Eskom   Annual Report 2008
 
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Impact on the Environment  
   
 
 

Message from the Eskom Chairman – Valli Moosa

This is not an easy business environment for Eskom’s new management team. There are six key challenges that needed urgent attention – keeping the lights burning on the back of inadequate reserve margin; addressing artificially low tariffs; building new generation and transmission capacity to meet the rising demand for electricity; mobilising all South Africans to become more energy efficient; responding to climate change imperatives; and mobilising all three spheres of government.

It is my sincere wish that South Africa as a nation will also become an integral part of the solution to the challenges at hand and will work with Eskom. Let us all conserve our vital energy sources – the lifeblood of our economy.  Together, let’s build the power base for sustainable growth and development.

 
 
 

Message from the Eskom Chief Executive – Jacob Maroga

While our current focus is understandably on responding to the demand for electricity we continue to ensure that overall good practices are in place and that we do not take our attention off our triple bottom line.

 
 

Introduction

Eskom is controlled by various independent regulators including the National Energy Regulator of South Africa (Nersa) and the National Nuclear Regulator (NNR), the Department of Water Affairs and Forestry as well as the Chief Air Pollution Control Officer (Capco) from the Department of Environmental Affairs and Tourism (DEAT). These independent regulators protect the public interest and regulate Eskom’s activities to ensure effective environmental protection. This is achieved, among others, through the issuing of authorisations for construction, permits and licences for particulate emission releases and water usage.

South Africa is a signatory to the United Nations Framework Convention on Climate Change (UNFCCC) and its implementing mechanism, the Kyoto Protocol. As a developing country, there are no binding obligations as yet for South Africa to reduce greenhouse gas emissions. However, there is increasing in-country commitment for development to be carried out in a sustainable manner that will result in benefit to the economy, society and the environment and that is compatible with actions required to combat climate change. It is important that South Africa actively contributes to global efforts to combat climate change while ensuring the sustainability of the economy and society.

Currently, South Africa is reliant on coal to generate the bulk of its electricity.  Coal resources in South Africa are abundant, and Eskom’s coal-fired power stations are designed to burn low-grade coal which may not otherwise be used, allowing the provision of low-cost electricity.  The use of coal is, however, not without environmental impacts, including the emission of greenhouse gases (GHG).  In addition, changes in the climate will almost certainly impact on Eskom’s operations, for example in the area of water access.  We concur with the IPCC (Intergovernmental Panel on Climate Change) view that climate change is real and largely due to human activities.  This why we are continually investigating and implementing appropriate technologies to reduce GHG emissions while maintaining our cost competitiveness in terms of electricity production, which we see as vitally important for a developing economy. 

Climate change is, therefore, of great to concern to Eskom and as a result, we have been active in climate change discussions since the early 1990s and have a living climate change strategy.  Eskom also has a permanent seat on the National Committee for Climate Change (NCCC) and attends the international climate change negotiations as a member of the official government delegation.

Limiting the Impact on the Environment

Environmental performance is managed as an integral part of our governance structure, from the board sustainability committee, to the executive management committee (Exco) sustainability and safety subcommittee. Accountable environmental managers and environmental practitioners ensure the effective implementation of environmental management systems throughout our business.

The current focus on securing continuity of supply, executing the build programme and responding to climate change provides us with environmental opportunities. These include introduction of renewable technologies, expansion of our nuclear programme, identification and implementation of internal energy-efficiency projects, further expansion of water conservation programmes, and conservation of land as a biodiversity offset.

Through this commitment, our objective is to ensure continual improvement in our environmental performance by setting environmental performance indicators and management systems and ensuring the use of balanced criteria in our decision-making processes. These commitments are set out in our safety, health and environment policy.

Our environmental commitment continues to be based on the efficient use of natural resources while controlling our activities that impact on the environment.

Performance

Environmental performance is co-ordinated at an organisational level and an overall picture of environmental performance is maintained.

Divisions and subsidiaries in Eskom report on environmental performance issues to the environmental liaison committee (ELC) which in turn reports on Eskom's environmental performance to the Exco operations subcommittee, the Exco sustainability and safety subcommittee and the board sustainability committee.  Environmental performance forms a part of existing business management reporting and components of our operational health dashboard.

We continue to measure our performance against a number of environmental parameters. Four of the most significant of these are linked to targets set annually in the Eskom business plan.

Alarms and standards are set and measured against these four measures as part of the operational health dashboard.

Key environmental performance indicators   Unit of measure  Target 
2008 
Actual 
2008 
Actual 
2007 
 Result 
Relative particulate emissions1,2   kg/MWh sent out  ≤0,21  0,21  0,20   Achieved 
Specific water consumption3   L/kWh sent out  ≤1,29  1,32  1,35   Not achieved 
Enhanced PreCare/MaxiCare environmental component   score ≤80,00  97,21  100,80   Exceeded 
Reported legal contraventions per the operational health dashboard4   number   Not achieved 


Over and above these indicators, performance against other significant environmental aspects of our operations is set out in the table below. The process of identifying our significant environmental aspects involves: 

  • identifying the environmental aspects and impacts associated with our activities
  • determining the significance of the environmental impacts
  • determining the significance of the impacts on business  ranking these aspects
             
Other significant environmental indicators   Unit of measure  Target 
2008 
Actual 
2008 
Actual 
2007 
 Result
    Mt5  N/A  223,57  208,90   Increase
CO2            
Radiation exposure, per annum   milliSieverts  ≤0,256  0,0041  0,0034   Exceeded
SO2   kt5  N/A  1 950  1 876   Increase
NOx   kt5  N/A  983,9  929,9   Increase
Total number of environmental legal contraventions7   number  N/A  46  50   Decrease
Ash recycled   N/A  7,0  6,3   Increase (positive)
1 Figures are calculated as a 12-month moving index.
2 Amount of ash emitted per unit of generated power sent out (excluding Camden and Grootvlei power stations –   correlation tests on environmental indicators not yet completed).
3 Volume of water consumed per unit of power sent out by all generating stations (excluding Camden and Grootvlei    power stations).
4 Under certain conditions, contraventions of environmental legislation are classified in terms of the Eskom   operational health dashboard index. These include instances where censure was received from authorities, legal   contraventions were not reported to government and internally, if it is a repeat legal contravention or where the   contravention was not addressed adequately. Managing directors can escalate any significant contravention to   Exco if deemed appropriate.
5 Calculated annual figures based on coal characteristics and power station design, but excludes gas-turbine power stations.
6 National Nuclear Regulator limit.
7 The reporting date of legal contraventions is based on its classification at the ELC. This may result in legal   contraventions from one year being reported in the following year.
   
 
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