The future of the government’s independent power producers’ programme‚ which has been lauded as a global success‚ is uncertain following an Eskom board decision that it will not sign any power purchase agreements with private producers after the current round is finalised.
By introducing private sector companies into energy generation‚ the Renewable Independent Power Producers Programme (REIPPP) has mobilised R195bn in direct investment and brought 2‚145MW into the grid.
Also read: Eskom’s capacity expansion programme for growth continuing at a pace
But‚ reports Business Day‚ while Eskom welcomed the programme at first‚ because it provided a quick route to building more generation capacity‚ concerns are increasing within the utility that private producers — from whom Eskom is compelled by the government to buy at prices it does not negotiate — will undermine Eskom’s future revenue streams.
In a letter to Energy Minister Tina Joemat-Pettersson from Eskom chairman Ben Ngubane‚ the utility states that it will not sign further power purchase agreements without engagement over the matter.
Business Day has the full story www.bdlive.co.za
Eskom cuts off private power
The future of the government’s independent power producers’ programme‚ which has been lauded as a global success‚ is uncertain following an Eskom board decision that it will not sign any power purchase agreements with private producers after the current round is finalised.
By introducing private sector companies into energy generation‚ the Renewable Independent Power Producers Programme (REIPPP) has mobilised R195bn in direct investment and brought 2‚145MW into the grid.
Also read: Eskom’s capacity expansion programme for growth continuing at a pace
But‚ reports Business Day‚ while Eskom welcomed the programme at first‚ because it provided a quick route to building more generation capacity‚ concerns are increasing within the utility that private producers — from whom Eskom is compelled by the government to buy at prices it does not negotiate — will undermine Eskom’s future revenue streams.
In a letter to Energy Minister Tina Joemat-Pettersson from Eskom chairman Ben Ngubane‚ the utility states that it will not sign further power purchase agreements without engagement over the matter.
Business Day has the full story www.bdlive.co.za
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