Dr Thuli N. Khumalo National Air Quality Officer PCEA Briefing AQM

POSTPONEMENT OF COMPLIANCE WITH MINIMUM EMISSION STANDARDS OF NEM: AQA (ACT N0. 39 0F 2004)
Dr Thuli N. Khumalo National Air Quality Officer PCEA Briefing AQM 12 February 2019 Cape Town

PURPOSE Roadmaps towards full compliance by industry;
The purpose of this presentation is to brief and update the Portfolio Committee on: Progress in implementing the PC’s February 2018 recommendations; Roadmaps towards full compliance by industry; Offsets programmes and their progress; and Applications received for further Postponements

Introduction Legal provisions for postponement of compliance timeframes are stipulated in Section 21 Notice of NEM:AQA (Act 39. of 2004) New plants must comply with new plant emission standards immediately Existing plants must comply with existing plant standards on 01 April 2015; and Existing plants must comply with new plant standards on 01 April 2020 AQA provides for the existing plants to apply for postponement with the compliance timeframes

Introduction The applications for postponement must include:
An air pollution impact assessment A detailed justification and reasons for the application; and A concluded public participation process The National Air Quality Officer (NAQO), with the concurrence of the Licensing Authority May grant a postponement of the compliance timeframes for an existing plant for a period, not exceeding 5 years per postponement From time to time review any postponement granted, should ambient air quality conditions in the affected area of the plant not conform to ambient air quality standards;

Introduction The National Air Quality Officer (NAQO), with the concurrence of the Licensing Authority on good grounds, may withdraw any postponement following: Representations from the affected plant; and Representations from the affected communities There were 34 applications received in 2014. From 2015 to 2017 DEA received 20 new applications

Implementation of the PC’s Recommendation towards Sustainable solution for compliance with SO2
ESKOM and SASOL have been recognised as the major sources of SO2 emissions in the country DEA held meetings on 17 January 2018 with SASOL and ESKOM to discuss possible strategies to address SO2 emissions The strategies, which pointed to a lack of sustainable solution on this matter were presented to the PC on 6 February 2018 However, during these engagements a lot of information was shared that led to further deliberations in terms of the requirements of the law in this regard

The PC recommended that Terms of Reference (ToR) for the appointment of a Technical Advisory Panel be developed that would help the affected parties find a lasting solution on this matter The Minister considered the submission and instructed instead that a Needs Assessment Report be produced on the progress of all the previous postponements granted and the challenges thereof for the past five years; The Needs Assessment Report would also detail what the establishment of the Panel would entail in line with other expectations for compliance with the minimum emission standards. Based on the report, the Minister would decide on the way forward regarding whether or not there is scientific evidence favouring the establishment of the Panel.

The Terms of Reference that will inform the approach of the needs assessment exercise were drafted. The amended Section 21 Notice was promulgated on 31 October 2018, therein the new plant standard for SO2 for existing plants has been revised from 500mg/Nm3 to 1000mg/Nm3 and this is applicable from 1 April 2020. The revised standard opens the scope for a wider range of technologies to be utilized to achieve compliance – it is not a “no investment” scenario. However, the regulated community will advise whether there are still major difficulties at this stage or not.

COMPLIANCE STATUS WITH POSTPONEMENT CONDITIONS: FOR DECISIONS MADE BEFORE 1 APRIL 2015 (1st Batch)

ESKOM POWER STATTION Postponement period granted
LIMIT GRANTED wrt pollutant/s ACTIVITY TO MEET COMPLIANCE AND TARGET DATE PROGRESS COMMENT Medupi 1 April March 2025 SO2: 3500mg/Nm3 Retrofit-FGD FGD process basic design has been completed. Planning to conduct detail design work has been initiated. Rail siding detail designs has been completed. Specialist studies has been completed and highlighted risks with the proposed permanent disposal options evaluated. Still on track, even though construction delays due to the project management related matters Majuba 1 April March 2020 SO2: 3200 mg/Nm3 Installation of Low NOx Burner (LNB) Detailed designs were completed in October Currently submissions are being made to the Eskom Investment Committee for approval of execution Still on track 1 April March 2020 NOx : 1500mg/Nm3 Duvha SO2: 2600mg/Nm3 NOx: 1100mg/Nm3 Installation of fabric filters. Eskom’s plans to install fabric filter plant on Units 4-6 have been cancelled. Instead, high frequency transformers will be installed, and the ESPs, DHPs and SO3 plants will be refurbished. Basic designs for HFT's pilot unit completed. On the FFP side, FFP and Dust Handling Plant (DHP) upgrade concept designs have been completed. Engineering is currently busy with basic designs for Unit 4 & 6. Investment for execution was obtained in December 2017 Risk that units 4 and 6 will not be able to meet emission standards for new plants by 1 April Eskom plans to request a monthly emission limit for these units. Tutuka 1 April March 2020 [Granted for existing plant standards] PM: 350mg/Nm3 Installation of fabric filters PFMA approval was received in January 2017 and project was out on tender. However Suppliers have requested extension twice Delays due to procurement challenges will pose the risk on the last unit not complying with the 1 April 2021 timeframe.

