The IGUA-SA has significant technical and economic expertise on gas energy matters and aims to be a respected and non-partisan organisation dedicated to working towards a sustainable gas energy industry. The IGUA-SA was established in 2018, and is a voluntary, non-profit association consisting of the gas energy consumers in Southern Africa.
IGUA-SA members have the view that:
- A healthy and effective gas energy industry is essential to the long term economic growth and social well-being of all South Africans;
- The health and effectiveness of the gas energy industry can be enhanced by active involvement, engagement and participation in energy-related activities which have a bearing on the business of gas energy users and by co-operation with other stakeholders; and
- That a strong synergy on energy-related matters between gas energy users will allow for a common vision on the future of this energy sector.
CONTEXT OF GAS IN SOUTH AFRICA
The development of the natural gas industry holds significant opportunity for socio-economic growth in South Africa. It has the potential to ensure long term fixed capital investment and rendering the mining, energy and manufacturing sectors more efficient and globally competitive. Although the South African Government is committed to diversifying the energy mix away from coal to cleaner energy, there are still several difficulties in the way of achieving the full economic potential for the supply and consumption of natural gas in South Africa. These include the lack of clear and appropriate supporting policies that will support further investment in the sector; the uncertainties with regard to the availability of secure and reliable supply of natural gas; and the determination of long term demand for natural gas in the region.
Provided that policymakers focus on understanding what is needed to leverage these resources to stimulate economic growth, the risk remains that natural gas resources remain underdeveloped, or that it will be exported elsewhere with little consideration for the potential it holds for significantly stimulating economic growth in the region.
Large scale natural gas users remain cognisant of the above as it is desirous of addressing the mix in energy usage to cleaner and more efficient sources such as natural gas, to mitigate business risk, and to define its long-term energy dependent fixed capital investment programs.