future, will
AQUAJET PROFILES... DOES IT NOW!!! uranium for the forseeable future, explains bring together internationally and locally
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www.aquajetprofiles.co.za ments in uranium mining, applications of

NUCLEAR ENERGY
process by each of the vendor countries. the transfer of knowledge and technology that can be covered in benchmarking South
South Africa has a well-established, func- where applicable. Considering South Africa Africas industry against internationally
tional nuclear industry capable of launching is a world-class industrial nation, this pro- benchmarked local nuclear regulatory stan-
a build programme in partnership with an cess will be tough and protracted but is no dards and requirements. This will be a
international nuclear vendor country, Muller doubt achievable. significant step forward toward being con-
says, adding that the local industries that He does advise that there is a huge gap sidered by the selected NPP vendor and its
formed around the coal builds could also be between the present industrial quality and technology partners.
aligned to manufacturing and construction safety cultures that are necessary in the He states that a few South African compa-
opportunities on a nuclear build when ade- nuclear industry, which would need to encom- nies have already achieved these standards
quately prepared. pass the full supply chain including artisan and have been implementing them on the
Muller reminds South African that a training, service providers and tertiary edu- Koeberg NPP and Necsas Research Reactor
nuclear build would be more a management cation institutions and would require time with success.
challenge than a technical challenge for our to be invested. Muller affirms that the anticipated nuclear
industries, in what, in terms of scope and A number of our universities are already build programme has been strategically and
quantum of job and career opportunities delivering excellent results in postgraduate methodically progressed under the auspices
across the supply chain, will also set a pre- education in nuclear sciences and engineer- of the IAEA, which conducted an Integrated
cedent for the rest of Africa. ing for peaceful applications, like energy Nuclear Infrastructure Review a 19 point
Moreover, he mentions that the emphasis on and nuclear medicine, where we are a global checklist which includes sections on licens-
regional localisation, where possible, opens player. ing, safeguards, funding and industrialisation
up opportunities to all who have a product or Further, he highlights that, while a nuclear of South Africas readiness to implement a
service to contribute to NPP licensing, pro- qualification and accreditation framework nuclear build programme.
curement, engineering, construction, com- exist, it will need to be scaled up to accommo- South Africa has the essential regulatory
missioning, operations and maintenance, date the demand from industry when State- structures, implementation authorities and
which includes fuel and waste management owned power utility Eskom and State-owned international support to initiate and mobilise
and eventual decommissioning. nuclear company South African Nuclear a viable nuclear build programme. This will
Muller adds that all the vendors competing Energy Corporation (Necsa) start their build all come together and materialise into an
for the nuclear new build, together with local programme. orchestrated industrial roll-out plan when the
industry stakeholders and the International Muller notes that, although the exact codes vendor country has been selected and aligned
Atomic Energy Agency (IAEA), are equipped and standards for the build will only mate- to the overarching objectives of the build pro-
to manage the roll-out of a nuclear indus- rialise once the vendor country has been gramme, Muller concludes.
trialisation programme, which will include identified, there is a lot of valuable ground ENGINEERING NEWS COUPON ON PAGE 82 E450611
uranium, safety and post-operations closure and radiopharmacy, and uranium process-
and remediation issues. ing plant design will also be offered, and
Namibia is currently ranked the fifth- are Engineering Council of South Africa
largest producer of uranium in the world accredited for continuing professional deve-
and is set to become the second-largest lopment points.
producer when uranium producer Swakop In addition, technical visits to key sites
Uraniums Husab mine, based 12km north- have been planned. Global Nuclear
west of the Husab mountain, in Namibias This will include the Husab uranium pro- Expertise
Erongo region, becomes fully operational ject, which will become the second-largest Supply Chain Management,
later this year, making it a fitting location uranium mine in the world on completion Inspection, Code Consulting,
Vendor Qualification,
for the conference. of commissioning, producing 7000t/y of Supervision, Quality Control
Namibia is poised to become a major triuranium octoxide; British-Australian and Quality Assurance
uranium hub and the development of the multinational Rio Tintos Rssing uranium
Husab mine will undoubtedly see the ura- mine, the longest running uranium mine in
nium industry playing a more significant the world and the third-largest opencast mine;
role in the national and regional economies. uranium producer Paladin Energys Langer
The conference will feature a programme Heinrich mine; exploration and development
of presentations, short courses and techni- company Bannerman Resources demon-
cal visits. stration plant; and a viewing of the geology
Papers are welcome on topics such as of the Alaskite mineralisation in the lower
uranium mining, mineral and metallurgi- Swakop river.
cal processing, process control and optimi- Swakopmund is the centre of uranium
sation, refining and value-added products, extraction in the country, with most of
fuel cycle, nuclear/radioactive waste and site Namibias uranium mines located in the
reme diation, medical applications, safety, Namib desert, within easy driving distance
health and environmental issues, corpo- of the town.

rate social responsibility and legislative and Post-conference visits to local operations
policy issues. are planned.
Two short courses on nuclear medicine ENGINEERING NEWS COUPON ON PAGE 82 E447161 TV SD South Africa Pro-Tec (Pty) Ltd
Tel: +27 13 244 1330 Website: www.tuv-sud.co.za

OPINION&ANALYSIS
TECH TRACK fumes. Thus, there
could be a number
Hats off to Noakes

of factors involved
i n why a g r a p h
m ay show t hat
hamburger eaters
for standing up
tend to have more
heart attacks. So,
putting an extra
tax on hamburgers
for scientific truth

