Background
TotalEnergies announced its exit from Block 11B/12B off the Southern coast of South Africa following the decision of its joint venture partner CNRI to withdraw from the same Block where the South African affiliate, TotalEnergies EP South Africa held 45% interest. Two discoveries were made, Brulpadda and Luiperd, by TotalEnergies in Block 11B/12B. However, these gas fields could not turn into commercial developments as it seemed to be a challenge to economically develop and make these gas discoveries profitable for the South African market. Total Energies further gave up exploration activities at offshore Blocks 567.
While Namibia has an opportunity to score billions from its offshore oil and gas reserves, South Africa suffers from its lack of policy clarity. TotalEnergies pull away from developing potentially lucrative gas fields off the Southern African coast is considered a major setback. This doesn’t necessarily come as a surprise as local development efforts have been annoyingly impeded by heavy litigation mostly by environmentalist groups. African Energy Chamber acknowledges that TotalEnergies’ withdrawal from gas fields projects in South Africa comes because of regulatory obstacles that hinder companies wanting to develop energy sector projects as reported by Business Day.
What does it mean for us as civil society in South Africa?
Victory for civil society who have stood their ground against oil and gas exploration through campaigns, appeals, signing petitions and submitting comments. This is also a victory especially for fisherfolk communities who have supported civil society campaign initiatives but who are also directly affected by seismic surveys which affect marine creatures and consequently have negative impacts on the local economy.
Civil society ought to carry on rallying efforts and push back against the issuing of exploration rights. The efforts invested through these activities, although seemingly incremental, yield progressive results and bring about awareness in communities and help build resistance. Furthermore, people’s minds are slowly shifting from seeing gas as a critical transition fuel.
Moving forward, civil society is called to share ideas regarding the content they would like to see in the Integrated Energy Plan in order to create a sustainable future they desire and are strongly encouraged to participate in these decision-making processes.
What does it mean for civil society in Namibia?
Without strong opposition from civil society, it is more likely for gas exploration and production to bloom in Namibia. However, it is important to know that the actions taken by civil society in South Africa and their results have the potential to create a precedent that may influence the Southern African region especially as inter-regional collaborations and networks of civil societies begin to intensify. Additionally, a global shift from gas production will have a major impact on the economic viability of these projects and may cause an eventual decline in gas production in the long run.
by Sarah Nzeka
