As Eskom continues to drag its feet, a deadline is still to be set for the signing of outstanding agreements for 37 renewable energy supply contracts from independent power producers.
“We have recently expanded the Department of Energy, Public Enterprises and Eskom task team investigating the matter to include the director general of the National Treasury but there is no timeline,” said Minister of Energy Mmamoloko Kubayi, pointing out that the “big issue” was Eskom’s balance sheet.
When the ministerial portfolio was changed in March this year, Kubayi asked for an extension of the last deadline (April 26, 2017) to allow her time to familiarise herself with the details.
Logistics companies have also invested millions of rands in new equipment in anticipation of contracts with the IPPs, with South African Renewable Energy Council (Sarec) chairperson Brenda Martin telling FTW earlier this year that local and foreign investors had responded very positively to the Renewable Energy Independent Power Producers Procurement Programme (REIPPPP) to date.
She said that the programme had secured nearly R200 billion in new investments. “However, since the programme has failed to get off the ground, investors have become very skittish,” she added.
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Minister of Energy, Mmamoloko Kubayi.
