Smart Gas Utility (SGU)
The SGU will be a public-private partnership with direct government participation, supported by private partners across the natural gas supply chain. SGU is the central component of the SPE (SMART Petroleum
Economy ) Gas Utilization Cluster which aims to utilize natural gas as a primary energy to unlock large scale industrialization through providing cheaper and sustainable energy, driven by smart technologies and
innovation.
SGU has a long term strategic objective of providing cost effective energy solutions for both domestic and industrial application.
SGU has a long term strategic objective of providing cost effective energy solutions for both domestic and industrial application.
Formation of a Gas Aggregator
Formation of a national LNG/Natural gas aggregator and gas infrastructure development entity as a launchpad to establish a sustainable, inclusive and cost competitive domestic gas sector
Creation of Job Opportunities
Creation of meaningful job opportunities and empowerment of local companies through direct participation the natural gas supply chain (from sourcing to gas distribution).
Construction of Natural Gas Infrastructure
Construction of natural gas infrastructure estimated at R400 billion over the next 20 years in value chain strategic partnerships with Oil&Gas majors, leveraging on aggregated gas buying power and allocation into infrastructure development concessions.
Mandated Public Entity
Develop SGU, as a competent, clearly mandated public-private entity with robust natural gas business and operational model in line with International gas supply chain standards. Compatible with concessional gas infrastructure funding, development and operational models.
Direct Government Participation
Through the SGU, government to directly participate in the import, storage and regasification of natural gas which will
significantly benefit domestic end-user market.
Government Collaboration
Collaborate with government to develop compatible policy and regulatory framework which enables (1) large scale gas infrastructure development and supply chain investment (2) competitive ecosystem with market related Return-On-Investment (ROI) (3) supply affordable natural gas feedstock to enable large scale countrywide industrialisation.