would not alter the
Kelvin Kemm outcome.
S i m i l a r l y, I
believe that a sugar tax will make little dif-
P
ference to any obesity issue. It might even
rofessor Tim Noakes has won his analyses are done. kill some people who have extremely little to
confrontation with the professional Sadly, in medicine, one finds some of the eat and whose bodies rely on the little sugar
medical body over his stance that a most inaccurate scientific findings presented that they consume for survival.
long projected option concerning the best as fact. Medics are often not very good at The third thing that Noakes showed was
ratio for fats and carbohydrates in a persons mathematical-type analysis. One of the most that well-meaning political decisions in the
diet is not correct. prevalent errors is that correlations are pre- US designed to feed the poor had the unin-
This whole Banting diet issue has been sented as causality. tended consequence of changing the eating
very much in the news for a while now. Some What this means is that just because two patterns of the whole population.
time ago, the Association for Dietetics in graphs look the same does not mean that Such well-intended moves quite often
South Africa (Adsa) laid a formal complaint they have any linkage. A friend of mine in have unintended bad consequences. For
against Noakes at the Health Professions the US recently sent me a set of correlation example, in a past US administration of
Council of South Africa. Adsa accused graphs that are intended to be silly to make some 40 years ago, the President pushed
Noakes of unprofessional conduct after this point. For example, there are graphs of subsidies into food production because it
he had apparently suggested on Twitter the number of lemons exported from the US, had been reported that many Americans
that a mother wean her baby onto a low- compared with the number of car accidents were going to bed hungry. Think about it:
carbohydrate, high-fat diet. in Texas, and the graphs seem to match. What is the easiest way to take advantage
Let me hasten to point out that I am not Lemon exports do not influence car accidents of a food subsidy? Do you produce more
a medic, so I am not claiming any profes- in Texas. Many medical results presented as cows for beef and milk, or more grains
sional medical knowledge. Also, let me fact suffer from the same fault. for more breads and cereals? You cannot
point out that I am not on any diet myself, Many analyses that one sees in news- easily make cows produce more cows, so the
so I do not have a particular personal inter- papers and on TV discussions suffer from bread and cereals win hands down. So, the
est in the issue. the same fault. A famous one is the appar- US diet swung in favour of the breads and
However, I did sit through an hour-long ent correlation between ozone quantity and multiple other carbohydrates.
presentation given by Noakes some years ago, CFC gases in the Antarctic. Just because the Overall, Noakes has shown the courage to
and I did speak to him briefly afterwards, as graphs look as if they are linked does not stand up for scientific truth. I wonder how
he was hastily getting ready to dash to the mean that they are linked. many of the dieticians who attacked Noakes
airport. So, I could not discuss things for as One finds that issues such as the heart have actually done real scientific research
long as I would have liked. attack incidence is plotted against the into this issue or if many of them are show-
What I can say is that I was impressed by consumption of certain foods, and so on, ing a solidarity vote? If so, that is honour-
his presentation. I am a qualified scientist and and then, just because the graphs look the able to their buddies, but it is not science.
investigator, so I watched the presentation same in shape, people assume that, somehow, So, over the years, Noakes has shown that
very critically. I rapidly came out on his side. they are linked. Noakes correctly pointed out he has the courage to say that he has been
Three things particularly struck me that they are not. wrong in the past. He has the scientific integ-
with the presentation. Firstly, he already He showed cases of clearly inaccurate rity to go public and to explain the truth.
had an impressive professional reputa- medical conclusions concerning the carbo- I am glad that the professional finding
tion, so the easiest thing for him would hydrates and fats issue in diets. went in his favour, but one wonders if this
have been to keep going with the flow Let me make one up. If the shape of a is the end of the professional fight in public.
and he would have maintained his image. graph appears to show that people who eat Behind the scenes, the professionals
But he did not. He said: I have been giv- a lot of hamburgers die of heart attacks, should continue to have aggressive debate
ing wrong advice for years and now I am this does not mean that the hamburgers on the topic.
changing my position. That takes guts. cause the heart attacks. It could be that the
So, I figured that a fellow as sensible as people do something else that leads to the
he is must be rather sure to make such a heart attacks, but they also then go and eat
dramatic public about-face. a lot of burgers. For example, hamburger
Dr Kemm is a nuclear physicist and is CEO of Nuclear
The second point was that he showed eaters may also drink a lot of beer and may Africa (Pty) Ltd as well as chairperson of the South African
quite a few graphs and sets of data about not exercise much. Nuclear Energy Corporation. He sits on the board of
heart attacks and suchlike around the world. They may tend to largely live in small advisers of the Committee for a Constructive Tomorrow,
based in Washington DC. He is also a board member of
That I am qualified to judge, because I know inner-city flats, where there is little space GoNuclear Inc and EFN: USA, both based in Colorado,
the science and maths behind how such for exercise and the air is laden with exhaust US exec@nuclearafrica.co.za

OPINION&ANALYSIS
ELECTRICALLY SPEAKING Merc e des-Ben z
does not seem to
More about electric cars

be able to work out
is the seven-hour
charge restriction
I
as a result of the
n a previous instalment of this column, 60 minutes, you are going to have to take limitations of the
I wrote about Mercedes-Benz going to about 100 kWh from your house supply municipal power
produce an electric car. (more than the 33.7 kW you used since the supply to a domes-
By this I mean the automaker is going battery is not very efficient). tic residence.
to produce a car for sale to the public that This is never going to work since the But then again,
will be 100% electrical in drive it will not supply to the house is not more than 13 kW, Terry Mackenzie-Hoy if electric cars get
be a hybrid car with a generator that switches so you have to change the charging time to to be very popular,
on when needed to support the electric about seven hours. This is doable, if some- perhaps they will be charged while people
motor and battery system. The car (now what limiting if you want to pop down to are at work at special charging stations.
available in the US) is a B-model Mercedes- the pub, you will have to use the bakkie. This sounds desirable but really is not
Benz and has a lithium-ion battery and a However, while the power supply to the going to pan out because there is going
132 kW motor. It sells for $40 000. house is capable of supplying 13 kW, a group to be even more congestion in the cities
In an Internet post, the company says of houses fed from one mini substation than at present. What is possible is for there
the car does 85 miles to the gallon (elec- has an average consumption (called the to be battery-change stations where you
tr ic). T h is is abbreviated as M PGe. I after-diversity demand) of about 4 kW for pull up and they take the battery out and
quote f rom Wi k ip e d ia: T he M P G e each house. Thus, if several houses are each give you another one. This does not seem
metric was introduced in November 2010 trying to draw 13 kW to charge electric cars, very likely, as it will require all electric
by the EPA (Environmental Protection then the supply at the miniature substation manufacturers to have the same sort of
Agency) . . . the ratings are based on the to the group of houses will trip. battery, which, if we go by cellphones, is
EPAs formula, in which 33.7 kWh (121 Getting back to that 132 kW motor . . . not going to happen.
megajoules) of electricity is equivalent to really that size? To use 33.7 kWh in 2.5 hours, But, quite probably, it will be just simple
one gallon of [petrol]. the motor will only be running at an aver- get home, plug the car in, crack open a
So, we can assume that the vehicle does age of one-tenth of the rated power. Thus, beer and watch television. Perhaps some
85 miles/137 km for every 33.7 kWh con- you cruise at 60 km/h on not much power. sort of local area system will communicate
sumed. Let us say youre driving around What this means is that, when you pull up with all electric cars charging such that the
town, at an average speed of 60 km/h. After at the traffic lights and the home boy racer miniature substation is not overloaded.
2.3 hours, you have used 33.7 kWh. next to you gives it the beans, you can take The whole area is a topic in which I have
So, we can more or less say that on the off in a cloud of molten rubber, silently, much interest. I drove an Alan Cocconi
average commute of 2.5 hours you are leaving your man dazed and confused. electric car in 1993. I have been waiting for
going to go home having used 33.7 kWh. As one would expect from Mercedes- a long time for this.
And now you plug the car in. If we assume Benz, it seems that the company worked Mackenzie-Hoy is a consulting acoustics and electrical
that the lithium-ion battery charges up in all the numbers. What is not worked out or engineer machoy@iafrica.com
PRIVATE EQUITY The report highlights that, from 2010 to ing for 70% of deal value from 2010 to
Growth Engine
2016, general partners (GPs) raised around 2016.
$2.7-billion a year to invest in Africa-based GPs that are successful in the region
companies. Last year, while Africas GDP have a competence for helping investees,
Dynamite GDP growth grew at a sluggish 1.4%, GPs raised about par ticularly family-owned and closely
$2.3-billion, compared with the $2-billion held businesses, to upscale and corpora-
comes in small private-equity raised in 2014, when economic growth was tise, says ECN Africa director Herman
investment packages significantly higher and the commodity Warren.
cycle peaked. The report notes that this differs from
DAVID OLIVEIRA Deals above $250-million accounted the approach GPs tend to take in other
CREAMER MEDIA SENIOR STAFF WRITER for just under half of all funds invested, regions of t he world where t here may
EVERY 0.01% increase in private equity amounting to $12.5-billion from 2010 to be f ina ncia l engineer ing objectives
(PE) investment penetration into Africas 2016. T he aver age si z e of dea ls con- that can involve loading an investment
gross domestic product (GDP) would inject cluded by GPs during the period was about with debt, embarking on a cost-cutting
an incremental $1.1-billion investment over $40-million, highlighting the key role GPs exercise and exiting an investment as soon
the next five years, providing a critical source play in Africas commercial ecosystem, as possible.
of growth capital to Africas commercial particularly in assisting relatively small However, the report found that GPs in
sector. businesses to grow. Africa tend to use relatively little debt to
This is according to a report by economic The report also found that investment by fund transactions, with the general objective
advisory services provider The Economist GPs was focused on sectors serving Africas in structuring Africa-based deals focusing
Corporate Network (ECN). The report, A growing consumer class. From 2011 to 2016, on equity capital raising, which is primarily
growth engine: Trends and outcomes of about half of all investments were made into used to expand an investees footprint, and
private equity in Africa, notes that, last year, consumer-serving sectors. invest in human capital and other resources,
PE investment was equivalent to 0.18% of West, Southern and multiregion African as well as to improve strategy and governance,
Africas GDP. deals dominated GPs investments, account- to grow the enterprise.