ESKOM Kriel 1 April 2015-31 March 2020 PM: 350mg/Nm3
Installation of fabric filters Basic designs completed. Extended basic/detailed design commenced with internal execution approval process. PFMA application made to DPE was declined on 9 February Reason cited was that there is a need for the IRP to be published by DPE Delays associated with procurement challenges as a result of the new National Treasury Procurement process requirements and engineering technical design issues. Additional engineering design capacity has been sought to resolve some of the challenges. 1 April March 2025 SO2: 2800mg/Nm3 NOx: 1600mg/Nm3 Matla PM: 200mg/Nm3 The plans to install fabric filter plants on all units have been cancelled. Instead, the ESP upgrades will be completed on the remaining units, ESP high frequency transformers will be installed, and the DHPs and SO3 plants will be refurbished. Basic designs for HFT pilot completed. ERA for one pilot unit's HFT's approved. Sole source justification approved. On the FFP side, FFP and Dust Handling Plant (DHP) upgrade concept designs had been completed. Risk that units will not be able to meet emission standards for new plants by 1 April Eskom plans to request a monthly emission limit for these units NOx: 1200mg/Nm3 Installations of LBN Technology feasibility study and basic designs are underway towards finalisation. Currently starting detailed designs. Last unit is at risk of not complying with the 1 April 2025 timeframe. Grootvlei 1 April March 2018 First unit (Unit 3) retrofit has been completed and the unit commissioned in March Unit 2 retrofit with FFP started in August 2016. On track: FFP have been completed for units 2, 3 and 4 and have been handed over to Generation Division for operation SO2: 3800mg/Nm3 NOx:1200mg/Nm3 Komati NOx: 1400mg/Nm3 None No commitments made due to the fact that the facility has a short remaining life (scheduled to be decommissioned between 2024 and 2028 N/A` SO2: 3200mg/Nm3 Camden SO2: 4000mg/Nm3 LBN technology replacements have been completed on two units, with the third unit in progress as of December Five units are still to be retrofitted No further commitment have been put in place due to the fact that the facility has a short remaining life (decommissioning scheduled for ). However, the life span may be extended by a further 10 years

ESKOM Acacia NOX 750 2020-2025 None N/A
None as the facility is compliant with all the 2015 limits emission limits. Arnot SO2 2500 Uncertain No commitments were given during postponement application process as Eskom indicated that the decommissioning schedule for Arnot will be as per 50-year life Eskom is now saying that no decisions have yet been made as to when to decommission any power station. This leaves the matter open ended. Camden 3500 No commitments were given during postponement application process as Eskom indicated that the decommissioning schedule for Camden will be as per 50-year life Hendrina 3200 No commitments were given during postponement application process as Eskom indicated that the decommissioning schedule for Hendrina will be as per 50-year life 1200 Kendal No commitment was given by Eskom with respect to the postponement of compliance with the 2020 SO2 limit. The postponement decision was however clear that the power station will be required to comply with the 500 mg/Nm3 limit from 01 April 2025. PM emissions to be reduced through the installation of high frequency transformers, and the refurbishment of the electrostatic precipitators, SO3 plants and dust handling plants. No mention is made however on the plans to comply with the SO2 limit of 500 mg/Nm3 by 2025.

ESKOM Lethabo PM 100 2015-2020 None N/A
No commitments were given as the problem at Lethabo power station related to operational matters that should be resolved before the postponement period expires. Extensive repairs have been performed on Lethabo’s ESP’s to repair the damage caused by the ash backlogs in November PM emission performance has improved as a result. PM emissions to be further reduced through the installation of high frequency transformers, an upgrade of the SO3 plants, and the refurbishment of the electrostatic precipitators and dust handling plants SO2 2600 NOX 1300 Matimba 3500 No commitment was given by Eskom with respect to the postponement of compliance with the 2020 SO2 limit. The postponement decision was however clear that the power station will be required to comply with the 500 mg/Nm3 limit from 01 April 2025. PM emissions to be reduced through the installation of high frequency transformers, and the refurbishment of the electrostatic precipitators, SO3 plants and dust handling plants. No mention is made however on the plans to comply with the SO2 limit of 500 mg/Nm3 by 2025. Port Rex 600 None as the facility is compliant with all the 2015 limits emission limits.

SHELL NAME OF FACILITY Postponement period granted
LIMIT GRANTED wrt pollutant/s ACTIVITY TO MEET COMPLIANCE AND TARGET DATE PROGRESS COMMENT Shell Port Elizabeth terminal 1 April March 2020 TVOCs: 150mg/Nm3 40000mg/Nm3 Retrofit- VRU The motivation for the postponement was that the site will be decommissioned and relocated to the new site by end of 2017, hence the postponement was granted till There has been new developments communicated by the TNPA that the lifetime at PE has been extended to 2019 as the new site (Coega IDZ) is not yet ready. Shell has applied for a new postponement until 2020 when the facility will be moved to the new terminal that will be equipped with a state-of-the-art Vapour Recovery Unit (VRU). Postponement decision was granted on 14 February 2017 on condition that the tank farm would have been relocated to the Coega IDZ by 31 March Alternatively, the facility is required to have an operational VRU in its current location by 1 April 2020. The construction of the new tank farm at Coega IDZ where the VRU will be installed is ongoing

