Investing in the economy

CASE STUDY

CNG Holdings

Sustainable development and job creation in new areas such as the Green economy are key IDC objectives. The investment in CNG Holdings supports government initiatives for clean fuels, reduction in emissions, diversification of transport fuels and skills development.

CNG Holdings was established in 2005 to exploit opportunities in the natural gas industry. In partnership with SANERI, a subsidiary of the Central Energy Fund, CNG Holdings successfully demonstrated the viability of compressed natural gas (CNG) as an alternative fuel source in South Africa.

The IDC currently holds a 26% share in CNG Holdings, along with Sakhikusasa, a BEE company, (30%) and other private investors (44%). The IDC approved funding for the CNG Holdings rollout plan. The plan includes the supply of CNG to industrial customers as well as establishing CNG filling stations for fleet applications to customers such as inner-city buses, taxi operators, council vehicles including refuse removal companies and cars.

Due to the increase in energy costs, unreliability of electricity supply and environmental concerns, cleaner alternative forms of energy are continuously being explored, of which natural gas is one. CNG is well-positioned to exploit these opportunities with its innovative and leading technology to safely and economically transport natural gas.

CNG’s growth prospects lie in being able to unlock further gas supply as well as being able to supply gas in provinces where Sasol does have a distribution network.

Building partnerships

The IDC’s capacity-building interventions in South Africa and elsewhere in Africa are motivated by the benefits potentially emanating from assisting our clients and DFI business partners in developing their requisite skills and knowledge bases.

Investing in communities

The IDC has adopted a framework to guide the development of rural areas and an important part of the corporation’s leadership in industrial development strategy focuses on support for priority sectors identified in the New Growth Path and Industrial Policy Action Plan.


APPROVALS
R13.1 billion
DISBURSEMENTS
R16.0 billion
JOBS FACILITATED
18 922
JOBS SAVED
3 950
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