APPLICATION FOR AN ELECTRICITY DISTRIBUTION LICENCE …

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APPLICATION FOR AN ELECTRICITY DISTRIBUTION LICENCE OF THE ELECTRICITY REGULATION ACT, 2006 (ACT NO. 4 OF 2006). Please return completed form to: National Energy Regulator HoD: Licensing and Compliance Department 4 th Floor, Kulawula House 526 Vermeulen Street Arcadia Pretoria P O Box 40343 Arcadia 0007 South Africa Tel: 012 401 4600 Fax: 012 401 4700

Transcript of APPLICATION FOR AN ELECTRICITY DISTRIBUTION LICENCE …

Microsoft Word - Coega DX redacted.docx2006).
National Energy Regulator HoD: Licensing and Compliance Department 4th Floor, Kulawula House
526 Vermeulen Street Arcadia Pretoria
P O Box 40343 Arcadia 0007 South Africa
Tel: 012 401 4600 Fax: 012 401 4700
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PREAMBLE
Section 4 of the Electricity Regulation Act, 2006 (Act No. 4 of 2006) provide for the Regulator to issue licences for operation of electricity distribution facilities. Rules as determined by the Regulator specify that anyone owning and operating an electricity distribution facility requires to be licensed by the Regulator.
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KARPOWERSHIP SA COEGA RF PROPRIETARY LIMITED
REGISTRATION NUMBER 2020/754336/07
A2 Address of applicant, or in the case of a body corporate, the registered head office
164 Totius Street Groenkloof
A below
Name Kishoor Pitamber
Fax No. N/A
Company
A7. In the case of a local government body, please state the grading of that authority
Note to Section A The applicant is a private limited liability company Full names of current directors of applicant:
Name ID/Reg Number Type Status
HAREZI YILMAZ, ZEYNEP redacted Director Active
KARADENIZ, ORHAN REMZI redacted Director Active
KATMER, MEHMET redacted Director Active
SECHABA NOTSI MAFA MOLETSANE redacted Director Active
NARISSA RAMDHANI redacted Director Active
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SECTION B COMMENCEMENT DATE OF LICENCE
B1 Desired date from which the licence (if granted) is to take effect
31 August 2022
SECTION C AREA OF OPERATION TO WHICH THE APPLICATION RELATES
C1 Please provide a sufficient description of the area of operation to which the application relates
The application relates to a 132 kV distribution system in and around the precinct of the Port of Ngqura (20 kilometres north-east of Gqeberha) in the Eastern Cape. The distribution system will be used to connect the power generation facility – being a "powership" (Karpowership Coega), which is a special purpose sea vessel on which a power generation facility is installed, and which is then moored on the water (offshore) in the Port of Ngqura – to the national grid at the proposed new Saltpan switching station that will be built onshore about 1km from the powership in the Port.
C2 Please provide a sufficient description of the purpose of the distribution system and the users of the distribution system
As indicated above, the distribution system will be used to transport electricity generated by the powership to the national grid at the proposed new Saltpan switching station that will be built. A 132 kV double circuit overhead line (about 1km long) will be built to connect the powership to the Saltpan switching station. The distribution system will only be used by the applicant for the purposes of delivering power to the national grid at the point of connection (Saltpan switching station).
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SECTION D DETAILS OF THE DISTRIBUTION SYSTEM
D1 Please provide an overview of the current system and prospects for the next five years, which includes:
D.1.1 The Physical system Supply points connected to existing generators (Eskom and municipal power
stations, neighbouring utilities) and transmission systems - None
Delivery points connected to existing distributors and special customers - None
Total kilometres per voltage of distribution lines1
- 1 (one) kilometre Summary of large scale map showing geographical location of substations and
routes of distribution lines - (Refer Figure 1: Geographical Map (See item 2 in the Table of Contents to the supporting documents)
Single line diagram of the distribution system
(Refer to Figure 2: Distribution system single line diagram (SLD) and the attached single line diagram – item 4 in the Table of Contents to the supporting documents)
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Figure 1: Geographical map of project site
Figure 2: Distribution System SLD (Extract from the Eskom Cost Estimate Letter – see item 3 in the Table of Contents to the supporting documents)
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The licence application is for the distribution system encompassed within the red rectangle. The distribution system will start from the HV side of the 15/132 kV step up generator transformers on the powership (offshore) to the isolator on the 132 kV overhead lines at the new Saltpan switching station.
