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London
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Sterling, VA
Cape Town
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First published in Southern Africa in 2009 by HSRC Press
Private Bag X9182, Cape Town, 8000, South Africa
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Published in the rest of the world in 2009 by Earthscan
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© 2009 Human Sciences Research Council
The views expressed in this publication are those of the authors. They do not necessarily
reflect the views or policies of the Human Sciences Research Council (‘the Council’)
or indicate that the Council endorses the views of the authors. In quoting from this publication,
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Southern Africa
ISBN (soft cover) 978-0-7969-2237-3
Rest of the world
ISBN (hard cover) 978-1-84407-714-4
Pdf
ISBN 978-0-7969-2246-5
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Contents
List of tables and figures v
Acronyms and abbreviations viii
Acknowledgements xiv
Introduction: The importance of being electric xv
David A McDonald
1 Electric capitalism: Conceptualising electricity and
capital accumulation in (South) Africa 1
David A McDonald
2 Escom to Eskom: From racial Keynesian capitalism to
neo-liberalism (1910–1994) 50
Leonard Gentle
3 Market liberalisation and continental expansion: The repositioning
of Eskom in post-apartheid South Africa 73
Stephen Greenberg
4 Cheap at half the cost: Coal and electricity in South Africa 109
Richard Worthington
5 The great hydro-rush: The privatisation of Africa’s rivers 149
Terri Hathaway and Lori Pottinger
6 A price too high: Nuclear energy in South Africa 180
David Fig
7 Renewable energy: Harnessing the power of Africa? 202
Liz McDaid
8 Discipline and the new ‘logic of delivery’: Prepaid electricity
in South Africa and beyond 229
Peter van Heusden
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9 Free basic electricity in South Africa: A strategy for helping
or containing the poor? 248
Greg Ruiters
10 Power to the people? A rights-based analysis of South Africa’s
electricity services 264
Jackie Dugard
11 Still in the shadows: Women and gender relations in the
electricity sector in South Africa 288
Wendy Annecke
12 From local to global (and back again?): Anti-commodification
struggles of the Soweto Electricity Crisis Committee 321
Prishani Naidoo and Ahmed Veriava
13 South African carbon trading: A counterproductive climate
change strategy 338
Patrick Bond and Graham Erion
14 Electricity and privatisation in Uganda: The origins of the crisis
and problems with the response 359
Christopher Gore
15 Connected geographies and struggles over access: Electricity
commercialisation in Tanzania 400
Rebecca Ghanadan
Conclusion: Alternative electricity paths for southern Africa 437
David A McDonald
Epilogue 454
Appendix 1: Electricity 101 459
Derek Brine
Appendix 2: Absolute and relative electricity profiles 479
Notes on contributors 484
Index 486
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List of tables and figures
Tables
Table 1 Benefits of electricity as they relate to the Millennium Development
Goals xvii
Table 1.1 Electrical appliance ownership in South Africa (percentages),
by race, 2006 17
Table 1.2 Southern African Power Pool membership, 2006 31
Table 1.3 Electricity capacity in Africa, by region, 2005 33
Table 2.1 Electricity sales in South Africa, by company, 1939 55
Table 2.2 Electricity generation capacity growth in South Africa, 1961–1992 63
Table 4.1 Eskom’s coal-fired power stations, 2004 120
Table 4.2 IEA energy statistics for sub-Saharan African countries, 2003 125
Table 4.3 Toxic effects of selected power plant pollutants on humans 127
Table 4.4 Environmental impacts of Eskom electricity generation, 2004–2005 129
Table 4.5 Air emissions from South Africa’s main energy producers
(tons), 2004 130
Table 4.6 Fuel combustion CO
2
emissions by intensity and per capita, 2000 131
Table 4.7 Sector emissions in South Africa, 1990 and 1994 131
Table 4.8 Summary of external costs of Eskom electricity generation, 1999 135
Table 4.9 Summary of external costs of Eskom electricity generation (per unit),
1999 136
Table 7.1 Job-creation potential of renewable and non-renewable energy
technologies 206
Table 7.2 Comparative contribution of renewables to total energy demand
