Professional Documents
Culture Documents
Linda Forbes
Module G11EC
Energy in the 21st Century
Lecturer: Dr Sandy Kerr
Scotland
Coal mining, possibly Scotland’s oldest major industry1, stretching back to the 12th century,
required substantial investment post-World War II consisting as it did of fragmented privately-
owned operations with little money. To achieve this, the industry was nationalised in 1947
under the banner of the National Coal Board, finally returning to the private sector following
the miners’ strike of 1984. Scotland’s last deep mine, Longannet, closed in 20022, whereas
Scottish Coal exploits around 4 million tonnes of coal3 annually at a number of opencast sites
in the Central Belt.
Scotland’s second energy windfall, in the form of oil, was as a consequence of the first
discoveries in the North Sea in 19654, with strikes in the Forties and Brent fields thereafter.
The optimism and expectation of prosperity arising from these finds were key features of this
period, with ‘It’s Scotland’s oil’ becoming the rallying cry of the SNP as calls for
independence from the Union reached their height.
The face of the British energy industry began to change in the 1980s when British Gas was
privatised by the Thatcher government, then followed by the break-up and sale of the Central
Generating Board and regional electricity boards in the 1990s, and culminated in the sale of
British Energy, owner of UK nuclear power plants, to Electricite de France (EDF) in 2008.
Fulfilling a Labour Party manifesto promise of 1997, devolution was granted to Scotland
following a positive referendum of the Scots; with the Scottish Parliament coming into being
in 2000. Westminster reserved to itself a range of portfolios subject to UK-wide decision-
making, whilst others became the responsibility of the devolved authority under the Scotland
Act. Although responsibility for legislation on energy
matters lies with Westminster, the Scottish
Executive (or Government, as it has renamed itself
following the SNP’s ascension post-election) has
substantial influence, using its devolved powers to
manage the planning regime. A clear example is the
differences between UK and Scottish parliaments
with regard to the building of new nuclear reactors.
South Africa
5
Founded as a state in 19106, some years after the
Second Boer War between Britain and Dutch
settlers, it was not until 1994 that the first multi-racial
Endowed with substantial coal and uranium reserves, South Africa’s reliance on energy from
coal increased during the apartheid years as sanctions constrained the availability of
petroleum products from overseas. The Fischer-Tropsch7 process, which converts coal and
gas to liquid fuels, was commercialised by Sasol8 from the 1950s – then a state-owned
organisation, now privatised.
Spain
9
Spain, as sovereign state, comprises a number of
autonomous regions with their distinctive characters.
Each has their own government, with varying
degrees of autonomy and economic success.
Regions such as Catalonia and Asturias have
industrial histories in engineering, shipbuilding, and
coal mining, whereas Andalucia is focused on
agriculture. Internal tensions exist: the Basque
Country seeks complete independence from the
Spanish government in Madrid, punctuated by violent
attacks on politicians, the judiciary, and tourists.
*TPES – Total Primary Energy Supplied; GDP – Gross Domestic Product; PPP – Purchasing Power Parity
Future demands
None of the countries being studied are energy reserves independent, therefore energy
efficiency improvements and reductions in emissions intensity are essential weapons in
minimising energy insecurity, the need for additional generating capacity, and ultimately, the
burning of fossil fuels. If demand can be subdued by thoughtful innovation then renewable
energy is more likely to be able to meet a larger percentage of their energy needs in future.
South Africa’s target is 13% reduction in energy demand through efficiencies, whereas
Scotland and Spain are constrained by the EU Directive on energy end-use efficiency and
energy services with its 9% target by 2015. All must consider the key sectors to address
namely buildings – in use (heating/cooling) and in construction (embodied energy of
materials/curing of cement); industry and commerce – their design and manufacturing
processes, and transport – public transport systems, development of alternative fuels and
motive power, and more efficient vehicles. As fossil fuel resources reach the point of
depletion, those remaining should be reserved for uses which maximise their unique
characteristics, rather than burning them as fuel.
The Scottish Energy Study11 posits continuing declines in energy use by Scottish consumers,
while that of industry and transport both increase by 15% between 2005 and 2020.
South Africa
Generally, energy supply is state-controlled within South Africa, although proposals to
privatise some elements of
distribution have been made.
Furthermore, a substantial proportion
of energy use is casual and
uncountable in the traditional
statistical manner: data collection
prior to 1996 being influenced by
apartheid. The latest information on
consumption12 is graphed here:
South Africa’s
industrial needs for
energy are high:
whereas both
Scotland and Spain
show a closer correlation between energy use for industry and that of other sectors.