PEOPLEINCAMERA An exciting racing day at Kyalami
saw Gennaro Bonafede convert his
front row grid position into a
2.5 second victory in the first of two
Sasol GTC races at the Midrand
circuit. Bonafede raced a fast lap-
qualifying session but missed
pole position by seven-tenths of a
second. The team made some set-
up changes to Bonafedes car ahead
of the first race, which helped him
hang onto the coat-tails of Michael
Stephens Audi in the opening laps of About 72 university students in the transport, engineering
the race and built environment fields received the MasakhiSizwe Bursary
Awards in Cape Town. Western Cape Minister of Transport and
Public Works Donald Grant (centre) thanked all the parents and
guardians in attendance for showing their support for the new
bursars. I hope you will all continue to do so as these bursars
continue on what will undoubtedly be a challenging journey
towards attaining their academic qualifications
PEOPLE
Chief Justice development of the Opuwo Cobalt
M o g o e n g Project.
Mogoeng has Borg is a highly respected consult-
been elected ant geologist who has specialised
president of the in the battery materials sector,
Conference of including lithium, graphite and
C o nst itut i o nal cobalt mineralisation, and partici-
Jurisdictions of pated in numerous successful
Mogoeng Africa, a posi- projects in an investment and/or
Mogoeng tion which gives operational capacity.
South Africans He has played a key role in the
even more cause to be apprecia- the Opuwo Cobalt Project and the
tive of their democratic freedom. exploration conducted by Celsius
Mogoengs election on April 27 in to date.
Cape Town is a significant rec- Borg has 20 years experience,
ognition of the Constitution and having worked in management,
the Constitutional Courts role operational and project develop-
in strengthening the countrys ment roles in the exploration and
democracy and its system of mining industries with mining com-
Ninzi-Connect was selected by US company Aspect to host its VP, checks and balances, and in safe- panies including Rio Tinto Iron
Joe Gagnon (centre), on his extraordinary global challenge to run six guarding the fundamental rights Ore, Magnis Resources, IronClad
individual marathons on six continents on six consecutive days. It was of citizens. Mining, Lithex Resources and
his third marathon in three days, on three continents. He started his The presiding officers (Speaker Sibelco Australia.
journey on April 10 in Sydney, Australia; from there, he travelled to of the National Assembly and He is a director of geological con-
Singapore and landed in South Africa in the early hours of the April 12 Chairperson of the National sultancy Borg Geoscience and of
Council of Provinces) took the a new energy minerals marketing
oppor tunit y to c ongratulate firm, Minemark.
Mogoeng on his election. I would also like to welcome Borg
Par liament s sp okesper son to the board and congratulate him
points out that it is noteworthy on his appointment.
that this significant recognition He is already a key part of the
takes place during the year in team that has enabled drilling to
which Parliament is commemo- commence so rapidly following the
rating and reflecting on the 20 acquisition of the project.
years since the signing into law We believe he is the ideal person
of the Constitution, its mean- to unlock value from the Opuwo
ing and impact on the lives of Cobalt Project for our sharehold-
ordinary South Africans. ers, says Celsius Resources
chairperson Bill Oliver.
Australian com- Borg says he is excited to have
p a ny C e l s i u s the opportunity to drive the com-
Resources panys plans to rapidly evalu-
i s p l e as e d to ate and potentially develop the
announce that Opuwo Cobalt Project in an
In honour of the Sun Duke of Edinburgh Cup, Tsogo Sun will Brendan Borg environment of sustained global
be sponsoring the installation of a fully fledged Early Childhood has been demand for cobalt and other
Development centre container an Edutainer at Diepsloot Primary appointed MD battery-related minerals that
School 4 at a cost of R471 000. Pictured are Diepsloot Primary School 4 of the company are key to the uptake of new
principal Joe Makhafola, Tsogo Sun HR director Vusi Dlamini and Tsogo Brendan Borg to fast-track the energy technologies.
Sun GM Priya Naidoo with two learners