(percentage), 2050 212
Table 7.3 Comparison of solar water heaters and the pebble bed technology
nuclear reactor 213
Table 9.1 Energy used, by appliance 252
Table 9.2 Households receiving free basic electricity services from municipalities,
2003–2004 256
Table 13.1 Energy sector carbon emissions, 1999 352
Table 15.1 Shifts from state-led development to market-led provision
in electricity 404
Table 15.2 Key elements of Tanzania’s electricity reforms, as of
December 2006 405
Table 15.3 South African electricity prepayment meters in Africa, 2005 409
v
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Table 15.4 A summary of Tanzania’s electricity sector development,
1908–2005 413
Table 15.5 Service connections, 2002–2005 422
Table 15.6 Household strategies for dealing with increasing energy costs 424
Table 15.7 Local electricity conditions in Manzese, Dar es Salaam, 2005 427
Table 16.1 Typology of public–public partnerships 446
Table A1.1 Resistivity of some materials at 20 °C 461
Table A1.2 Voltage and frequency standards in selected countries 465
Figures
Figure 1.1 Projected time frames for electricity demand and capacity development
in South Africa 30
Figure 1.2 Southern African Power Pool transmission networks (existing
and planned) 32
Figure 1.3 African regional power pools – CAPP, EAPP, SAPP and WAPP 33
Figure 1.4 A continental distribution network 34
Figure 1.5 Planned Western Power Corridor Project 35
Figure 3.1 Eskom employment, 1990–2005 84
Figure 3.2 Eskom and local government electricity connections, 1991–2005 86
Figure 3.3 Average cost per connection, 1992–2006 88
Figure 3.4 Eskom Enterprises after-tax profit/loss, 2000–2005 92
Figure 3.5 Eskom in Africa, 2003 93
Figure 4.1 Sectoral breakdown of electricity use in South Africa (GWh), 2002 119
Figure 4.2 Electrical generation capacity of existing plants in South Africa,
1995–2055 121
Figure 4.3 Southern African recoverable coal reserves (million short
tons), 2003 123
Figure 4.4 Employment in coal-based electricity generation in South Africa,
1980–2000 133
Figure 7.1 Comparison of carbon dioxide emissions per capita, 2001 204
Figure 7.2 Renewables scenario, 2050: how electricity demand would be met 207
Figure 14.1 Existing and proposed large hydro-electric facilities in Uganda 360
Figure 15.1 Political cartoon critiquing legitimacy of private electricity
generators 411
Figure 15.2 Tanesco revenue collections, 2002–2005 416
Figure 15.3 Electricity disconnections, 2002–2005 417
Figure 15.4 Utility public relations announcements, 2005 419
Figure 15.5 Household cooking cost comparisons using various fuels,
1990 versus 2005 426
Figure A1.1 Fundamental electric generator 466
Figure A1.2 Typical commercial electric generator structure 467
Figure A1.3 The Rankine cycle 469
Figure A1.4 The Brayton cycle 472
E L E C T R I C C A P I TA L I S M : R E C O L O N I S I N G A F R I C A O N TH E P O W E R G R I D
vi
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Figure A1.5 Combined cycle gas-turbine 473
Figure A1.6 Hydro-electric power plant schematic 474
Figure A1.7 Electrons and current flow in solar cells 476
Figure A2.1 Access to electricity 480
Figure A2.2 Electricity production (all types) 480
Figure A2.3 Electricity production (hydro) 481
Figure A2.4 Electricity production (oil) 481
Figure A2.5 Electricity production (gas) 482
Figure A2.6 Electricity production (coal) 482
Figure A2.7 Electricity production (nuclear) 483
vii
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viii
Acronyms and abbreviations
ACHPR African Charter on Human and Peoples’ Rights
AEB Atomic Energy Board (1949–1970)
AEC Atomic Energy Corporation (1970–1999)
AES Allied Energy Systems
AESNP AES Nile Power
AfDB African Development Bank
AFREC African Energy Commission
AMEU Association of Municipal Energy Undertakings
ANC African National Congress
APF Anti-Privatisation Forum
ARN African Rivers Network
ASGISA Accelerated and Shared Growth Initiative for South Africa
BEE black economic empowerment
BPC Botswana Power Corporation
BSA British South Africa Company
CALS Centre for Applied Legal Studies
CANSA Campaign Against Neoliberalism in South Africa
CAPP Central African Power Pool
CCS carbon capture and storage
CCT City of Cape Town
CDM Clean Development Mechanism
CEDAW Convention on the Elimination of All Forms of Discrimination
Against Women