However, given the relative disconnectedness of South Africa’s residential sector to the grid
this comparison may not be valid and requires further investigation.
Spain
The last thirty-five years has
seen a trebling of Spain’s
energy use, and is
particularly marked after
joining the EU. The increase
in demand in the transport
sector is believed to be
partly due to the growth of
Spain’s tourist industry, and
as its location as an
interconnecting country
between Europe and Africa,
while the expansion of the
service sector has also
contributed to the general energy-use increase18.
Spain’s import
dependency ratio
exceeds 80% of primary
19
energy , with the
majority of imports being
oil and gas coming from
Algeria by interconnector
pipeline via Morocco,
Nigeria, Russia and
Mexico20.
Scotland
The graph above, showing UK electricity generation, displays clearly the effect of the miners’
strike on coal use in 1984 and the move to gas-fired power stations from the early 1990s.
However, the picture in Scotland is somewhat different (below); with a generating capacity of
~6GW and being more reliant on nuclear power than gas. Electricity is distributed by licensed
companies within the private sector while maintenance of the network is undertaken by
National Grid plc.
However, a challenge in the renewables age is that resources are often to be found in areas
where the network is at its weakest – thus requiring substantial additional investment to
access new generation capacity. The proposal to build a new overhead line from Beauly to
Denny has encountered opposition. Feasibility studies are now considering an undersea
interconnector cable, costing in the region of £4.8bn, being laid between Shetland and the
mainland in Norfolk to support future supplies from offshore wind, wave, and tidal
generation26.
South Africa
Eskom, wholly-owned by the South African Government, currently generates 96% of South
Africa’s electricity (234,600GWh in 2006) and operates the national grid. However, rising
demand has led to ‘load shedding’ since 2007, with times when consumers should expect
power cuts being publicised on Eskom’s website. As a consequence of this shortfall in
capacity, resulting from underinvestment in plant and maintenance, Eskom has ceased
activity as an electricity exporter, impacting both on the local economy and those of other
Southern African countries.
Load shedding is a protective measure: if it did not occur then a regional or national blackout
is likely. To maintain supplies, Eskom first cuts power to organisations with an agreed flexible
loading tariff, then brings online additional power from standby hydro-electric and gas turbine
resources, and increases load factors at other power stations. This adds a further 3.5GW to
the grid but cannot be maintained indefinitely. New generation capacity of around 1GW27 is
expected to be online by next year but will make little impact overall.
The importance of coal to South African electricity generation is clear – 93% is generated
from this fuel with nuclear power at 5%, and other sources such as hydro, oil and renewables
providing only 2%28. And while a replacement for the Kyoto Protocol has yet to be
ESKOM also has responsibility for generation and transmission, while the final distribution to
consumers is delivered through a large number of small local electricity departments or other
suppliers.
When the current cycle of government investment is complete, South African generation
capacity will have doubled to 80GW and the distribution infrastructure improved to meet the
future needs of its population – many of whom do not have access to safe electricity
supplies. EDI Holdings29 was created to restructure the existing electricity distribution
network into six regional electricity distribution companies, with the twin aims of improving
efficiency and access to supplies, and in line with the Universal Access by 2012 policy
announced by Thabo Mbeki in 2004.
Six new power stations (two coal-fired, two gas turbines, two pumped storage) are being built
with some older plant being recommissioned30. A new 4000MW nuclear reactor has been
proposed; and plans for a nuclear Pebble Bed Modular Reactor to be operational by 2016
are in place31. South Africa’s need for energy in the future is such that nuclear may supply a
large percentage of its generating capacity in future: she has uranium deposits of 284,000
tonnes32, but currently operates only two nuclear power stations, rated at 1842MW in total.
Currently not an Annex I country as defined under the Kyoto Protocol, South Africa can avail
itself of carbon credit projects under the Clean Development Mechanism. Subject to these
meeting the various criteria defined by the UNFCCC methodologies and South Africa’s own
on sustainable development, energy projects can attract financial support in building new
power stations, implementing energy efficiency programmes (such as in Kuyasa township
outside Cape Town), or developing renewable energy generation capacity, for example.
Fourteen projects have been approved to date, saving 2.5 million tonnes of CO2 emissions
annually36 and contributing revenue from sales of the credits to support the investment.
