Eskom has not signed agreements with independent power producers

16 May 2017 - 14:11 By Linda Ensor
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Eskom has not yet signed the 37 outstanding agreements with independent power producers‚ Energy Minister Mmamoloko Kubayi confirmed on Tuesday.

She said in a written reply to a parliamentary question by DA energy spokesman Gordon Mackay that since taking office she had had to consider “the causes of the delays‚ including consideration of the issues raised by both IPPs and Eskom”.

“I have taken the time to understand the implications of signing or not signing and will make a decision in due course‚” Kubayi said.

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She indicated that she had met with Public Enterprises Minister Lynne Brown and they had put together teams comprised of the Department of Energy‚ the Independent Power Producer office (IPP)‚ the Department of Public Enterprises and Eskom in a bid to resolve some of the “challenges”.

Eskom has resisted signing the agreements on the basis that the tariff agreed to in the power purchase agreements was too high and would cripple it in years to come. It has also argued that it has a surplus of energy.

– TMG Digital/BusinessLIVE

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