Siemens (SI) has obtained orders worth €1 billion for energy infrastructure projects in South Africa. Around 80% of the order value is made up of projects catering to the expansion of energy infrastructure in the run up to the 2010 FIFA World Cup in South Africa. Siemens has already built new power plants in Capetown and Mossel Bay which will help in channeling peak load in the national power grid system.
In addition to a large number of solutions in the area of power generation and transmission, Siemens is designing efficient traffic management solutions for mass transit systems. Siemens Healthcare has won a project to provide a hospital information system to 37 hospitals and about 300 clinics throughout the Gauteng Department of Health in South Africa.
The order volume is about €18 million and the system will be implemented within the next three years. In addition, lighting systems from its subsidiary Osram will be employed in eight out of ten World Cup stadiums.
In a related development, Siemens South Africa announced the appointment of Stuart Clarkson as chief executive officer with effect from 1st July, replacing outgoing CEO Siegmar Proebstl, who returns to Siemens in Germany. According to a UN report, some 530 million Africans have no access to electricity. Due to aging, outages are frequent in many connected regions. The energy requirement is vast and immediate in Africa.
Siemens is the world’s only supplier to offer technological solutions from a single source covering everything in the energy field from fuel extraction to engineering, procurement and commissioning of electrical systems. The company’s closest competitors include Asea Brown Boveri and Areva.
We continue to maintain Hold rating on Siemens.
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