SHELL Shell Kimberly fuel storage facility 1 April 2015-31 March 2017
TVOCs: 150mg/Nm3 40000mg/Nm3 Retrofit- VRU Shell has embarked in a process to sell this facility. Storage of petrochemicals has been significantly reduced with current throughput not exceeding m3 per annum. Negotiations with potential buyers are being concluded with the deal planned to be finalized by the end of 2016. Shell is in the process of selling this facility hence the installation of the VRU is not going to happen. Shell Ladysmith fuel storage facility VRU has been installed and functioning optimally. The postponement application has been closed. Target has been achieved by the facility. Shell Polokwane fuel storage facility Target has been achieved by the facility

PPC NAME OF FACILITY Postponement period granted
LIMIT GRANTED wrt pollutant/s ACTIVITY TO MEET COMPLIANCE AND TARGET DATE PROGRESS COMMENT PPC De Hoek Plant Finishing Mill 6 1 April December 2016 PM: 100mg/Nm3 Installation of a bag filter to replace existing ESP Upgrade completed emissions below 10mg/Nm3 for PM. Target has been achieved by the facility. However, PPC De Hoek has applied for a new postponement for SO2. PPC Dwaalboom Plant Kiln 1 PM: 200mg/Nm3 Bag filter upgrade Feasibility studies commenced for bag filter upgrade – upgrade to commence January 2017 Upgrade completed PPC Port Elizabeth Plant Kiln 4 Finishing Mill 4 1 April December 2018 PM: 400mg/Nm3 Installation of a bag filter to replace Kiln ESP Installation of a bag filter to replace existing dust collector To be decommissioned beyond June The clinker rail facility is under construction for commissioning by April EIA approved, upgrade completed, performance testing took place in July 2016 On track Target has been achieved by the facility PPC Slurry Plant Kiln 7 Raw Mill 3 PM: 350mg/Nm3 PM: 250mg/Nm3 Upgrade of Kiln 8 while Kiln 7 is operational. Afterwards Kiln 7 is under care and maintenance Construction of Slurry Kiln 9 is completed Not running Construction has been completed N/A

ENGEN NAME OF FACILITY ENGEN Postponement period granted
LIMIT GRANTED wrt pollutant/s ACTIVITY TO MEET COMPLIANCE AND TARGET DATE PROGRESS COMMENT Engen Petroleum Limited 1 April March 2019 PM: 140mg/Nm3 Retrofit - FCCU Particulate Matter Compliance Engen decided to focus on the operational improvements that can be made to ensure the particulate matter specification is met. Stack emission testing has shown that the particulate matter emissions are meeting the 2015 specification for existing plant hence Engen will continue to drive the operational optimization to maintain the compliance. PM emission in compliance with existing plant standard 1 April March 2016 TVOCs: 150mg/Nm3 40000mg/Nm3 Installation of a Vapor Recovery Unit at Gasoline Rail Loading Installation of the Vapour Recovery Unit has been completed at the rail loading facility. Unit is currently not in use (no gasoline loading taking place) and will be online when gasoline rail loading resumes. Target has been achieved by the facility TVOCs Installation of internal floating roofs on 2 tanks within the Refinery viz X-239 and X-240 Manufacturing of X-239 and X-240 internal floating roofs completed. Tank X240 was commissioned and is in service with internal floating roof in place. Tank X239 is currently not in use

TOTAL NAME OF FACILITY TOTAL Postponement period granted
LIMIT GRANTED wrt pollutant/s ACTIVITY TO MEET COMPLIANCE AND TARGET DATE PROGRESS COMMENT Total Polokwane depot 1 April March 2016 TVOCs: 150mg/Nm3 40000mg/Nm3 Retrofit- VRU VRU order was completed in November VRU delivery was completed in August The installation of VRU is in progress. VRU was installed by the John Zink Company based in Luxembourg. It was commissioned on 25 August 2016 and declare safe and ready for use by the consulting engineering group JGP. Target has been achieved by the facility.

Anglo American Platinum
NAME OF FACILITY ANGLO AMERICAN PLATINUM (AAP) Postponement period granted LIMIT GRANTED wrt pollutant/s ACTIVITY TO MEET COMPLIANCE AND TARGET DATE PROGRESS COMMENT AAP – Mortimer Smelter 1 April March 2020 SO2: 30000mg/Nm3 Retrofit- SO2 abatement equipment The meeting of the 20 June 2018 between the DG of DEA and AAP CEO has the following outcome: postponement application of the implementation of the April ,200mg/Nm3 emission limit for Mortimer until end 2023 to be submitted – to allow time to prove the new technology at Polokwane and build the plant at Mortimer. Environmental authorisation for the SO2 abatement project was issued 12 March 2018 and there is no new water uses that was triggered. The installation of SO2 abatement equipment at Mortimer smelter is in progress. AAP – Polokwane Smelter The meeting of the 20 June 2018 between DEA DG and AAP CEO has the following outcome: 1. AAP would prefer to resolve the current legal action on mutually acceptable terms and, if necessary, make such settlement an order out of court. 2. Request an interim emission level of up to 57,000mg/Nm3 (based on actual data and design calculations) for Polokwane Smelter during the construction and commissioning periods; 3. Submit a postponement of the implementation of the April ,200mg/Nm3 emissions limit at Polokwane until the end of 2020. Environmental authorization for the SO2 abatement project at Polokwane smelter was issued 26 October Water use license was issued 13 February 2018.