OPINION&ANALYSIS
TRADE@WORK Committee
published its first
Wealth taxation
and second estate
duty reports on
its website on
July 13, 2015, and
in the spotlight
August 24, 2016.)
Want to venture
a guess about the
extent of the
H
revenue that is
ave you read it yet? All 700 it is 30% to 35%. Even in Brazil, long Riaan de Lange collected through
pages, that is. Well, if you have regarded as one of the most unequal wealth taxation?
not, acquire a copy. The book countries in the world, the income share According to the media release, the answer
in question was an Amazon number of the top 10% is 55% to 60%, and the is about 1% of tax revenue. If you are
one bestseller and also sold out in percentage is falling. Piketty said South knowledgeable about taxation, you might
major bookstores on its release. It Africa is really at the top of the class, question the absence of capital gains tax
was all the range on its release on so to speak. (CGT). Although CGT is generally
March 18, 2014. According to the Davis Tax Committee, considered a form of wealth tax, the
No, it is not one of the instalments the distribution of wealth in South Africa Davis Tax Committee has taken the
of the Harry Potter series, and neither is highly unequal, with recent empirical view that it is a form of income tax.
is it a book of fiction; well, some might evidence suggesting that the Gini coeffi- The Davis Tax Committee was
argue that its conclusions are. It is, in cient for wealth is about 0.95 (compared specifically requested by Gordhan to
fact, a book about economic inequality with the Gini coefficient for income of inquire whether it would be appropriate
written by a then little-known French 0.67). The committee also contends that to introduce additional forms of
economist, and has been described as it is well established that economic wealth taxation and the feasibility
being dense with data and historical inequality inhibits economic growth of doing so.
examples from France, including a few and undermines social, economic and As a consequence, the Davis Tax
literary references to Jane Austen. The political stability. Committee is inviting submissions by
economist in question is Thomas Piketty Now, the Davis Tax Committee May 31 on the desirability and feasibility
and the book is titled Capital in the established by former Finance Minister of the following possible forms of wealth
Twenty-First Century. Pravin Gordhan in 2013 to inquire tax: a land tax, a national tax on the
According to an opinion piece by into the role of the tax system in the value of property (over and above
Tim Worstall, Piketty intended his promotion of inclusive economic growth, municipal rates) and an annual wealth
voluminous book to tell us two things: employment creation, development and tax. Based on the written submissions
firstly, that the concentration of wealth fiscal sustainability has called for received, this will be followed by a
is going to become greater, thereby written submissions on possible wealth workshop for oral submissions during
increasing inequality, and, secondly, taxes for South Africa. So, does South June.
that something needs to be done about Africa not already impose any wealth The obvious question is: Who is
this. taxes? considered to be a wealthy person in
Worstall, however, remains uncon- Well, in its analysis and research, South Africa? I have written about
vinced by either of the arguments. Quite the Davis Tax Committee needs to that in a previous column.
tellingly, billionaire Bill Gates yes, take recent domestic and international Worstalls take on this subject might
he of Microsoft told Piketty on CNBC: developments into account, particularly well provide you with food for thought:
I love your book. I care a lot about the long-term objectives of the National Our problem is that a wealth tax can
inequality but I dont want to pay more Development Plan (NDP). either be set at a rate at which it can be
taxes. Gates, who is renowned for The committee should also take into paid out of income, in which case its
giving a large part of his wealth to account broad tax policy objectives not actually going to reduce wealth
charity, favours a progressive tax on (revenue raising to fund government disparity, or it will be set at a rate at
high consumption instead of net wealth. expenditure is the primary objective which rich people must liquidate their
The fame that the book brought of taxation) and social objectives, portfolios to pay it, and if all rich people
Piketty meant that he could travel the like building a cohesive and inclusive have to do that, then who in heck can
world, and he did a number of whistle- society, which can be partially met they sell to?
stops visits, including to South Africa, through a progressive tax system and Personally, I question how a delibera-
during which he brought the message the redistribution of resources. tion on wealth tax can even seriously
of the imposition of a wealth tax. So, do you have the answer to the be contemplated in the absence of real
In fact, he visited South Africa in question relating to South Africa and political change, for, in the absence of
October 2015. wealth taxes? According to the Davis political change, a wealth tax will not
During his visit, Piketty reminded Tax Committees media release of alter economic growth or have an impact
his audience that South Africa is the April 25, South Africa currently on the overall tax burden.
most unequal country in the world. imposes three forms of wealth taxation,
The top 10% earn 60% to 65% of the namely estate duty, transfer duty and
This economic and trade-focused column is prepared by
income. In the US, by comparison, donations tax. Riaan de Lange riaan@tariffandtrade.co.za. The views
their share is 40% to 50% and in Europe (If you are interested, the Davis Tax expressed in this column are the authors personal views

NEWS&INSIGHT
SKILLS DEVELOPMENT They will also work with the firms
First Cohort
disputes, corporate and finance practices,
alongside partners and associates across
the firms international network, giving
them exposure to global clients.
Global law firm set to extend learnership programme to Joburg Jackson noted that the company chose
South Africa to launch the programme, as
MEGAN VAN WYNGAARDT | CREAMER MEDIA SENIOR CONTRIBUTING EDITOR ONLINE it has a solid talent pool from which to
G
recruit and very good law schools.
lobal law firm Herbert Smith through a structured programme. Theres clear demand for this type of
Freehills (HSF) is set to extend We are looking for technically learnership programme for legal graduates
its innovative Alternative Legal excellent legal graduates who have the in South Africa. When we engaged with
Services (ALT) business to Johannesburg. capacity to work effectively as part of a young legal graduates [here] recently, it was
The business will combine a mix of team and to learn quickly as part of our clear that they would relish the opportunity
legal expertise, process efficiency and innovative and fast-growing global ALT to develop their legal and commercial skills
technology to handle high-volume or team, she said. through participation in our ILLP and
document-intensive work more efficiently HSF is seeking applications from that, in tandem, HSF would be helping to
and cost effectively for clients, and will be graduates with a strong academic record, address the ongoing challenge of high youth
housed at the firms existing Johannesburg who are committed to investing in legal unemployment rates in South Africa, she
office. and business skills training. highlighted.
The new team will initially be staffed Successful candidates will have Looking ahead, HSF is planning a further
by about five lawyers and 20 legal analysts, excellent attention to detail, the ability to intake in 2018. The size of our second
who will form the first cohort of the review, analyse and organise documentary intake will be determined partly by the way
firms new international legal learnership and factual evidence, along with an aptitude in which our global ALT business evolves
programme (ILLP), which will launch for learning and becoming proficient in over the next year, including the service
alongside the opening of the Johannesburg the use of leading-edge software and offerings our clients are seeking from our
ALT business. information technology applications to ALT team, and also the way in which we
Speaking to Engineering News, HSF intelligently navigate large databases might refine the programme. HSF believes
partner and ALT global head Libby and document management systems, graduates will complete the programme
Jackson said the company was very Jackson explained. with a deeper understanding of legal
excited about recruiting team members Participants in the ILLP will develop processes and a stronger curriculum vitae,
for its first 18-month ILLP, which will offer client and commercial skills, increase their thereby increasing their chances of securing
up to 20 legal graduates the opportunity technical capability and improve their a candidate attorney position, or other roles
for employment and work experience personal leadership qualities. in the legal sector, in the future.
ECONOMY are increasingly looking to PORTS objectives and improve opera-