The single line diagram below further illustrates the distribution system for which the licence is being applied for. The components of the distribution system will comprise: HV Yard on the powership and associated 132 kV equipment (primary and secondary
equipment) The 132 kV double circuit over headline from the terminal tower on the powership to the
isolators at Saltpan 132 kV switching station that will be owned by Eskom.
Table showing all transformers, lines and substations also indicating the replacement values of such equipments as below:
Transformers
132 kV 15 kV 6 6 x 160
Lines
132 kV Double circuit overhead line ~ 600
Coega Powership (off shore)
Distribution system for which the licence is applied for is encompassed in the red dotted rectangle
Saltpan switching station - onshore (to be owned by Eskom)
132 kV 132 kV
6 x 160 MVA Step up transformers
132 kV feeder bay
Point of Connection (PoC)
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Substation name
D.1.2 System characteristics Maximum demand
- 450 MW is the maximum export capacity of the powership Energy entering the system at supply points
- None Energy leaving the system at delivery points
- Maximum 450 MW Electrical losses, breakdown of causes and prospects
- Negligible (less than 0.01MW)
D.1.3 Grid code (Transmission and Distribution) compliance Adequacy of internal policies for grid code compliance
The distribution system will be dedicated to evacuating power from the Powership (offshore) to the point of connection (onshore). No load customers will be connected to the distribution system. The distribution system will comply with all the applicable distribution codes as a condition for connection to the existing network. The distribution system will be operated and maintained by dedicated personnel during the entire duration of the licensing to ensure compliance with the Grid Code.
Note1: Lines and any other assets that are above 132 kV for historic reasons but utilised for distribution purposes are deemed as distribution assets and must be reported. For any future modifications/extensions of these assets, a pre- approval from the Regulator will be required.
Note 2: Updated Section D will be reported annually to the Regulator.
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SECTION E MAINTENANCE PROGRAMMES
E1 Details of any proposed major maintenance programmes, including the expected cost and duration thereof, covering the next six years. Project proposals to state the expected availability, planned outage rate and forced outage rate of the distribution system over the next five years of operation.
Response redacted
E2 Please provide the actual (total) maintenance cost as a percentage of the replacement value (total).
Response redacted
E3 Provide details of person/body that will operate the distribution and co-ordinate with national transmission system. Also provide any agreements with National Control.
Response redacted
Updated Section E will be reported annually to the Regulator.
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SECTION F CUSTOMER PROFILE
F1 Provide particulars of the person or persons to whom the applicant is providing or intends to provide electricity transmission services to. Also provide details of proposed tariffs for the distribution services.
Response redacted
SECTION G FINANCIAL INFORMATION
G1 Submit projections of and current statements of the accounts in respect of the undertaking carried on by the applicant, showing the financial state of affairs of the most recent period, together with copies of the latest audited annual accounts where such have been prepared.
Response redacted
G2 Submit annual forecasts for the next five years of costs, sales and revenues generated by the project, stating the assumptions underlying the figures. (Separate direct operating costs and overheads)
Response redacted
G3 Estimates of net annual cash flows for subsequent periods (5 years; 10 years; 15 years) sufficient to demonstrate the financial security and feasibility of importing/exporting activities.
Response redacted
G4 Project financing: Who will finance the project, how is funding split between debt and equity, and what is the terms and conditions of the funding agreements.
Response redacted
G5 Fixed Assets – Provide summary of total assets of all distribution plant
Response redacted
SECTION H HUMAN RESOURCES INFORMATION
H1 Submit details of the number of staff and employees and their categories in service of the applicant and in any support services separate from the operation of the distribution system. Also provide information regarding relevant qualifications and experience in critical areas e.g. High voltage and low voltage regulations, switching, etc. Please provide any contracts in this regard.
1. What is the skill level for working on the project?
Response redacted
Response redacted
3. What types of jobs will be available during construction and then during operations for the local immediate community?