NATREF NAME OF FACILITY NATREF Postponement period granted
LIMIT GRANTED wrt pollutant/s ACTIVITY TO MEET COMPLIANCE AND TARGET DATE PROGRESS COMMENT Sub-category 2.1: Combustion Installations (Furnaces) 1 April March 2018 PM – 180 mg/Nm3 SO2 – 1200 mg/Nm3 NOx – 520 mg/Nm3 Retrofit- Installation of sample ports at the defined monitoring points was completed in September Initial measurements were taken during September The results of emission testing were shared with the DEA to inform the pending postponement decision. A new postponement decision has been granted until 31 March 2020 Sub-category 2.1: Combustion Installations (Boilers & hot oil heaters 1 April March 2020 PM – 350 mg/Nm3 SO2 – 1700 mg/Nm3 NOx – 1700 mg/Nm3 Basic engineering was completed in October The project is currently in the detailed engineering phase. Capital was approved on 24 April 2018 to execute this project.

LIMIT GRANTED wrt pollutant/s ACTIVITY TO MEET COMPLIANCE AND TARGET DATE PROGRESS COMMENT Sub-category 2.1: Combustion Installations (Vacuum off-gas furnace and CDU/VDU furnaces) 1 April March 2021 PM – 180 mg/Nm3 SO2 – 1700 mg/Nm3 NOx – 1700 mg/Nm3 Retrofit- Technology selection was completed and capital expenditure for the basic engineering phase was approved in January The basic engineering is currently progressing according to the planned project schedule as aligned with the roadmap. A new postponement decision has been granted until 31 March 2021 Sub-category 2.2: Catalytic Cracking Unit (FCC) 1 April March 2022 PM – 150 mg/Nm3 SO2 –3000 mg/Nm3 NOx – 550 mg/Nm3 Retrofit- ESP technology was selected as the optimal solution The basic engineering phase has been concluded in November The final investment decision for the execution phase of the project was submitted to the investment governance structures. Investment decision planned for 31 July 2018. A new postponement decision has been granted until 31 March 2022

LIMIT GRANTED wrt pollutant/s ACTIVITY TO MEET COMPLIANCE AND TARGET DATE PROGRESS COMMENT Sub-category 2.3: Sulphur Recovery Unit – (SRU) 1 April March 2020 Postponement granted with a condition of 95% availability for the unit Retrofit- The feasibility study was concluded in November A series of potential incremental improvements, including solutions to increase SRU availability, have been identified for further development in the basic engineering phase which is in progress. A new postponement decision has been granted until 31 March 2020 Sub-category 2.4: Storage & Handling of Petroleum Products (Tank farm) 1 April March 2019 Postponement granted with emissions reported as part of the site fugitive emissions monitoring plan Natref has completed an internal technology screening and selection process of the prescribed control measures and determined that a VRU is the technology of choice. The basic engineering development of the VRU was concluded in December 2017 and detailed engineering development of the VRU is in progress A new postponement decision has been granted until 31 March 2019

SASOL SECUNDA NAME OF FACILITY SASOL SECUNDA
Postponement period granted LIMIT GRANTED wrt pollutant/s ACTIVITY TO MEET COMPLIANCE AND TARGET DATE PROGRESS COMMENT Sub-category 1.1: Solid Fuel Combustion Installations (Steam Plant) 1 April March 2020 1 April March 2025 NA PM – 120 mg/Nm3 SO2 – 2000 mg/Nm3 NOx – postponement is declined Retrofit- PM - Capital was approved to install test units of three technologies on different boilers. The technologies are high frequency transformers, medium frequency transformers and high frequency, short pulse transformers. The installation of HFT on two other boilers is planned to commence from July 2018 SO2 - Sasol faces significant challenges in identifying implementable technologies to sustainably meet some of the new plant standards in the MES. A further emissions reduction towards new plant standards continues to pose a significant challenge. NOx - Current NOx abatement project has progressed to feasibility engineering. Installation of LNB on one boiler is expected during a general overhaul of a boiler in 2019. PM: On track SO2 – The facility is facing challenges with abatement equipment for SO2 NOx – There is an ongoing abatement project for NOx even though the postponement is declined