AfDB welcomes domestic capital markets to
source much-needed financing
TNPA appoints tional efficiencies.
Meanwhile, former Mossel
Zambia, Ghana for economic development.
We expect to include more
new port managers Bay port manager Tandi
Lebakeng has been transferred
to bond index countries to [the ABI] as soon
as reliable pricing information
MEGAN VAN WYNGAARDT
CREAMER MEDIA SENIOR
to the Port of Ngqura to succeed
Dweba. Lebakeng has been
is made available, said AfDB CONTRIBUTING EDITOR ONLINE with Transnet for more than
MEGAN VAN WYNGAARDT
CREAMER MEDIA SENIOR financial sector development TRANSNET National 20 years and her experience
CONTRIBUTING EDITOR ONLINE director Stefan Nalletamby. Ports Authority (TNPA) spans trade and logistics,
THE African Development The ABI is managed in has appointed the Port of business strategy and planning
Bank (AfDB) has added collaboration with the African Cape Towns first female and development.
Zambia and Ghana to its Financial Markets Initiative, port manager, Mpumi Dweba, While these changes
African Bond Index (ABI), which works to deepen the who most recently served as temporarily leave the ports
expanding the index to the continents local currency port manager at the Port of of East London and Mossel
eight most liquid sovereign bond markets, while creating Ngqura. Bay with vacant port manager
bond markets in Africa. an environment where African She succeeds Sipho Nzuza, positions, the roles will be
The ABI provides investors countries can access financing who recently resigned to take filled in an acting capacity
with a tool with which to mea- at variable terms. up the role of eThekwini by port engineer, Alvin
sure and track the performance Meanwhile, in December, municipality city manager. Singama, in East London,
of Africas bond markets. the AfDB approved the TNPA has also appointed and senior operations manager
The composite index now creation of the first African Captain Vernal Jones as Shadrack Tshikalange, in
comprises the local currency multijurisdictional fixed-income the Saldanha port manager, Mossel Bay.
sovereign indices of South enhanced exchange-traded fund succeeding Willem Roux, The company also appointed
Africa, Egypt, Nigeria, Kenya, the African Domestic Bond who resigned earlier this year. Jacqueline Brown, the
Botswana and Namibia, with Fund (ADBF) which will TNPA noted that the former East London port
Ghana and Zambia joining this track the performance of the appointments would assist manager, as executive manager
month. ABI. The ADBF is expected to in sharpening its focus on for capacity development and
More African countries be launched in September. the delivery of its strategic enablement.

NEWS&INSIGHT
MARITIME SERVICES commitment by the national government to
Bunkering Hub
allocate 1000 MW of gas-to-power genera-
tion at the Coega Industrial Development Zone
(IDZ) was warmly welcomed.
The Department of Economic
Eastern Cape sets sights on becoming Africas leading fuel Development, Environmental Affairs and
Tourism (DEDEAT), in partnership with
bunkering centre Nelson Mandela University, is in the advanced
stages of baseline studies on the shale gas
MIA BREYTENBACH | CREAMER MEDIA STAFF WRITER potential in the Karoo and other parts of the
F
province, he said.
ollowing the successful introduction growth from serving ten ships in May Meanwhile, the DEDEAT has completed a
of a deep-sea bunkering service off the 2016 to 103 ships a month from January 2017, detailed business case for gas-to-power gener-
coast of Port Elizabeth, in the Eastern Eastern Cape Premier Phumulo Masualle ation at the Coega IDZ. Governments expec-
Cape, the province has set itself the target of noted when he delivered his State of the tations include a floating system for liquid
becoming the leading bunkering stopover in Province address in Bhisho in February. natural gas (LNG) transfer, allocation of the
Africa, states Eastern Cape MEC for Rural Qoboshiyane highlighted that these ser- 1 000 MW plant and 35% local beneficiation
Development and Agrarian Reform Mlibo vices were also beginning to open other eco- from the R25-billion investments, as well as
Qoboshiyane. nomic opportunities in the entire value chain. the opening of opportunities for smaller indus-
The province is targeting liquid fuels, The Ngqura port is always hosting three try players, Qoboshiyane pointed out.
including bunkering services and biofuels, oil rigs at any given moment, thereby confirm- He suggested that these initiatives placed
gas-to-power generation, the development of ing it as the most strategic location for oil rigs the Coega IDZ and the Ngqura port in a bet-
commercial and industrial gas and [an] oil repair, he said. ter position for an LNG industry and gas-to-
rigs service industry. Our vision . . . is to T he South A fr ica n Ma r itime Sa fety power generation.
become the biggest bunkering service centre Authority is conducting a study to assess In addition to the proposed pipeline from
on the continent, Qoboshiyane noted at the the economic contribution and employment Ngqura to Mossgas, the Department of
South African Maritime Industry Conference opportunities created by the offshore bun- Economic Affairs is also exploring the estab-
(SAMIC 2017), hosted in Port Elizabeth last kering industry in the Nelson Mandela Bay lishment of a pipeline to the East London
month. metropolitan municipality. It will also map port for LNG to supply the industry around
He added that the province was pleased out industry value chain activities that provide the Buffalo City Metro and the Wild Coast
with the progress made in the first offshore potential for beneficiation by the local industry. Special Economic Zone. The gas-to-power
bunkering services that started in May 2016, There are also plans for a gas pipeline link- generation industry is gearing up to create
stressing that it had also proved beyond rea- ing a new terminal in the Port of Ngqura to 8 500 jobs during construction as well as
sonable doubt that Nelson Mandela Bay was State-owned gas-to-fuels company PetroSAs 300 permanent jobs, with more jobs expected
one of the most suitable locations for off- Mossgas refinery, in Mossel Bay, in the to be generated from downstream industries,
shore bunkering services. Western Cape. Qoboshiyane concluded.
The service has recorded phenomenal Qobosh iya ne f u r t her noted t hat t he ENGINEERING NEWS COUPON ON PAGE 82 E450900
CONTACT CENTRES tre and determine the flow of work and sales. Typically, AI systems help contact centres
AI systems seen as key The higher speeds of analysing the work-
ings of a contact centre will allow for better
to generate more revenue or to save money.
While the development of AI chatbots auto-
to managing contact and more immediate management to reduce
inefficiencies and tackle challenges.
mated contact centre agents that can handle
basic queries are still in the early stages, the
centre as volumes rise While contact centre employees are
often expected to offer sympathy and cour-
main use of AI will be to empower customer
engagement agents and customer experience
SCHALK BURGER teously handle difficult clients, the main management agents.
CREAMER MEDIA purpose of any call centre is to effectively Hi.guru does not see AI as a threat to
SENIOR CONTRIBUTING EDITOR resolve queries and complaints as quickly as contact centres. Conversely, it foresees a
USING artificial intelligence (AI) systems will possible. growing need for better and faster contact
be necessary to effectively manage the volumes Therefore, AI systems that improve this centres and customer engagement to support
of simultaneous customer interactions over such as AI systems that gather information increasingly digital businesses and business
multiple contact channels in digital economies, during client conversations across multiple models.
says instant messaging customer interaction channels, including during a voice call, and fill AI systems will help companies to improve
software developer Hi.guru strategic business out forms or trigger relevant processes using customer experiences, which are key to cus-
development consultant Nicholas OConnor. the information provided by the client boost tomer attraction and retention in digital busi-
AI systems that function as agent-assistance the efficiency of contact centres. ness models.
systems or analytics engines are helping con- However, AI systems are not homogeneous They will be increasingly crucial to unify
tact centres to more effectively meet client or broadly applicable and are used to perform digital business processes, customer self-help
needs and resolve queries faster. many different specific and niche functions. services and companies employees.
The evolution and broader use of such sys- Therefore, it is important to consider the OConnor advises companies investigating
tems will continue to improve customer expe- different scenarios in which AI can assist AI systems to apply them selectively to address
rience, he adds. contact centre agents, optimise the customer specific problems in their contact centres and
AI systems are used in contact centres to engagement environment and make the in their customer engagement processes.
support the productivity of the contact cen- processes more efficient, says oConnor. ENGINEERING NEWS COUPON ON PAGE 82 E451015

