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DA: Statement by Natasha Michael, Democratic Alliance shadow minister of public enterprises, calling for Medupi to come on line as soon as possible (24/03/2012)

24th March 2012

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The DA notes the announcement made by Minister of Public Enterprises, Malusi Gigaba, that Eskom's new Medupi coal-fired plant will begin feeding electricity into the National Grid from the second half of 2013.

Possible causes for the delays in the start-up of the station's first 800 MW unit include labour, design, construction and geotechnical issues.

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The Medupi power station was initially planned to start contributing to the National Grid as early as last year.

Eskom representatives yesterday briefed the Portfolio Committee on Energy. During the briefing, it was revealed that South Africa's electricity reserve margins have gone into deficit.

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It is a matter of urgency that the Medupi power station comes on line as soon as possible and certainly not later than the time frame indicated by Minister Gigaba.

A reliable electricity supply is an essential precondition for economic growth and job creation.

The DA will be asking parliamentary questions to determine how the Department of Public Enterprises intends to monitor the Medupi power plant's progress and what risk management policies have been put into place to ensure that the project remains on schedule.

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