Page 15 - AfrElec Week 26 2021

AfrElec NEWS IN BRIEF AfrElec

ESKOM to Eskom” for a transition to clean energy, before the COP26 climate conference in
Gordhan said. “The ultimate solution will be Glasgow in November. The utility is already
Eskom debt falls to £28bn to integrate all these solutions to enable a just looking at “repowering” its Komati coal plant
energy transition.”
using solar and battery storage and could
Eskom has reduced its debt to less than present the project at COP26 to show it is
ZAR400bn ($28bn) as discussions ensue to serious about curbing emissions.
secure funding for a transition to renewable Rambharos said Eskom was modelling
energy, said Public Enterprises Minister ESKOM different scenarios to reach its target of “net
Pravin Gordhan, Bloomberg reported. zero” emissions by 2050.
The state-owned company announced in Eskom seeks $10bn to fund The least aggressive path is the one the
May it had reduced debt by a fifth to about government laid out in a 2019 document
ZAR401bn. shift from coal called the Integrated Resource Plan, which
“Eskom has done further work to reduce envisaged Eskom shutting down some 35,000
the debt to below ZAR400bn,” Gordhan said. Eskom, Africa’s biggest greenhouse gas megawatts (MW) of coal by 2050. As of
“The exact number is still a work in progress,” emitter, is pitching a $10 bn plan to global March 2020, Eskom had around 41,000 MW
he said, without providing more details. lenders that would see it shut the vast majority of installed coal-fired capacity.
Eskom has not been producing enough of its coal-fired plants by 2050 and embrace A bolder one would see even Medupi
electricity to meet the nation’s needs, resulting renewable energy. and Kusile, which will be two of the world’s
in intermittent power shortages. The utility Discussions have already started with largest coal plants when fully operational,
isn’t generating enough cash to cover its development finance institutions like the shuttered in the 2040s, at least 20 years ahead
operating expenses and interest bill, leaving it World Bank and the African Development of schedule and leaving Eskom with no coal
dependent on government bailouts to survive. Bank, Reuters reported. by 2050 from 15 stations now.
Chief Executive Officer Andre de Ruyter “It’s a lot of money, so what we are putting While Eskom could use natural gas as part
has taken measures to cut costs and find green on the table is to say to funders: South Africa of its energy transition, the ultimate aim is to
funding to reduce the company’s reliance on can offer you the biggest point source of replace coal with renewables, Rambharos said.
government support. That could be dependent carbon emissions reduction in the world,” “That is the future. I don’t think we can look
on it retiring coal-fired power plants ahead of said Mandy Rambharos, general manager at at 2050 and still see fossil fuels in there to be
schedule. Eskom’s Just Energy Transition office. honest.”
The utility estimates $10bn will be needed Eskom, which generates more than 90%
to shut most of the coal stations by 2050. of the country’s electricity chiefly by burning
Eskom has plans to repurpose the sites to be coal, is looking for around $7 to $8 for every
powered by cleaner energy sources. tonne of carbon dioxide equivalent it cuts COAL-FIRED GENERATION
“We have had quite a few discussions with from its greenhouse gas emissions. Eskom
quite a few interested parties, including many currently emits around 213mn tonnes of CO2 Upgrades at Hwange on
development finance institutions, who are equivalent a year.
prepared to provide concessional funding The idea is to line up some of the funding track
Work continues at Hwange Thermal Power
Station to bring up Zimbabwe’s generating
capacity with progress on the two new units,
seven and eight, that will add 600MW still
on course and work being done on the six
existing units to ensure they can deliver their
designed 920MW, rather than the half output.
Zimbabwe has seen some load shedding
after a decrease in imports from South Africa,
which is facing its own rising demand and the
need to catch up on maintenance, so cannot
offer as much as Zimbabwe wants to buy.
Minister of Energy and Power
Development Zhemu Soda said the
Government was making efforts to add the
new units and revive older units at Hwange.
“Government has taken steps to
increase power at Hwange Thermal Power
Station. Units 7 and 8 are expected to add
600 megawatts to the national grid when
completed. We are also rehabilitating Units
1 to 6 to restore their total capacity to 920
megawatts because currently the station is
operating at half capacity,” he said.
While Kariba South is rated at 1 050

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