WHATSON For more information visit www.engineeringnews.co.za/whatson
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& SERVICES POWER Africa Food and Drinks Expo 2017,
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Dar Construction Trade Expo 2017, International Machinery & Equipment Expo,
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www.construction.mikonoexpogroup.com.
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NEWS&INSIGHT
From page 19
Another hybrid form of storage that
could be used in future at the EAC is the
use of surplus for powering an existing fleet
of ten electric vehicles (EVs), including
BMWs i3 and Nissans Leaf. EVs on
campus are powered through numerous
charging points. He says that, in addition
to storage in battery-based devices
classified as power-to-power storage the
EAC is also pursuing power-to-gas storage,
currently a global megatrend. This will
entail the EAC installing an electrolyser,
which will use surplus electricity to
produce gases and fuels. The EAC plans
to use an electrolyser to produce hydrogen,

which is planned for use in a future fleet
of hydrogen fuel cell cars.
Simelane says the electrolyser concept
can be taken a step further, as the hydrogen SURPLUS STORAGE
gas generated can be put through a reactor Sengiphile Simelane with one of the CSIRs BMW i3s powered by surplus energy from the solar
to produce other fuels, such as methanol. photovoltaic plant on campus
We are looking at the best electrolyser
that we can deploy. It will be a small one demand-shaping protocols. Demand-side available as well as smoothing out peak
as a pilot project, he says. management is envisaged to regulate consumption periods, Simelane says.
equipment and processes that consume An energy audit is being conducted
Overall Efficiency Drive large volumes of power on campus, throughout the CSIR Pretoria campus
A further initiative which forms a key while demand shaping is critical to to assist the institution in understanding
aspect of reducing the carbon footprint managing peak demand. This will where savings can be made and how to
of the CSIR Pretoria campus is an manage equipment that uses a lot of adjust processes to reduce spikes in
overall reduction in energy consumption energy to fall in line with periods when consumption during peak times.
using demand-side management and electricity is cheaper or more readily ENGINEERING NEWS COUPON ON PAGE 82 E450370
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DATE OF EDITION 12/05/2017
The magazine that brings results

NEWS&INSIGHT
CYBERSECURITY
Network Threat
STORY HIGHLIGHTS
Fileless in-memory malware targeting ATMs has
been detected in 40 countries in the Middle East,
Africa and Turkey.
The malware can only be detected in RAM, and
Banks warned of ATMs being infected remotely by malware network and registry logs.
becoming critical to the analysis of malware

SCHALK BURGER | CREAMER MEDIA SENIOR CONTRIBUTING EDITOR
and its functions, says Kaspersky Lab principal
C
security researcher Sergey Golovanov.
ybersecurity multinational Kaspersky As this case proves, a carefully directed
Lab has cautioned banks in the Middle incident response can help to solve even well
East, Africa and Turkey to check prepared cybercrime, he highlights.
random access memory (RAM), network and We advise organisations to check their
registry logs to determine whether the fileless systems, keeping in mind that detection of
ATMitch malware is present. such an attack is possible only in RAM,
The ATMitch uses in-memory malware their network and registry logs. In such
to infect banking networks. This malware is instances, the use of Yara rules based on a
remotely installed and executed on an ATM scan of malicious files are of limited use and
from within the target bank through remote comprehensive security software is advised
administration tools of ATM machines, says to prevent such attacks, emphasises Hasbini.
Kaspersky Lab senior security researcher Kaspersky Lab has registered attacks in
Amin Hasbini. more than 140 enterprise networks in a range
After it is installed and connected to the of business sectors.
ATM, the ATMitch malware communicates Infections have been registered in 40
with the ATM as if it is legitimate software. countries, including in Turkey, Saudi Arabia,
This makes it possible for attackers to carry Iran, Libya, Pakistan, Tunisia, Morocco,
out a list of commands such as collecting Egypt, Kenya, Uganda, Congo and Tanzania.
information about the number of banknotes ATMitch cases have been reported in just two
in the ATMs cassettes. Further, criminals can countries to date, but the attackers might still
dispense money at any time from the infected be active.
ATM at the touch of a button. Combatting these kinds of attacks requires
Usually criminals start by getting infor- a specific set of skills from the security
mation on the amount of money an ATM AMIN HASBINI specialist guarding the targeted organisation.
dispenser has. After that, a criminal can ATMitch uses in-memory malware to infect The successful breach and exfiltration of data
banking networks and is remotely installed and
send a command to dispense any number of executed from a network can only be conducted with
banknotes from any cassette. An ATM robbery common and legitimate tools, says Golovanov.
like this takes seconds. Once an ATM is Further information on the ATMitch
robbed, the malware deletes its traces. recover the malicious executables because malware Yara rules for forensic analysis of
The investigation started after a banks cybercriminals had wiped the malware after the fileless attacks can be found in the two
forensics specialists recovered and shared the robbery. blogs on Securelist.com. Technical details,
two files containing malware logs from the After the attack, criminals may wipe all including Indicators of Compromise have
ATMs hard drive (kl.txt and logfile.txt) with the data that could lead to their detection, also been provided to customers of Kaspersky
Kaspersky Lab. These were the only files leaving no traces. Intelligence Services.
left after the attack. It was not possible to To address these issues, memory forensics is ENGINEERING NEWS COUPON ON PAGE 82 E451021
INFORMATION TECHNOLOGY compelling market participants The enthusiastic adoption of
South African telcos broadening to gauge market trends and