CEF Central Energy Fund
CER Certified Emissions Reduction
CESCR United Nations Committee on Economic, Social and Cultural Rights
CHP combined heat and power generation
COMESA Common Market for Eastern and Southern Africa
COP Conference of Parties
Cosatu Congress of South African Trade Unions
CSIR Council for Scientific and Industrial Research
DBSA Development Bank of Southern Africa
DEAT Department of Environmental Affairs and Tourism
DfID Department for International Development
DG Director-General
DME Department of Minerals and Energy
DNA Designated National Authority
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ix
A C R O N Y M S A N D A B B R E V I AT I O N S
DOE Designated Operational Entity
DPE Department of Public Enterprises
DPLG Department of Provincial and Local Government
DRC Democratic Republic of the Congo
DWAF Department of Water Affairs and Forestry
EAC East African Community
EAP&L East African Power and Lighting Company
EAPP East African Power Pool
ECB Electricity Control Board
ECCAS Economic Community of Central African States
ECOWAS Economic Community of West African States
EDI Electricity Distribution Industry
EdM Electricidade de Moçambique
EDRC Energy for Development Research Centre
EIA environmental impact assessment
EIB European Investment Bank
ENE Empresa Naçional de Electricidade
ERA Electricity Regulatory Authority
ERIC Electricity Restructuring Inter-departmental Committee
ERP Economic Recovery Programme
Escom/Eskom Electricity Supply Commission
ESMAP Energy Sector Management Assistance Programme
ESP electrostatic precipitator
ET Africa Eskom Telecommunications Africa
EU European Union
EWG Electricity Working Group
EWURA Energy and Water Utilities Regulatory Authority
FBC fluidised bed combustion
FBE free basic electricity
FEMA Forum for Energy Ministers of Africa
FGD flue gas desulphurisation
GDP gross domestic product
GE genetically engineered
GEAR Growth, Employment and Redistribution strategy
GECOL General Electricity Company of Libya
GEPC General Electric Power Company Limited
GESCO Global Electricity Services Company
GHG greenhouse gas
GHS General Household Survey
GNU Government of National Unity
GVA Gross Value Added
HCB Hidroelectrica de Cahora Bassa
HSRC Human Sciences Research Council
IA Implementation Agreement
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x
E L E C T R I C C A P I TA L I S M : R E C O L O N I S I N G A F R I C A O N TH E P O W E R G R I D
ICA Infrastructure Consortium for Africa
ICEM International Federation of Chemical, Energy, Mine and General
Workers’ Unions
ICESCR International Covenant on Economic, Social and Cultural Rights
ICRAF World Agroforestry Centre
IDA International Development Association
IDC Industrial Development Corporation
IEA International Energy Agency
IEP Integrated Energy Planning
IFC International Finance Corporation
IGCC Integrated Gasification Combined Cycle
IGG Inspector-General of Government
IHA International Hydropower Association
IIEC International Institute for Energy Conservation
IMF International Monetary Fund
INEP integrated national electrification programme
IPCC Intergovernmental Panel on Climate Change
IPP Independent power producer
IPPF Infrastructure Project Preparation Facility
IPTL Independent Power Tanzania Ltd
IRN International Rivers Network
Iscor Iron and Steel Corporation
IT information technology
IUCN World Conservation Union
JI Joint Implementation
LNB low-NO
x
burners
MDG Millennium Development Goal
MEC minerals-energy complex
MIG Municipal Infrastructure Grant
MIGA Multilateral Investment Guarantee Agency
MP Member of Parliament
MTEF Medium Term Expenditure Framework
Naledi National Labour and Economic Development Institute
NAPE National Association of Professional Environmentalists
NBI Nile Basin Initiative
NECSA Nuclear Energy Corporation of South Africa
NELF National Electrification Forum
NEMA National Environmental Management Authority
NEP national electrification programme
NEPA National Electric Power Authority
NEPAD New Partnership for Africa’s Development
NERSA National Energy Regulator of South Africa
NFA National Framework Agreement
NGO non-governmental organisation