Spain
The electricity market is liberalised with two major companies, Endesa and Iberdrola (who
also owns ScottishPower) providing 75% of generation capacity37. Generation split into two
categories – regimen ordinario for fossil-fuel generation, and regime especial for that
generated from renewables (see table38 below). Generation in the Canaries and Balearics is
shown separately: a 400kV interconnector to Majorca is planned for completion by 2010,
coming ashore near
Valencia39.
Transmission networks are the responsibility of Red Electrica de Espana (Spanish Electricity
Network), which 20% is state-owned, while generators are limited to owning not more than
3% of REE42. The final
distribution to consumers
is undertaken by a large
number of small
operators, as is the case
in South Africa.
Generation from nuclear is gradually being phased out by a moratorium on new builds. The
sustainability of hydropower generation is also being questioned: droughts, possibly as a
consequence of climate change, have affected reservoir levels badly in recent years. But the
development of large parks in the south using concentrating solar technology holds promise
for future supply. Both Andasol 1 (50MWe) in Granada and PS10 (11MW) in Seville are
operational, with a further 387MW under construction and plans for 1730MW having been
announced45.
Conclusions
While electricity consumption within the UK has grown by under 40% in the thirty-five year
period under consideration, that of Spain and South Africa has increased by a multiple of
approx five, reflecting differing starting points between mature and emerging economic and
political situations. All three countries are, however, making efforts to reduce greenhouse gas
emissions, with both Scotland and Spain required to do so under the Kyoto Protocol, while all
continue to rely on fossil fuels to a smaller or greater extent in the meantime.
The dependence on imported gas is common to all three, with new pipelines being
constructed in the North Sea and across the Mediterranean, whereas only South Africa is
choosing to expand its nuclear power programme. It remains to be seen whether or not
Scotland can resist the pressures from Westminster to replace its ageing nuclear plant.
Hydropower forms part of the energy strategy of all three; Scotland having reached maturity
in this regard with little opportunity for large-scale expansion since the addition of Glendoe;
South Africa uses its facilities for pumped storage, and is increasingly having water level
problems due to drought (impacts which may increase with climate change) as has Spain in
recent years.
Spain is developing a substantial Concentrating Solar Power industry in its poorer south,
while South Africa – with some of the world’s highest solar insolation values – is also
exploring this technology. The use of off-grid solar thermal, and to a lesser extent solar PV, is
encouraged across South Africa, particularly in more remote areas where grid infrastructure
is poor. Transmission networks in all three countries require major investment and
strengthening to meet future demand and distribution.
Scotland’s early lead in wave power experiments (Salter’s ducks) is being encouraged,
slowly, into full-scale reality by government, while research into tidal stream generation is
supported through the creation of EMEC – let us not ignore energy opportunities a second
time. And while South Africa’s unique expertise in coal-to-oil transformation adds to its CO2
emissions intensity now, it’s part of a country’s individual response to its population’s energy
needs: CCS may render it an acceptable part of future fuel mix.
1
National Archives of Scotland. (2008). Coal Mining Records. Available at http://www.nas.gov.uk/guides/coalmining.asp
Accessed on 3rd December 2008.
2
Health & Safety Executive. (2002). The circumstances surrounding the flooding of the Longannet Complex Mine, Fife,
rd
Scotland. Available at www.hse.gov.uk/mining/longannet.pdf Accessed on 3 December 2008.
3 rd
Scottish Resources Group. (2008). The Company. Available at http://www.scottishcoal.co.uk/SCCL/index.htm Accessed on 3
December 2008.
4
BBC On This Day. (2008). 1965: Sea Gem oil rig collapses. Available at
http://news.bbc.co.uk/onthisday/hi/dates/stories/december/27/newsid_4630000/4630741.stm Accessed on 3rd December 2008.
5 rd
South Africa – map image. (2008). Available at http://www.state.gov/p/af/ci/sf/ Accessed on 3 December 2008.
6
Boody-Evan, A. (2008). Union of South Africa. Available at http://africanhistory.about.com/od/southafrica/a/UnionSA.htm
Accessed on 3rd December 2008.
7
Wikipedia. (2008). Fischer-Tropsch process. Available at http://en.wikipedia.org/wiki/Fischer-Tropsch Accessed on 3rd
December 2008.
8
Wikipedia. (2008). Sasol. Available at http://en.wikipedia.org/wiki/Sasol Accessed on 3rd December 2008.
9
Spain – map image. (2008). Available at http://www.state.gov/r/pa/ei/bgn/2878.htm Accessed on 3rd December 2008.