Response redacted
Please refer below for detailed job creation numbers that have been submitted as part of the RMIPPPPP (Response redacted). Attachment: See item 6 in the Supporting Documents - Table of Contents. (redacted)
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SECTION I PERMISSION FROM OTHER GOVERNMENT DEPARTMENTS OR REGULATORY AUTHORITIES
I1 Please provide of copies of the permits issued by other government departments or regulatory authorities in respect of erecting and operating the distribution system, including any environmental and safety approvals.
Environmental and Safety Permits
The project will require an Environmental Authorisation (“EA”) from the Department of Forestry, Fisheries & Environment (“DFFE”). The final submission date for the EA application was 26 April 2021, whereafter DFFE has 57 days from date of submission to make a decision on whether to grant the EA. This time period applies to all permits required.
The Atmospheric Emission License application runs concurrently with the EA application. However, it cannot be granted/issued until the EA is granted. The application has been submitted. We have received an indication that the AEL will be reviewed at the same time as the Environmental Impact Assessment (“EIA) report, and a decision made within 3-5 days of the granting of the EA.
The National Water Act, No. 36 of 1998 (“NWA”) is not applicable to the activities being carried out on the ships as they are being carried on in a marine environment and not within the freshwater environment. This is due to the definition of a water resource in the NWA which is defined as a watercourse, surface water, estuary or aquifer. However, the NWA is still applicable to any land- based impacts. At Coega, Karpowership has been granted a General Authorisation (“GA”).
No waste management licence (“WML”) will be required as no waste is discharged into the ports and all waste is removed to land to licensed waste sites for treatment or disposal. Thermal plume modelling (for heated process water discharge) was done at Coega and no adverse impacts are expected in this regard.
Heritage consents are not required at this stage and will only be required if something is discovered during excavation/construction.
In respect of the Fire Safety Certificate, the relevant fire chief has been engaged, he has reviewed the information and indicated “no objection”. He has indicated that he can only issue the certificate after a site visit has been carried out (after construction is complete). The time frame is 3-5 days following the site visit.
No Marine Discharge Permit under Section 69 of the National Environmental Management: Integrated Coastal Management Act, No. 24 of 2008 is required as this refers to sources of pollution that originate on land. There are no land-based activities which generate pollution.
A permit under the Marine Pollution Act, No. 2 of 1986 (“MPA”) is not required as there are no pollutants or harmful substances that are discharged into the ports or ocean and this has been. confirmed with the South African Maritime Safety Authority (“SAMSA”). SAMSA have requested a Risk Mitigation Assessment.
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Land-related requirements
In order to connect to the 132kV switching station, adjacent to tower 27 in Figure 1 above, the overhead transmission line will traverse Erf 312 Coega, and Erf 255 Coega (collectively " the Properties"). Both properties are registered in the name of Transnet Limited, registration number 1990/000900/30 ("Transnet")
In order for the overhead transmission line to traverse these Properties, the applicant will need to secure a transmission, access and substation servitude, which servitude will be registered in the name of Eskom Limited. The servitude, is a registrable real right enforceable against third parties and will be concluded between the landowner and the applicant. The servitude will be endorsed against the title deed of the Properties at the cost of the applicant and the compensation due to Transnet will be payable by the applicant.
Erf 312 Coega is subject to a 30m wide general servitude in favour of the CDC in its capacity as owner of 6 erven. Section 65(3) of the Deeds Registry Act 47 of 1937 requires that the consent of the CDC be obtained prior to the registration of the servitudes.
Finally, in order to successfully register a deed of servitude at the deeds office, a transfer duty receipt is required from the South African Revenue Services.
To the extent that servitudes are not granted by Transnet, then the applicant will secure wayleaves over the Properties. Unlike servitudes, wayleaves are not capable of registration at the deeds office, but do grant rights of access, maintenance and construction, subject to standard terms and conditions.
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J1 Please provide information in terms of the following categories:
Response redacted
Please refer below for detailed economic development percentages that have been submitted as part of the RMIPPPPP. (redacted)
Please refer below for detailed economic development values that have been submitted as part of the RMIPPPPP.
