SA seeks diversification of energy supply

JOHANNESBURG - The South African government was in a bid to diversify its sources for energy supply, Deputy President Kgalema Motlanthe said on Wednesday.

"Every country in the world whose economy depends on oil will seek to diversify its energy supply with the view of ensuring security of supply in the long term," said Motlanthe.

As an important part of energy, oil has become the bedrock of the economic development in South Africa, nevertheless South Africa is poor in deposits of oil, resulting in  its highly dependence on foreign imports of oil.

The deputy president said South Africa was to continue its efforts to seek more sources for the diversification of the energy supply.

On April 19, Motlanthe visited the western African country of Ghana, pursuing alternative sources of supplies from the new oil markets to maintain its energy demand in growing economy.

"The government has emphasized that its electricity supply technologies should be broadened to other fields for promoting green economy in its Integrated Resource Plan, including gas, nuclear, biomass and renewables like wind, solar and hydro,"said the deputy president.

Motlanthe added the Department of Energy has recently awarded 47 bids for the participation in the Renewable Energy Independent Power Producer program, with an effort to make progress in the provision of alternative energy sources.

At the end of last year, US President Barak Obama signed a bill, expanding its sanctions against Iran to cover its central bank and financial sector with an aim of allowing penalties on foreign banks that settle oil imports with the Iranian central bank.

On March 22, it was reported that South Africa suspended almost all of its oil imports from Iran.

Approximately 25 percent of the overall crude oil in South Africa is imported from Iran, according to data released by South Africa in June last year.