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Power upgrade to create 100 jobs

By Mhlaba Memela | Nov 19, 2009 | COMMENTS [ 0 ]

The eThekwini municipality has launched a multi-million rand deal to create decent jobs for the poor by the end of the year.

This follows the municipality's decision to put aside R1,8million from the electricity component to increase the supply of power at Jacobs, the industrial area south of Durban.

The money will be used to lay medium voltage electricity cables from the Jacobs major substation in Chamberlain Road.

The responsible company, Quality Products Limited, is in the middle of a R15million upgrade to its premises and requires an additional 1600kVA of electricity supply to its upgraded premises, said municipal spokesperson Mandla Nsele yesterday.

A report presented by the electricity unit to the municipality states that the successful completion of the upgrade would result in the creation of new employment opportunities in the area.

The upgrade will result in about 100 additional people being employed by the company.

In order to meet the demand for electricity, 2100 metres of medium voltage electricity cables would have to be laid from the Jacobs major substation, and medium voltage switchgear would have to be installed at another substation.

"This capital expenditure would incur estimated depreciation charges of R74400 a year.

"The upgrade, according to the municipality, is scheduled to be completed in February next year," Nsele said.

He said the project would not incur any other increase in expenditure to the electricity unit's account during the ensuing 12 months, apart from the cost of electricity sold to the customer.


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