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Gauteng looks to work with IPPs to solve energy problems

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Gauteng Premier David Makhura
Gauteng Premier David Makhura

Gauteng Premier David Makhura delivered his state of the province address earlier today at Sefako Makgatho Health Sciences University in Ga-Rankuwa.

Makhura reiterated the provincial government’s intentions to introduce new renewable energy projects.

Provincial government is going to form a partnership with the SA Local Government Association (Salga) to come up with energy solutions.

“We will be requesting a ministerial determination from [Mineral and Energy Resources] Minister Gwede Mantashe to enable us to unlock renewable energy projects, in line with the window of opportunity opened by the Integrated Resource Plan 2019,” Makhura said.

This is in line with the announcement by President Cyril Ramaphosa in his state of the nation address, where he said municipalities would now be allowed to work with independent power producers to bring in additional capacity to the grid from renewable energy, hydropower and battery storage.

“This is in line with the Gauteng energy security strategy, [whose objectives include enhancing security of supply, promotion of energy efficiency, modernisation of energy infrastructure, and contribution to economic development through re- industrialisation and creation of jobs]” he said.

This is just one of six methods which were highlighted by Ramaphosa to alleviate the pressure currently faced by the embattled Eskom.

There are several other methods which the premier has suggested to reduce the use of electricity.

He said there should be steps towards encouraging citizens to make use of gas, fast-tracking shovel-ready solar energy projects, recommissioning mothballed power stations and promoting hydrogen fuel cell technology in new developments across the Gauteng City-Region.

This comes as South Africans have been hit hard by load shedding, with businesses being dealt the biggest blow as they continue to lose money.

The power utility has blamed the power cuts on maintenance backlogs and breakdowns, which will see citizens being load shed for the next 18 months.

In response to questions from MPs last week, Eskom CEO Andre De Ruyter could not promise that load shedding would be completely resolved.

Eskom has about R450 billion of debt and does not earn enough from electricity sales at current prices and volumes to pay off the interest on this debt without government aid.

De Ruyter said the power utility needed to invest R100 million to resolve an ash handling problem at Medupi Power Station.


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