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[...]... electric capitalism ? Why use the phrase electric capitalism ? It is not an unproblematic concept For one thing, electricity is not ‘necessary’ for capitalism Capitalism began before the advent of electricity, and it continues to operate – at least indirectly – in many parts of the world without it The fact that fewer than 20 per cent of Africans have access to electricity – and as few as 2 per cent... capitalism Oil is perhaps an even more critical requirement than electricity for capitalist production One could, therefore, write about ‘oil capitalism (as indeed many 3 E L E C T R I C C A P I TA L I S M : R E C O L O N I S I N G A F R I C A O N T H E P O W E R G R I D have; see for example Apter 2005; Rutledge 2006; SLM 2005) So, too, could one write of water capitalism, wood capitalism, iron capitalism. .. this sense, electricity is a fluke of history, not an ontological category in the development of capitalist relations of production Electric capitalism has no unique conceptual claim to understanding the dynamics of capitalist production Free download from www.hsrcpress.ac.za And yet, there is something remarkably synergistic about electricity and capitalism Metaphorically at least, electricity symbolises... the use (and abuse) of electricity is not restricted to neo-liberal capitalist modes of production It has been employed in radically different socioeconomic projects, from German fascism to Soviet communism to contemporary ‘state capitalism in China, all with their own demands and (il)logics when it comes to the use of electricity Finally, had electricity not been invented, capitalism would simply... http://siteresources.worldbank.org/INTENERGY/Resources/Rural_Energy_Development_ Paper_Improving_Energy_Supplies.pdf xxiii Free download from www.hsrcpress.ac.za CHAPTER 1 Electric capitalism: Conceptualising electricity and capital accumulation in (South) Africa David A McDonald On a global scale, the South African economy is uniquely dependent on electricity and is uniquely electricity-intensive (Fine & Rustomjee 1996: 8) A short circuit on a high-voltage transmission line... electricity use’ in that country (EETD 1998) Debates rage about how much electricity is consumed by these products – especially by computers (Koomey et al 2002) – but few would deny that the proportion of consumer products dependent on electricity has gone up significantly and will probably continue to do so for the foreseeable future, creating increased demands for electricity generation, if not electricity... and the ways in which it is managed have changed dramatically, making electricity as subject to the cyclical forces of capitalist crises as any other resource Electricity and capital accumulation in South(ern) Africa Nowhere is this link between capitalism and electricity more relevant than in South Africa Since the introduction of electricity to the mining town of Kimberley in 1882 (electrified even... families to cut themselves off from electricity by terminating their consumption at the point when they can no longer afford to buy more Greg Ruiters examines the South African government’s ‘free basic electricity’ programme in Chapter 9 Introduced as an ANC election promise in 2000, free basic electricity in the form of a free block of 50 kilowatt-hours (kWh) of electricity per household per month... substantively address the enormous inequalities in electricity access in the country Chapter 10 looks at electricity-related legislative and constitutional developments in South Africa and explores how socio-economic rights are affected by electricity commercialisation Constitutional expert Jackie Dugard notes that there are no explicit constitutionally defined rights to electricity, as there are for water and... Technology Services International Uganda Bureau of Statistics Uganda Commercial Bank underground coal gasification United Democratic Front Uganda Electricity Board Uganda Electricity Distribution Company Ltd Uganda Electricity Generation Company Ltd Uganda Electricity Transmission Company Ltd United Nations UN-Energy/Africa United Nations Environment Programme United Nations Framework Convention on . xiv
Introduction: The importance of being electric xv
David A McDonald
1 Electric capitalism: Conceptualising electricity and
capital accumulation in (South). 480
Figure A2.3 Electricity production (hydro) 481
Figure A2.4 Electricity production (oil) 481
Figure A2.5 Electricity production (gas) 482
Figure A2.6 Electricity
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