Gas to substitute diesel at Orapa plant

Boitshepo Majube | Friday March 14, 2014 15:33

The power station is a dual fuel open cycle gas turbines currently operating on diesel and capable to be converted to gas at a later stage, once commercial production is achieved. MEWR Deputy Permanent Secretary Minerals, Nchidzi Mmolawa at a workshop on unconventional gas projects, industry experience and gas-to-power in Gaborone said the ministry will this year float the tender to substitute the expensive diesel generation with CBM gas.

Meanwhile Nchidzi stated that there are two local companies that can supply gas to the Orapa station. “We have Tlou Energy and Kalahari Energy that are at an advanced stage, while one is still starting and not advanced to be able to supply,” he said, further stating that they expect the two companies to show interest in supplying the plant.

Nchidzi said in Botswana there are coalbed methane (CBM) deposits that are currently being explored with a good potential to be a significant contributor to the future energy mix of the country. “The coalbed methane occurs mostly along the coal seams which we are low permanently”, he said.

The Orapa power station consumes diesel valued at P2.2 million in each 10-hour run cycle. The other emergency plant, the 70MW plant at Matshelagabedi, is estimated to have similar costs as well as additional charges for actual and available capacity from its owner, APR Energy.

Recently Botswana Power Corporation (BPC) stated that it is hoping to reduce its reliance on the 90-megawatt Orapa power peaking station, which, it has been revealed, consumes approximately P22,000 in diesel every hour.

Last week, acting BPC CEO, Nchena Mothebe told a business briefing that the emergency plants are for peak hours but because of the delays at Morupule B, there are certain times they have had to run them over prolonged hours and they are very expensive.

The latest figures come after finance minister, Kenneth Matambo, proposed an allocation of P140 million for emergency power in the 2014/15 budget. Each budget since the 2010 financial year has proposed millions of Pula for the purchase of emergency power, beginning with P610 million in the 2010/11 budget.

It is understood the emergency power is for the two diesel power stations as well as imports from regional suppliers such as Eskom.

“As a result of technical problems that delayed commissioning of the Morupule B Power Station, BPC was forced to undertake emergency power supply,” Matambo explained in his budget speech early last month. “Such measures included the use of diesel-fuelled generators and continued import of power from South Africa to complement domestic power supply.

“All these increased BPC operational costs thereby requiring government funding support.”