Postponement period granted LIMIT GRANTED wrt pollutant/s ACTIVITY TO MEET COMPLIANCE AND TARGET DATE PROGRESS COMMENT Sub-category 2.2: Catalytic Cracking Unit (Superflex Catalytic Cracker) 1 April March 2020 PM – 330 mg/Nm3 Retrofit- The project to reduce PM emissions at the SCC unit will continue to develop the most feasible option further and the feasibility phase has commenced. Facility is facing challenges with technology options Sub-category 3.6: Synthetic Gas Production & Cleanup (Rectisol & Sulphur Recovery Plants) 1 April March 2017 H2S – 8400 mg/Nm3 TVOCs – 300 mg/Nm3 SO2 – 3500 mg/Nm3 (undertake emission measurement and report quarterly until 1 April 2017) H2S – Discussions with the Local Licensing Authority took place to confirm the monitoring requirements, as per the AEL, in the interest of sustained compliance. TVOCs – upgrade is completed SO2 – upgrade is completed H2S - On track TVOCs – Upgrade is completed and target has been achieved SO2 – Upgrade is completed and target has been achieved

Postponement period granted LIMIT GRANTED wrt pollutant/s ACTIVITY TO MEET COMPLIANCE AND TARGET DATE PROGRESS COMMENT Sub-category 3.6: Synthetic Gas Production & Cleanup (Phenosolvan Plant) 1 April March 2020 TVOCs – 250 mg/Nm3 (undertake emission measurement and report quarterly until 1 April 2018) Retrofit- It was confirmed that sufficient spare capacity is available at the existing Regenerative Thermal Oxidizers (RTOs) that were commissioned in 2017 to tie in this project. The project is continuing with the development of this action. On track Sub-category 3.3 & 3.6: Tar Processes Synthetic Gas Production & Cleanup (Tar Value Chain-Value 1) 1 April March 2017 TVOCs – Emissions are to be incorporated into the site fugitive emissions monitoring plan TVOCs – upgrade is completed TVOCS – Upgrade is completed and target has been achieved

Postponement period granted LIMIT GRANTED wrt pollutant/s ACTIVITY TO MEET COMPLIANCE AND TARGET DATE PROGRESS COMMENT Sub-category 3.3: Tar Processes (Tar Value Chain-Value 2) 1 April March 2020 TVOCs – Emissions are to be incorporated into the site fugitive emissions monitoring plan Retrofit- The project was approved for implementation. Detail engineering is on schedule and procurement of long lead items is in progress. On track Category: Organic Chemicals Industry (Tanks Solvents) Technology selection is in progress for the Carbonyl tanks. Baseline sampling will commence over the next eighteen months, together with tanks under sub-category 2.4. Sub-category 2.4: Storage & Handling of Petroleum Products (Tanks Synfuels) It is planned to install abatement technology on the second coal tar naphtha tank during the September 2018 shutdown.

Postponement period granted LIMIT GRANTED wrt pollutant/s ACTIVITY TO MEET COMPLIANCE AND TARGET DATE PROGRESS COMMENT Sub-category 2.4: Storage & Handling of Petroleum Products (Loading Station) 1 April March 2020 TVOCs – Emissions are to be incorporated into the site fugitive emissions monitoring plan Retrofit- TVOCs – upgrade is completed TVOCS – Upgrade is completed and target has been achieved Sub-category 8.1: Thermal Treatment of Hazardous & General Waste (How & Biosludge Incinerators) Various pollutants – with different emission limits specified for the different pollutants A project, which is in the pre-feasibility engineering phase, is in progress to investigate various incinerator technology options in the interest of integrated environmental management. 2nd Postponement decision was granted in order to complete the work that has started Sub-category 8.1: Thermal Treatment of Hazardous & General Waste (Sewage Solids Incinerators) The incinerator was decommissioned and the waste stream is being managed by a third party disposal solution.

SASOL SASOLBURG NAME OF FACILITY SASOL SASOLBURG
Postponement period granted LIMIT GRANTED wrt pollutant/s ACTIVITY TO MEET COMPLIANCE AND TARGET DATE PROGRESS COMMENT Sub-category 1.1: Solid Fuel Combustion Installations (Steam station 1) 1 April March 2020 1 April March 2025 1 April March 2020 PM – 165 mg/Nm3 SO2 – 2000 mg/Nm3 NOx – 1450 mg/Nm3 Retrofit- PM - Technical work is ongoing to confirm practical capital expenditure and operational solutions SO2 - Sasol faces significant challenges in identifying implementable technologies to sustainably meet some of the new plant standards in the MES NOx - The Low NOx burner piloting which will take place at Steam Station 2, as indicated below, will inform the technology selection for Steam Station 1 as well. On track SO2 – facility is facing technical challenges NOx – On track Sub-category 1.1 (Steam station 2) NA PM – Postponement is declined NOx – 1250 mg/Nm3 Retrofit- PM - The 1st ESP upgrade on Boiler 12 has been completed in May 2018 and will undergo rigorous testing to ensure compliance with the new plant standards NOx - The first LNB upgrade on Boiler 12 has been completed in May 2018 and will undergo rigorous testing to ensure compliance with the new plant standards PM – There is an ongoing abatement project for PM even though the postponement was declined SO2 – facility has technical challenges NOx – on track

