South African Wind Energy Programme A Otto 2 nd Annual Wind Energy Seminar 28 September 2010, Gallagher

South African Wind Energy Programme Project Goal: To reduce Green House Gas emissions generated by thermal power in the national inter-connected system Project Objective: To install and operate up to 5.2 MW Darling Wind Farm and prepare the development of 45 MW combined wind farm and more. SAWEP Preparation Phase: March 2003 – June 2004 Several reports: Power Purchase Agreement (generic), Power Wheeling Agreement (generic), financial model ‏SAWEP Full Size Project: Phase 1 (technical assistance): Feb 2008 – Sept 2010 ($2 mill) SAWEP is funded by the Global Environment Facility (GEF). This project is executed by the DoE (Executing Agency) A project management unit (PMU) is located at DoE’s premises. The PMU provides secretariat, coordination and overall management functions and tasks related to the different outputs. The PMU reports to the SAWEP Project Steering Committee (PSC) comprising DoE (chair), DWEA, NERSA, UNDP and National Treasury. The UNDP (DME/UNDP agreement) provides support services such as recruitment of personnel, contract and financial management, procurement of goods and services to the DoE.

South African Wind Energy Programme cont

Investigation into the Development of a Wind Energy Industrial Strategy for South Africa

Investigation into the Development of a Wind Energy Industrial Strategy for South Africa cont. A successful wind energy industry expansion process leads to exports and foreign operations, and to a global industrial profile. This has been the case for many wind energy companies and industry growth may happen through acquisitions, organic growth, mergers etc. However for such an evolutionary path to grow requires a stable home market

Investigation into the Development of a Wind Energy Industrial Strategy for South Africa cont.

Wind Turbine and Component Standards

Wind Atlas for South Africa The power (P) output of a wind turbine is very sensitive on the wind speed (U) P = ½ρrU 3 [W/ m 2 ] (watt per square meter) Applying above formula, a difference of 5% in wind speed (U) will result in a difference of 15% power (P) output of the wind turbine. It is therefore of the utmost importance that the wind speed is measured as accurately and near the wind turbine hub height (hub connecting blades) possible. Review of Wind Energy Resource Studies in South Africa, DME, February 2003 concluded, amongst other:  “The accuracy of the prediction of wind energy resource at potential sites based on the present wind atlases is very poor. The main reason is the location of the weather measuring masts close to buildings and other obstacles. Therefore the present wind atlases should not be used to predict the energy output at potential sites to be used in feasibility studies.”  “The accuracy of the resource estimates may be improved significantly by establishing a network of high quality wind measurements including at least 30 m masts.”

Conclusion SAWEP outcomes activated, objective largely achieved, outstanding/in progress: REFIT Implementation CDM utilisation Revised RE White Paper & Target IRP2 Wind Energy Industrial Strategy Local Wind Turbine and Components Testing and Certification capacity and capability National Environmental and agriculture guidelines/conditions Verified Wind Atlas and database and expanded to other areas of South Africa Grid code reviewed and updated Training and Education coordination and implementation framework Business development framework for community type wind farm activities Optimisation of Renewable Energy deployment, especially wind and solar

Thank you “If we do the possible, God will do the impossible”