Crude oil price hikes and issues for energy security for Southern Africa

This paper addresses a number of issues related to crude oil prices, focusing on Southern Africa. It begins by analysing oil price movements from 1970 to 2008, and examines various factors that may have contributed to the sharp rise and fall in prices. A characteristic feature in the oil market is the time lags it takes to react to price changes. A high oil intensity of GDP makes the economy vulnerable to oil price increases, so that countries with a high oil/GDP ratio are harder hit than others. There are two main issues for energy security: first, on whether the potential use of the oil weapon can be taken seriously; and second, how to minimize vulnerability to oil supply shocks by reducing oil dependence and by a developing or enlarging a strategic stockpile of oil

Consumer choice in an energy efficient lighting context

Wide use of compact fluorescent lamps (CFLs) offers opportunity for residential savings withfavourable environmental benefits. The size of the South African residential market shows that thereare strong opportunities to be optimised. To exploit such opportunities, it is important to look at strate-gies that influence independent and interdependentconsumer choice in lighting, and to examine how far these strategies have been successful in promoting the market penetration of CFLs. While this is so,there are some areas of concern about the performance of the product that have to be addressed, as well as need for public action arising from external diseconomies of consumption

Consumer choice in an energy efficient lighting context

Wide use of compact fluorescent lamps (CFLs) offers opportunity for residential savings with favourable environmental benefits. The size of the South African residential market shows that there are strong opportunities to be optimised. To exploit such opportunities, it is important to look at strategies that influence independent and interdependent consumer choice in lighting, and to examine how far these strategies have been successful in promoting the market penetration of CFLs. While this is so, there are some areas of concern about the performance of the product that have to be addressed, as well as need for public action arising from external diseconomies of consumption

Energy security and liquid fuels in South Africa

South Africa relies heavily on imported crude oil. Domestic sources and available substitutes alone cannot satisfy the country’s current demand, resulting in imported crude oil accounting for over 90% of South Africa’s requirements. This high level of dependence on imported crude oil exposes the economy to potential events that either interrupts supplies or leads to higher oil prices thereby undermining economic growth and development. Widening diversity of supply, demand-side measures and maintaining strategic inventories will strengthen energy security

Consumer choice in an energy efficient lighting context

Wide use of compact fluorescent lamps (CFLs) offers opportunity for residential savings with favourable environmental benefits. The size of the South African residential market shows that there are strong opportunities to be optimised. To exploit such opportunities, it is important to look at strategies that influence independent and interdependent consumer choice in lighting, and to examine how far these strategies have been successful in promoting the market penetration of CFLs. While this is so, there are some areas of concern about the performance of the product that have to be addressed, as well as need for public action arising from external diseconomies of consumption

Energy policies for sustainable development in South Africa: options for the future

The purpose of this publication is to present a profile of energy in South Africa, assess trends and analyse some options for the future. It is divided into two parts – Part I presents a profile of energy and sustainable development in South Africa, while Part II uses modelling tools and indicators to assess future policy options for the country

Capacity building in analytical tools for estimating and comparing costs and benefits of adaptation projects

The broad objective of AIACC project 47 was to develop the capacity to estimate and compare the benefits and costs of projects in natural resource sectors that reduce the expected damages from climate change in Southern and West Africa. There are two parts to this project. The first consists of using well-established principles from economic benefit-cost analysis to develop a framework to estimate the economic benefits and costs associated with the expected climate change damages avoided by a development project that does not take climate change into account. Then, these benefits and costs can be compared to the case where planners incorporate expected climate change into the project assessment. The second part consists of demonstrating this methodology in two project case studies, one in The Gambia and the other in South Africa. The South African case study examines the benefits and costs of avoiding climate change damages through structural and institutional options for increasing water supply in the Berg River Basin in the Western Cape Province. The Gambian study, on the other hand, focuses on the agricultural sector, particularly on millet, the predominant crop in the country. To facilitate analysis, the Gambian study uses a detailed water–crop model, defines and explores adaptation strategies with the model and uses the results to carry out an economic analysis. The South African project develops and applies a Berg River Dynamic Spatial Equilibrium Model as a water planning and policy evaluation tool to compare benefits and costs and economic impacts of alternatives for coping with longterm water shortages due to climatic change. Results from the study will contribute to the development of international climate change policies and programs, particularly in regard to adaptation activities in developing countries under the United Nations Framework Convention on Climate Change (UNFCCC)