growth opportunities before
end-to-end Internet of Things
(IoT) solutions has encouraged
designing their services. telecommunications providers
ICT services portfolios ICT companies are creat- to introduce mobile app-based
ing new revenue streams services. Successful mobile
SCHALK BURGER South African ICT Outlook through software-defined data apps, such as ride-hailing and
CREAMER MEDIA SENIOR 2017 study published in April centres, flash storage, cloud- mCommerce apps, are accelera-
CONTRIBUTING EDITOR
reveals. Growing adoption of based mobile applications ting the overall revenue growth
SOUTH African telecommuni- the latest technology business (apps), noncore outsourcing of the industry.
cations providers are pursuing models by companies is and business intelligence, Further, backup and disaster
mobile-data-driven diversifica- attracting significant investment says Frost & Sullivan digital recovery services will be the
tion strategies that are creating into the South African ICT transformation senior research fastest-growing segment in
growth opportunities for the industry. Aggressive service analyst Deepti Dhinakaran. 2017, driven by the need to
industry and are bolstering their diversification, along with Nonvoice services, especially ensure business continuity.
information and communication strategic partnerships and mobile data (3G and 4G), will The study also predicts a
technology (ICT) services port- acquisitions, are altering drive market growth in 2017, he significant increase in demand
folios, Frost and Sullivans the industry landscape and adds. To page 85

NEWS&INSIGHT
ECONOMY agree that the economy has to be transformed
Adverse Developments
the question is how, and in what way, he said.
Parsons stated that priorities needed to be
highlighted and that there had to be a blue-
print outlining steps that had to be taken to
Political decisions, downgrades push policy uncertainty ensure transformation something that was
still lacking.
into negative territory He highlighted that there were fears and
suspicions that fiscal probity would become
ANINE KILIAN | CREAMER MEDIA CONTRIBUTING EDITOR ONLINE a victim of political factionalism.
T
The danger is also that the credibility of
he North-West University (NWU) the spike in the PUI. the National Development Plan will be put at
School of Business and Governances The risk of another investment downgrade risk, he said.
Policy Uncer ta inty Index (PU I) in June has also risen in the aftermath of the He said the onus would be on Finance
increased to 51 in the first quarter of this year, Cabinet reshuffle. The recent concerns of the Minister Malusi Gigaba to win the confidence
putting it in negative territory. credit ratings agencies about the economy of both foreign and domestic investors by
The PUI was at 38.8 in the fourth quarter have revolved around market doubts generated following policies and making decisions
of 2016. An increase to above 50 reflects by the removal of Gordhan from his post, which were clear, ethical, consistent and
heightened policy uncertainty, while a score Parsons said. growth-orientated.
below 50 indicates reduced uncertainty. He noted that the financial markets and Parsons added that the risk of the South
The removal of former Finance Minister credit ratings agencies would also expect to African economy moving into a recession
Pravin Gordhan and the way in which the see conservative fiscal policies still being had increased and that the countrys growth
Cabinet reshuffle has generally been handled followed and the antipatronage stance taken rate this year would probably be below 1%,
has had a negative impact on markets and by Gordhan being upheld. noting that policy uncertainty had inevitably
investor confidence, NWU school of business Parsons added that governments ambitions risen, which was not helpful in encouraging
professor Raymond Parsons said at a media for radical economic transformation was the private fixed investment that South Africa
briefing in Johannesburg last week. another source of uncertainty for investor needed to grow more rapidly.
He added that the global economic outlook confidence. The damage to trust and confidence
the national Budget and the economic impact No one really knows what is being referred in these important relationships will need
of political decisions, along with the credit to when you throw around those terms. It is to be repaired if South Africas economic
ratings downgrades by S&P Global Ratings mentioned in conjunction with land reform and performance is to continue to successfully
and Fitch, were the main contributors to the nationalisation of mines and banks. We all mobilise collaborative effort, he said.