SASOL SASOLBURG NAME OF FACILITY NATREF Postponement period granted
LIMIT GRANTED wrt pollutant/s ACTIVITY TO MEET COMPLIANCE AND TARGET DATE PROGRESS COMMENT Sub-category 8.1 (B High Sulphur pitch incinerator) 1 April March 2020 Various pollutants – with different emission limits specified for the different pollutants Retrofit- The values received on the decision in the postponement application were lower that what was requested so the units will remain shut down while evaluations are continuing on whether sustainable and compliant operations can be assured. Should SO decide to re-commission the units the Fezile Dabi District Municipality Air Quality Officer will be duly informed. A new postponement decision has been granted until 31 March 2020 (B Spent caustic incinerator) Same as above in B6930 (B Heavy end B incinerator) 1 April March 2018

COMPLIANCE STATUS WITH POSTPONEMENT CONDITIONS: FOR DECISIONS MADE AFTER 1 APRIL 2015 (2ND Batch)

Compliance Status: 2nd Batch
NAME OF FACILITY Quantum Crushing Postponement period granted LIMIT GRANTED wrt pollutant/s ACTIVITY TO MEET COMPLIANCE AND TARGET DATE PROGRESS COMMENT Quantum Crushing & Screening (Pty) Ltd [Sub-category 3.4: Char, charcoal and carbon black production] 31 May March 2020 PM: 6276mg/Nm3 Construction of a new plant to replace the existing two non-compliant plants Funding for the construction of the new plant has been secured from ABSA. In the meantime there are consideration to reduce emissions from the two plants by installing control devices (bag filters). Capital funding is in the process of being sourced for purchasing the bag-filters. Good progress is being made and there are commitments to finalise the project before the end of the granted postponement period. Chevron Port Elizabeth Terminal [Sub-category 2.4: Handling and Storage of Petroleum Products] 1 December March 2020 TVOCs: N/A Installation of Vapour Recovery Unit (VRU) Chevron is actively working on the decommissioning and relocation of the Port Elizabeth tank farm. In the case of the tank farm not being relocated; Chevron will activate a contingent plan but this will only be at the beginning of 2019 to install a VRU and commission the unit in the 1st quarter of 2020. Postponement was granted on condition that the tank farm would have been relocated to the Coega IDZ by 31 March 2020

NAME OF FACILITY Chevron Refinery: Cape Town Postponement period granted LIMIT GRANTED wrt pollutant/s ACTIVITY TO MEET COMPLIANCE AND TARGET DATE PROGRESS COMMENT Chevron Refinery Cape Town [Sub-category 2.1 Combustion installations] & [Sub-category 2.4: handling and storage of petroleum products] 1 April July 2017: Combustion installations SO2: 2400 mg/Nm3 Making changes and refinements to the Process furnace to reduce emissions in order to achieve compliance with MES Refinements had been completed before 31 July Emissions tests have been conducted and verified by an independent consultant and show that emissions are below existing MES (i.e. 770 mg/Nm3 vs 1700 for existing MES and 1000 for new MES) Sulphur Dioxide emissions from Process Furnace 02F201 is in compliance with MES. All upgrades are completed. 1 April March 2020: Storage & Handling of petroleum products TVOC: N/A Installation of roof leg sleeves on floating roof tanks to minimize emissions Progress being made as planned, even exceeding original schedule in some instance. Nineteen (19) tanks out of 42 have been fitted with sleeves and work is in progress on other tanks Good progress is being made and there is likelihood that target will be met.

NAME OF FACILITY BPSA Postponement period granted LIMIT GRANTED wrt pollutant/s ACTIVITY TO MEET COMPLIANCE AND TARGET DATE PROGRESS COMMENT BPSA Watloo Depot [Category 2.4: handling and storage of petroleum products] N/A: application was withdrawn/closed due to compliance TVOC: N/A Installation of Vapour Recovery Unit (VRU) Installation has been completed while the application was being considered The installation and operationalization of the Vapour Recovery Unit (VRU) has been confirmed by the facility. All upgrade is completed BPSA East London Depot BPSA Cape Town Depot

NAME OF FACILITY VANCHEM VANADIUM Postponement period granted LIMIT GRANTED wrt pollutant/s ACTIVITY TO MEET COMPLIANCE AND TARGET DATE PROGRESS COMMENT Vanchem Vanadium Products (VVP) [Category 4.18: Vanadium Ore Processing] 31 May March 2022 SO2: 22331mg/Nm3 Investigation and installation of abatement technology The company has ceased operation due the fact that the mine that was supplying input material (vanadium ore) has suspended operations. The company was placed under care and maintenance. The company has ceased operation and thus no emission is released into the atmosphere.