10
BERR. (2008). Regional and local authority electricity consumption statistics 2005, 2006. Department for Business, Enterprise
and Regulatory Reform. London.
11
AEA. (2008). ‘Chapter 5’ in Scottish Energy Study. Scottish Government. Edinburgh.
12
Department of Minerals and Energy. (2006). Aggregated Balance. Available at
www.dme.gov.za/pdfs/energy/statistics/Me/Ag.xls Accessed on 4th December 2008.
13
Energy Information Administration. (2008).Country Analysis Briefs. South Africa. Available at
http://www.eia.doe.gov/emeu/cabs/South_Africa/Oil.html Accessed on 3rd December 2008.
14
Department of Minerals & Energy. (2007). Annual Report 2006/07. South Africa Department of Minerals & Energy. Available
rd
at http://www.info.gov.za/view/DownloadFileAction?id=72590 Accessed on 3 December 2008.
15
South African Government Information. (2008). State of the Nation Address to the President. Available at
http://www.info.gov.za/speeches/2008/08020811021001.htm Accessed on 4th December 2008.
16
Marquand, A., Bekker, B., Eberhard, A., and Gaunt, T. (2007). South Africa’s Electrification Programme. An Overview and
Assessment. Graduate School of Business, University of Cape Town. South Africa. Available at
rd
www.gsb.uct.ac.za/gsbwebb/mir/documents/SAElectrificationworkingpaperfinal.pdf Accessed on 3 December 2008.
17
Statistics South Africa. (1996). The People of South Africa. Population Census 1996. Statistics South Africa, Pretoria.
18
IDEA. (2006). Energy Efficiency Policies and Measures in Spain 2006. Ministry of Industry, Tourism and Commerce. Madrid.
19
Second Strategic Energy Review. (2008). ‘Europe's current and future energy position: Demand – resources – investments’ in
An EU Energy Security and Solidarity Action Plan. The Commission to the European Parliament, the Council, the European
Economic and Social Committee and the Committee of the Regions. Brussels.
20
Eurostat. (2007). Spain – Energy Mix Fact Sheet. Available at
th
ec.europa.eu/energy/energy_policy/doc/factsheets/mix/mix_es_en.pdf Accessed on 4 December 2008.
21
Wikipedia. (2008). Energy Policy of the UK. Available at http://en.wikipedia.org/wiki/Energy_policy_of_the_United_Kingdom
rd
Accessed on 3 December 2008.
22
Scottish Government. (2008). Electricity generated by energy source. Available at
http://www.scotland.gov.uk/Topics/Statistics/Browse/Environment/seso/sesoSubSearch/Q/SID/98 Accessed on 3rd December
2008.
23
Second Strategic Energy Review. (2008). ‘Europe's current and future energy position: Demand – resources – investments’ in
An EU Energy Security and Solidarity Action Plan. The Commission to the European Parliament, the Council, the European
Economic and Social Committee and the Committee of the Regions. Brussels.
24
Marshall, H. (2008). ‘New Norway-UK gas pipeline opens’ in Energy Business Review. Available at http://www.energy-
rd
business-review.com/article_news.asp?guid=6F0BF81C-C9BE-4A40-8480-AA7B0D40C369 Accessed on 3 December 2008.
25
AEA. (2008). ‘Chapter 5’ in Scottish Energy Study. Scottish Government. Edinburgh.
26
The Crown Estate. (2008). Report reveals potential of East Coast Electricity Line. Available at
http://www.thecrownestate.co.uk/newscontent/92-connectivity-offshore-power-transmission-2.htm Accessed on 4th December
2008.
27
African Economic Outlook. (2008). ‘South Africa’ in African Economic Outlook. OECD Development Centre, Paris; African
Development Bank, Abidjan; United Nations Economic Commission for Africa, Addis Ababa.
28
Standard Bank. (2007). Economic Profile. South Africa. Available at
rd
www.apsacc.org/UserFiles/File/PDF/Economic%20Profile%20of%20South%20Africa%202007.pdf Accessed on 3
December 2008.
29
Nzimande, P. (2005). Restructuring for Developmental Local Government. Available at
rd
www.ameu.co.za/library/restructuring/EDI%20%20Local%20Govt%20Nzimande.pdf Accessed on 3 December 2008.
30 th
Eskom. (2008). New Build Programme. Available at http://www.eskom.co.za/live/content.php?Item_ID=5981 Accessed on 4
December 2008.