NEWS&INSIGHT
INNOVATION T he labs sha re innovations between
Solutions Hub
them and will improve technology sharing
from around the globe, like manufacturing
t e c h n o l o g i e s f r o m G e r m a n y o r I oT
technologies from Dallas, emphasises Du.
Huaweis SA OpenLab to focus on safe city, smart grid solutions The lab is an open, flexible, resilient and
secure platform where we can cooperate and
build solutions for the ecosystem that help
SCHALK BURGER | CREAMER MEDIA SENIOR CONTRIBUTING EDITOR
customers to achieve higher commercial
I
success.
nformation and communication technology It will facilitate a digital transformation
(ICT) multinational Huawei has launched STORY HIGHLIGHTS ecosystem to support the implementation of
Huawei launches its South Africa OpenLab, which
an OpenLab in South Africa that will focus joint innovations and expand the ecosystem
will provide a platform for cooperation with industry
on safe city and smart grid technologies, partners and clients to develop new and innovative in terms of industry alliances, business
says Huawei South Africa deputy CEO solutions. alliances, developer platforms and open-source
Alex Du. The OpenLab is part of Huaweis international communities, says Du.
The research and development laboratory ICT ecosystem strategy that aims to bolster the We hope the Huawei OpenLab will create a
broader ICT environment and adoption of digital
is one of seven Huawei OpenLabs that systems.
new model for joint innovation. Subsequently,
will be opened this year and will provide a we would like to invite partners to work
formal environment for Huawei to work with together with Huawei in this initiative, says
various industry partners in South Africa Huawei Enterprise Government and Public Huawei Enterprise Business Group Southern
to create innovative solutions and promote Utility Sector, Global Industry Solutions Africa energy sector director Stan Qiu.
the development of a robust information department VP Edwin Diender emphasises Huawei will provide the data centre
technology ecosystem. t h at t he O p en L a b leve r age s ex ist i ng facility, hardware and software infrastructure
The Huawei Johannesburg Open Lab partnerships and initiatives, such as Huaweis and technical team, while the partners
will focus on the development of advanced work to provide municipalities with safe city will contribute ideas, products and human
analytics for police and power grid operations, systems, and encourages the formation and resources.
as well as on power-related Internet of Things development of new partnerships. By working together, we can enable new
(IoT) systems and the integration of Huaweis The laboratory will test and customise ideas to be verified more quickly, allow for
com munication module into local smart a broad range of solutions, such as the more agile industry innovation and more
meters. multimedia image sharing system being efficient proof of concepts creation.
The laboratories are open because a developed for emergency services, under The ultimate goal is to transform the lab
co-creation and revenue sharing model will be the umbrella of safe cities and smart grids. into a customer experience centre and generate
used. Products and services will be developed Making cities safer will lead to smarter cities, more opportunities for all ecosystem players,
and distributed in collaboration with other but safety is, and should be, the first priority, he adds.
industry partners, he explains. he says. Huawei is committed to cooperating with
The OpenLab programme is aligned with The OpenLab will also facilitate the faster its customers and partners in building ICT
Huawei Enterprise Business Groups Platform adoption of technologies by many public and platforms featuring Cloud, Pipe, and Device
and Ecosystem strategy and is centred on private organisations in various applications, collaboration to create symbiotic, vibrant and
collaborating with partners and customers owing to the availability of best practice sustainable ecosystems.
to develop innovative, differentiated and standards and proven successful uses. Huawei will continue to work with its
leading industry-specific solutions that enable This will also help government organisations part ners to explore new ways to address
open, elastic, flexible, and secure platforms to digitally transform themselves, and digital transformation challenges in the new
to drive enterprise digital transformation, accelerate the broader e-government shift, ICT era.
he explains. he adds. ENGINEERING NEWS COUPON ON PAGE 82 E451035
From page 83 $10.1-million during this year. The telecommunications, segment, there will be greater
for managed network and appli- Most enterprises will insurance and financial services demand for network and appli-
cation security services in 2017. increasingly look to outsourcing industries will be the largest cation security services due to
Meanwhile, government and services to managed service consumers of analytics services the need to improve compliance
the public sector, the trans- providers to benefit from to improve their operational and security efficiencies.
portation and logistics sector, improved efficiency of IT opera- efficiency through a proactive, Additionally, challenging
and utilities will use Big Data tions and cost savings, and problem-solving approach. economic conditions charac-
analytics to a large extent in adopt a proactive approach to The convergence across terised by continued weaken-
2017, says Dhinakaran. maintenance. telecommunications and ing of the rand and a grim
Further, despite the shutdown The need for vertical-specific entertainment markets, com- recovery outlook are expected
of mobile money services, knowledge will compel business bined with the growing uptake to continue this year.
technological advances in process management (BPM) of managed services, software- This will make ICT exports
digital banking and payments providers to reinvent or realign defined wide-area network cheaper, while enabling the
are likely to transform the their service delivery models, technology, and consultation- domestic outsourcing industry
market this year. instead providing more face-to- driven BPM service delivery to establish itself as a cost-
This will drive the value face consultative engagement models will propel market effective outsourcing destina-
of South Africas total digital instead of offering one-time growth, notes Dhinakaran. tion, concludes Dhinakaran.
payment transactions to service over a voice channel. In the managed services ENGINEERING NEWS COUPON ON PAGE 82 E451018

BUSINESSLEADER Full Name: Gladys Mawoneke
Position: CEO of Breva Beverages
Main Activity of the Company: Breva Beverages is a manufacturer,
marketer and wholesaler of alcohol-free beverages for adults
Date and Place of Birth: July 31, sometime in the 1970s, in Zimbabwe
Education: MBL, University of South Africa School of Business
Leadership; LLB; BA; diploma in journalism
First Job: I was a writer for a lifestyle magazine for a month before my
mother told me to resign because I was unhappy and miserable
Career History Prior to Current Position: I started off as a journalist
and then became an attorney. Prior to founding Breva Beverages, I
worked for British American Tobacco South Africa as an attorney. I
joined the organisation after university as a management trainee. I
worked in its corporate affairs and legal departments before I left to
find my music
Size of First Pay Packet: Z$600 a month, in 1992. I had hoped to
earn Z$1 200 but my boss deducted half that amount. When I told my
mother how unhappy I was, she told me to quit. In South Africa, my first
pay packet, in 1999, was R6 400 a month
First Job with Present Group: Founder and CEO
Number of People under Your Leadership: Seven permanent
employees and lots more to whom we outsource various services
Management Style: A combination of affiliative, democratic and
coaching
Personal Best Achievement: Going to university as a mature student
Professional Best Achievement: Developing Breva and launching it
in Woolworths and Pick n Pay
Person Who Has Had the Biggest Influence on Your Life: My father,
who taught us to be entrepreneurial and to dream big
Person Who Has Had the Biggest Influence on Your Career: My
mothers younger sister, who went to university in her late forties; when
I saw her do that, I knew that I, too, had to go to university
Person You Would Most Like to Meet: Indira Nooyi, CEO of Pepsi
Businessperson Who Has Impressed You Most: Indira Nooyi
Philosophy of Life: What is the worst that could happen? If they say
no, I will be in exactly the same situation as before, but if they say yes,
I will be in a better position
Biggest Ever Opportunity: Having Breva listed in Woolworths and
Pick n Pay
Biggest Ever Disappointment: Being turned down for funding by the
Industrial Development Corporation in 2012
Gladys
Hope for the Future: That Breva becomes a household global brand
Favourite Reading: The Tipping Point, by Malcolm Gladwell
Favourite TV Programme: Ina Gartens cooking shows
Favourite Food/Drink: Breva, with any meal
Mawoneke
Favourite Music: Gaither Vocal Band
Favourite Sport: Swimming
Favourite Website: vogue.com
Hobbies: Cooking (and, thereafter, eating what I would have cooked),
reading and swimming
Breva Beverages
Car: Volvo
Pets: None
Miscellaneous Dislikes: Pettiness and arrogance
Favourite Other South African Company: The now defunct
Mallinicks Attorneys, for its soul, which Gerald Mallinick brought to the
firm
Favourite Foreign Company: Heineken
Married: Single but open to persuasion
Children: None yet
Copyright Creamer Media (Pty) Ltd MZ Clubs: None
SOUTH AFRICA
New ENERGY ROUNDUP
Report APRIL 2017
Available ORDER YOUR ELECTRONIC COPY FROM CREAMER MEDIA E-COMMERCE
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