Star 2024-01-26

RENEWABLES were set to displace coal as the top source of energy for electricity production globally in 2025, the International Energy Agency said yesterday. In its annual report on the electricity market, the IEA said that renewables – in particular from solar panels – should see their share of total electricity production surpass a third of the total, passing from 30% last year to 37% in 2026. If nuclear power, which the IEA sees hitting a record next year, is included, almost half of the world’s electricity will be generated by low-emissions sources by 2026, up from a share of just under 40% in 2023. The strong growth in renewables would outpace the increased demand for electricity in industrialised countries as part of efforts to reach carbon neutrality, said…

PPC, THE CEMENT and related products group, said yesterday its wholly-owned subsidiary PPC International Holdings had successfully concluded the disposal of its 51% stake in Rwanda-based Cimerwa to National Cement Holding for $42.5 million (R804m) cash. “All conditions precedent to the disposal have been fulfilled and the proceeds received. Approval by the Common Market for Eastern and Southern Africa (Comesa) Competition Commission, which is not required before implementation of the disposal, is anticipated to be received within 120 days,” the cement manufacturer said in a statement. As a result of this, the effective date of the disposal was January 25, 2024. PPC’s directors said the group was net cash positive following receipt of the proceeds of the disposal. PPC’s recently appointed CEO, Matias Cardarelli, said in a statement: “I am…

The total volumes are still fairly small, but the trajectory is quite interesting TOYOTA Motors South Africa (TMSA) CEO Andrew Kirby said yesterday that South Africa was seen as a very competitive car market as evidenced by the number of new entrants that entered it last year. Kirby said South Africa was becoming one of the most competitive markets in the world in terms of the number of derivatives, models and brands compared to the total size of the market. Kirby was talking at a TMSA event yesterday, which was hosting the seventh instalment of the State of the Motor Industry (Somi) report. He said there was a 65% increase in new energy vehicle sales sold in South Africa in 2023 compared to 2022, with most of them being battery…

THE SOUTH African Reserve Bank (SARB) Governor Lesetja Kganyago has appointed Dr David Fowkes to serve as a member of the Monetary Policy Committee (MPC) while the Presidency looks for former deputy governor Kuben Naidoo’s replacement. The announcement came on the same day the SARB’s MPC, at its first meeting of 2024 yesterday, left interest rates unchanged leaving the repurchase rate (repo rate) and prime lending rates at 8.25% and 11.75%, respectively. Naidoo tendered his resignation from the SARB to President Cyril Ramaphosa in October 2023, just less than 18 months before the end of his second five-year contract. Naidoo was one of three deputy governors of the SARB and a member of the crucial five-member MPC, which oversees the interest rates in the country. Since Naidoo left the SARB,…

The RICHARDS Bay Coal Terminal (RBCT) continued to operate viably despite challenges with Transnet’s freight rail performance, CEO Alan Waller said yesterday, although it was unlikely the terminal will significantly bump up its capacity. RBCT, which handles coal shipments from Thungela, Optimum Coal Terminal, Umcebo Mining and Glencore, among others, has design capa-city of 91 million tons on a 32 trains a day basis, but is managing nearly half this. In 2023, the company said about 48 million tons of coal were railed to the terminal, levels last seen in 1992. Nonetheless, “the terminal has remained reliable and has remained efficient”, Waller said. “We have not allowed any noise to impact on how efficiently the terminal is run. Whether it be from a safety point of view, whether it…

THE FOREIGN exchange market faces a year where growth is predicted, but it does not come without its challenges. This was according to Bianca Botes, a director at foreign exchange experts Citadel Global, who said this week that risks were mounting for forex clients. Botes had made four predictions for forex risk trends in 2024, from elections and geopolitical risks to investment declines and more ups and downs for the rand. Recently released research indicates that the global forex market size, for North America, Europe, UK, Switzerland, Middle East, Africa, Asia-Pacific, South America, China and Japan combined, is projected to grow by $516.48 billion (R9.77 trillion), accelerating at a compound annual growth rate from 2023 to 2028. Geopolitical and environmental risks are mounting in 2024 “The local forex…