The impact of the implementation of Liquefied Natural Gas (LNG) as a new business strategy for Transnet pipelines.
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Date
2019
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Abstract
To align with the global objectives of lowering greenhouse gas emissions, the South African government aims to diversify South Africa’s energy supply mix to improve security of energy supply and to reduce the overall carbon footprint of the country. For this reason, Transnet Pipelines is pursuing the Liquefied Natural Gas (LNG) business and there are concerns in terms of capacity and skills required to implement this new strategy. Understanding factors that influence and contribute to a successful implementation of the new strategy is important.
This study evaluates the impact of the implementation of Liquefied Natural Gas (LNG) as a new business strategy for Transnet Pipelines. Literatures shows that there are currently there are no available LNG skills within South Africa. The study used a qualitative research approach. Primary and secondary data were collected through interviews and from company documents. The target population was twelve and these were drawn mainly from leadership team together with senior and middle managers working on the Liquefied Natural Gas project or from those who have in-depth knowledge of the matters pertaining to the LNG project.
The study used a qualitative research approach. Primary and secondary data were collected through interviews and from company documents. The target population was twelve and these were drawn mainly from colleagues working on the Liquefied Natural Gas project or from those who have in-depth knowledge of the matters pertaining to the LNG project. The latter comprised the leadership team together with senior and middle managers. The researcher initially planned to conduct twelve interviews, but only nine interviews were conducted.
The responses from the interviews show that there are currently no LNG skills within TPL, the leadership team requires up-skilling and exposure to existing LNG plants and operations so that they are equipped to manage, operate and maintain such operations. The study recommends that Transnet Pipelines needs to assess their readiness to implement the LNG strategy. This strategy needs to be developed for Transnet as a whole which will then incorporate roles and responsibilities of different operating divisions and the staffing model that will be adopted to ensure that properly skilled staff are appointed.
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Masters Degree. University of KwaZulu-Natal, Durban.