NEWS RELEASE 30 November 2004

MORE AFFORDABLE, SAFER, CLEANER ENERGY TO BE DISTRIBUTED TO THE POOR

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Poor communities around South Africa – and especially in rural areas – will from now on have access to an affordable energy source that offers them many benefits and a better quality of life.

Totalgaz Southern Africa has put all its inventive powers into producing an advanced 5kg gas cylinder called Shesha. Snazzy, snappy and easily transportable, Shesha comes in a value pack with a burner and a cooker top – and all for a deposit of only R50 for the cylinder.

Importantly, the package also comes with a full house of safety features and a connector that can be used for other appliances such as heaters, lamps and cookers. An important safety feature is the short and stable cylinder, which won’t topple over.

Safety is considered critical as fires have often caused the destruction of hundreds of shacks and many deaths in informal settlements.

The arrival of Shesha, meaning fast or quick, is not unexpected. A central feature of household policy in South Africa is for the poor to have access to modern, clean, safe and convenient energy. With the production of electricity almost at full capacity, the obvious answer was liquid petroleum gas.

Shesha will be distributed deep into rural areas and directly to consumers that qualify for the package. Only consumers within the lower income-brackets will qualify. Measures will be put in place to ensure that this is auditable. via dealer networks in the community, which will cut out the middleman for this category of business and reduce the cost. To support small and medium enterprises, Totalgaz has pledged itself to appoint women and people from disadvantaged communities to these dealerships.

Totalgaz came up with Shesha after the Minister of Minerals and Energy, Phumzile Mlambo-Ngcuka, spoke in parliament this year of the urgent need for a modern energy source for the poor. She said government would play a pro-active role in achieving this goal.

Paula Joubert, National Sales and Marketing Manager of Totalgaz, has personally thrown her weight behind the project from the start. “This is a major step forward in our fight to help the poor and impoverished in our country,” she said.

“We have developed an affordable gas package that is specifically aimed at assisting the impoverished sector of our population.”

MORE AFFORDABLE, SAFER, CLEANER ENERGY TO BE DISTRIBUTED TO THE POOR

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The Managing Director of Totalgaz, Hugo De Meyer said Totalgaz would participate in phase one – to roll out Totalgaz's share of the 250 000 households – and phase two where the balance of 2,7 million homes would be energized. “To achieve this ambitious goal, the industry will need an additional 200 000 tons of liquid petroleum gas annually, and we appeal to the Minister to allow the importation of liquid petroleum gas into the country or provide alternative sources at an affordable price,” he said.

De Meyer said the first batch of cylinders would give added impetus to the Minister’s vision of providing millions of households with safer, cleaner and more affordable energy.

He said that liquid petroleum gas as a modern thermal fuel was cost effective, energy efficient and environmentally friendly.

ENDS

Issued by Rosemary Hare Public Relations cc

P O Box 12521

MILL STREET

8010

On behalf of Totalgaz Southern Africa (Pty) Ltd

P O Box 7618

ROGGEBAAI

8012

For further information, please contact Rebecca Atherstone at Rosemary Hare Public Relation on 021 531-2166 or 072 2422685

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