NAME OF FACILITY SILICON SMELTERS Postponement period granted LIMIT GRANTED wrt pollutant/s ACTIVITY TO MEET COMPLIANCE AND TARGET DATE PROGRESS COMMENT Silicon Smelters (Pty) Ltd - Rand Carbide [Sub-category 4.9: Ferro-alloy production] Calciner 1: PM – 3800 mg/Nm3 100 mg/Nm3 50 mg/Nm3 SO2 – 3700 mg/Nm3 500 mg/Nm3 1 Mar 2017 – 1 May 2019 1 May 2019 1 April 2020 Retrofit Pilot plant has been designed and tested by the University of Pretoria. Detailed designs for the full-scale project have been completed. Manufacture of equipment for Calciner 1 and construction of civil work have been completed. Good progress has been made and if the planned project schedule is followed thoroughly, compliance can be achieved by the due date. Calciner 2: Manufacture of equipment and installation of equipment for Calciner 2 will only take place in 2019 Same as above

NAME OF FACILITY AEL MINING Postponement period granted LIMIT GRANTED wrt pollutant/s ACTIVITY TO MEET COMPLIANCE AND TARGET DATE PROGRESS COMMENT AEL Mining Services [Category 7.2: Production of acids; Production of Chemical Fertilizers] 24 April March 2020 STILLS PLANT NOx mg/Nm3 Converting the current scrubbing technology into the one that will improve efficiency for the Stills Plant; A Service Provider has been appointed to undertake the project. AEL is in the process of finalizing the capital cost required and expect the conversion of the Stills scrubbing process to be implemented in November 2019. Good progress has been made and if the planned project schedule is followed thoroughly, compliance can be achieved by due date. PETN PLANT NOx- 120 kg/day Retrofit - Stacks have been merged to form one combined stack and this was completed in December Isokinetic sampling conducted in March 2018 reported NOx emission levels of 100mg/Nm3 Same as above ANS 1 & 2 PLANTS via ANSSER PLANT NH3- 2800mg/Nm3 (Minimum availability of ANSSER plant is 90%) Installation of ammonia scrubber Tender documents for the design, supply and installation of the scrubber have been compiled. AEL has received tender proposals and are in the process of evaluating these tenders to allow for submission of a detailed expenditure proposal for internal group approval NO. 3 AN Plant PM: 1900mg/Nm3 NH3: 900mg/Nm3 Installation of candle filters for PM and ammonia scrubber for NH3 Pre-sanction expenditure proposal has been approved to conduct a detailed design and costing of the dual ammonia scrubber to reduce NH3 emissions using nitric acid and candle filters to remove PM.

NAME OF FACILITY ILLOVO SUGAR Postponement period granted LIMIT GRANTED wrt pollutant/s ACTIVITY TO MEET COMPLIANCE AND TARGET DATE PROGRESS COMMENT Illovo Sugar (Gledhow Sugar Mill) [Category 1.1: Solid Fuel combustion installations; and 1.3: Solid Biomass Combustion installations] 23 March 2017 – 1 Nov 2019 1 Nov 2019 1 April 2020 PM – 3800mg/Nm mg/Nm3 50mg/Nm3 Investigation and installation of PM abatement technology (cyclones) and usage of alternative fuel sources Investigation of alternative fuel sources has been completed and correct type of abatement technology has been identified. Approval for capital investment is completed and abatement equipment has been ordered Good progress has been made and if the planned project schedule is followed thoroughly, compliance can be achieved by due date Illovo Sugar (Noodsberg Sugar Mill) 23 Mar 2017 – 28 Feb 2020 28 Feb 2020 3000mg/Nm mg/Nm3 Investigation and installation of PM abatement technology Engineering design for the abatement equipment has been completed and capital injection has been approved. Releasing of funding to perform engineering on abatement equipment selection is also completed. Same as above Illovo Sugar (Sezela Sugar Mill) 23 Mar 2017 – 21 Dec 2019 29 Dec 2019 300mg/Nm mg/Nm3 Installation of new scrubber is expected to take place by 31 March 2020 and capital investment in this regard has been secured. Capital application has been made to Illovo Shareholding company, ABF, for funding of detailed design of scrubber equipment.

Offsets Programmes Implementation

Sasol Secunda Offsets Implementation
Timeframe Target (Major) Progress Jan 2018 – June 2018 Baseline studies Baseline campaign activities have been completed. The results of both the ambient air quality, source apportionment and quality of life surveys are currently being reviewed. Preliminary assessments indicate that the intervention undertaken by Sasol is aligned with and could meaningfully contribute to mitigating pollution sources in the targeted areas. Feasibility studies on roads Complete & cancelled. Surfacing of roads to reduce dust - as previously communicated, source apportionment results confirmed that the impact of dust from unsurfaced roads is minimal; therefore this option will not be considered further. Insulation of informal houses 24 houses insulated. Durability and quality is problematic and therefore the project is cancelled. An additional 400 RDP houses will be insulated. Veld fire management Grass cutting and veld fire management activities are ongoing by the Secunda Synfuels Operations emergency management team, with their scope of activities enhanced to support greater mitigation of veld fires as part of the offset plan Insulation of RDP houses On track as per plan RDP houses completed including LPG packages. Another 1000 RDP houses planned for completion by year end Education and awareness On track as per plan. Air quality awareness campaign. The target audience are communities of eMbalenhle and Lebohang where offsets are implemented and 27 primary schools in Govan Mbeki Municipality. The door to door campaign survey commenced in eMbalenhle and Lebohang. The educational material to be used for Grades 1 to 7 has been sent to Department of Basic Education for review and comments. The coordinators who will assist the teachers to roll out the learning material were appointed. Re-training of owners of LPG packages