Attachments: See items 7 – 12 in the Supporting Documents - Table of Contents. (Redacted)
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SECTION K ADDITIONAL INFORMATION
Please provide any other relevant information that the applicant wishes to include with this application
Additional Information
Attachment: See Item 13 in the Supporting Documents - Table of Contents. (Redacted)
APPLICATION FOR AN ELECTRICITY DISTRIBUTION LICENCE IN TERMS OF THE
ELECTRICITY REGULATION ACT, 2006 (ACT NO. 4 OF 2006)
Applicant:
_________________________________________________________________________________
1. Section C - Coega On Shore Grid Connectivity Rev5
2. Section D - Coega (Saltpan) 132kV Switching Station Rev7
3. Section D - Coega Powership 450MW CEL 25 Nov 2020 (redacted)
4. Section D - Coega Powership Single Line Diagram
5. Section G - Annex - I – Coega (redacted)
6. Section H - Job Creation Table Operating Measurement Period (redacted)
7. Section J - Appendices (redacted)
8. Section J - Ownership Bid Response (redacted)
9. Section J - Skills Development Plan (redacted)
10. Section J - Management Control Bid Response (redacted)
11. Section J - Supplier Development Plan (redacted)
12. Section J - Enterprise Development Plan (redacted)
13. Section K - LOA RM-TA-0145-001 (redacted)
14. SIP 20a Preferred Bidder Karpowership SIP Status RMIPPPP 29032021
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PUBLIC WORKS AND INFRASTRUCTURE
INFRASTRUCTURE SOUTH AFRICA REPUBLIC OF SOUTH AFRICA
Department of Public Works and Infrastructure l Central Government Offices l 256 Madiba Street l Pretoria l Contact: +27 (0)12 406 1627l +27 (0)12 323 7573 Private Bag X9155 l CAPE TOWN, 8001 l RSA 4th Floor Parliament Building l 120 Plain Street l CAPE TOWN l Tel: +27 21 402 2228 Fax: +27 21 462 4592
www.publicworks.gov.za
Chairperson: SIP Steering Committee
STRATEGIC INTEGRATED PROJECT (SIP) 20a EMERGENCY / RISK MITIGATION
POWER PURCHASE PROCUREMENT PROGRAMME (2000 MW) –
ACKNOWLEDGEMENT OF PROJECT STATUS
The Risk Mitigation (Independent) Power Purchase Procurement Programme (RMPPPP)
forms part of the Energy Strategic Integrated Project No. 20, which was gazetted in
Government Gazette 43547 on 24 July 2020. These projects are classified as Strategic
Integrated Projects (SIP) and are to be managed within the requirements as set out in the
Infrastructure Development Act (Act No. 23 of 2014).
As per the announcement of the Honourable Mr. Gwede Mantashe, Minister of the Department
Mineral Resources and Energy (DMRE), on the 18th of March 2021, the following projects
received Preferred Bidder status within the RMPPPP:
i. Karpowership SA Coega (Project No. RM-TA-0145-001)
ii. Karpowership SA Richards Bay (Project No. RM-TA-0145-002)
iii. Karpowership SA Saldanha (Project No. RM-TA-0145-003)
The SIP Steering Committee of 6 November 2020 confirmed that all projects classified with
Preferred Bidder status within the RMPPPP will be regarded as SIP projects to be expedited
in terms of Schedule 2 (Section 17(2)) of the Infrastructure Development Act (Act No. 23 of
2014).
The following individuals from Infrastructure South Africa are responsible for the Energy
Infrastructure Portfolio and SIP 20a, and may be contacted for further assistance:
STRATEGIC INTEGRATED PROJECT No. 20a: RMPPPP
Alvino Wildschutt-Prins Gary King
SIP 20 Lead
[email protected] [email protected]
Mobile: 072 650 2449 Mobile: 063 503 2662 / 082 885 0636
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I hereby request that you please assist the Preferred Bidders with the necessary approvals,
authorisations, licences, permissions and exemptions, as determined within the boundaries of
the Infrastructure Development Act (Act No 23 of 2014). Your assistance will be much
appreciated.
We wish the Preferred Bidders all the best in the development of this project.
Yours sincerely,
Date: 29 March 2021
Distribution-Licence-Application-Form-Coega (MASTER VERSION)(542845.2) (002).pdf
Section D - Coega Powership Single Line Diagram(545101.1).pdf
SIP 20a Preferred Bidder_Karpowership_ SIP Status RMIPPPP 29032021.pdf