Sasol Sasolburg/Natref Offsets Implementation
Timeframe Target (Major) Progress Jan 2018 – June 2018 Baseline studies Baseline campaign activities have been completed. The results of both the ambient air quality, source apportionment and quality of life surveys are currently being scrutinized. Preliminary assessment indicate that the intervention undertaken by Sasol is aligned with and will contribute to mitigating pollution sources in the targeted areas. Veld fire and waste management Took delivery of Rapid Intervention Vehicle (RIV). Started investigation of grass cutting equipment required for donation to MLM. Satellite fire station started to operate using Fire fighters employed from community. Hand-over of the 6000L fire truck be done once training and DOD is signed off/completed. Education and awareness A decision was taken to do budget reallocation to start with the implementation of Education and awareness campaign. A service provider was identified and bidding process initiated. Some of the scope was completed and the rest will follow during Q3 and Q4 in 2018. Vehicle emission testing (VET) All the equipment were handed over to MLM. The training was completed and re training are in progress. The testing has commenced and the roadblock will follow in the same time period. Recyclable waste management Conducted block meeting with public for consultations on the planned, transfer Stations to be developed in the identified sites. Started evaluating the site in preparation for construction after completing layout design. Encountered a problem with new requirements for registering the sites. Delays due to MLM challenges. Non-Recyclable waste management Continued with the cleaning and empting of the 60 skip bins placed. New bins was rolled out in identified areas and optimised continuously. The compactor truck was delivered and training with the MLM was completed. The truck will be handed to the MLM as soon as the DOD is signed off.

Cost of offsets Implementation: Sasol

Eskom Offsets Implementation
Timeframe Target (Major) DEA comment Jan 2017-Dec 2017 Baseline determination, pilot studies and planning for at least one community in each of the powers stations in Nkangala, Gert Sibanda and Fezile Dadi District Municipalities. The affected power stations include: Hendrina, Arnot, Komati, Matla, Kriel, Duvha, Kendal, Tutuka, Majuba, Grootvlei, Camden and Lethabo. It is planned that the intervention solution that will be rolled out at 100% of the qualifying households at KwaZamokuhle and 90% of qualifying households at Ezamokuhle will be electricity with LPG as a back-up In Sharpeville and Marapong a baseline assessment is being undertaken to help ascertain what interventions will be most effective in curbing waste burning practices in these areas. The preliminary results of the 30 household’s pilot indicate that it is feasible to switch households from coal to electricity, however there is the risk associated with electricity interruptions in the affected areas. Based on the results of this pilot (electricity) and the previous pilot (LPG), the programme team is now busy evaluating options for large scale implementation. The final report for the electricity pilot is expected by 30 March 2018.

Eskom Offsets Implementation
Timeframe Target (Major) DEA comment Jan 2018-Dec 2018 Beginning of implementation in three of the affected communities. For the lead implementation, offset will be rolled out in 2018/19 financial year in KwaZamokuhle, Ezamokuhle and Sharpeville. In KwaZamokuhle and Ezamokuhle, households will be switched from using coal to electricity with LPG combination. In Sharpeville/Vaal area, the main sources of ambient air pollution have been identified as road dust, domestic wood & coal burning practices and waste burning. A baseline assessment is being undertaken to help ascertain what interventions to address these sources. The final report for the 30 household electricity pilot was produced in March Based on this result and the 2016/17 general pilot study, it is considered feasible to switch households to electricity with a LPG backup.

Offsets Programmes Implementation
Applications for further postponements Offsets Programmes Implementation Offsets Programmes Implementation

Further Postponements
Facility Rationale for 2nd Postponement Decision Matimba and Medupi Eskom faces both technical and contractual limitations in sourcing lower Sulphur coal, and flue gas desulphurisation cannot be installed in the short-term Positive decisions were granted. However, for a period of two years which is a shorter period than the 5 years which was requested in the application. This decision was taken in order not to exceed the 5 year per postponement period and also to align with the 2015 new plant standard decision from 1 April 2020 to 31 March 2025 PPC: DeHoek and Riebeeck The SO2 emissions are as a result of the S content of lime that is used as input material in cement production. Initially the facility was meeting the MES, but due to different lime (from the second quarry) which has high S content, the MES are exceeded Decision on these applications have not been reached due to outstanding information that is still pending from the applicant. Sasal: Secunda, Sasolburg and Natref Further postponement were requested to extend the 1st postponement period granted for various listed activities in order to conclude the already started work Positive decisions were granted. However, for a period of two years which is a shorter period than that which was requested in the application. This decision was taken in order not to exceed the 5 year postponement period.

National Emissions Status for South Africa
It is recommended that the Portfolio Committee notes

It is recommended that the Portfolio Committee notes
Recommendations It is recommended that the Portfolio Committee notes The Minister’s recommendation on the SO2 Panel Roadmaps towards full compliance by industry Offsets programmes and their progress National emissions status for South Africa National Emissions Status for South Africa

Dr Thuli N. Khumalo National Air Quality Officer PCEA Briefing AQM

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Dr Thuli N. Khumalo National Air Quality Officer PCEA Briefing AQM

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Presentation on theme: "Dr Thuli N. Khumalo National Air Quality Officer PCEA Briefing AQM"— Presentation transcript:

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