https://www.miningweekly.com

Eskom has coal shortages at ten power plants – spokesperson

Eskom has coal shortages at ten power plants – spokesperson

Photo by Bloomberg

17th September 2018

By: Reuters

  

Font size: - +

South African power utility Eskom said on Monday that it had fewer than 20 days of coal supplies at 10 of its 15 coal-fired power stations, posing a threat to national power supplies.

A company spokesman said a major supplier, owned by the Gupta family, had cut supplies as it seeks insolvency protection and Eskom was quickly trying to secure new contracts with other companies to ensure it had enough coal.

Cash-strapped Eskom is critical to Africa's most industrialised economy as it supplies more than 90% of the country's power, predominantly by burning coal. It is also one of South Africa's most indebted state firms.

"Out of our 15 coal-fired power stations, 10 of them have less than 20 days. Clearly this is contrary to what the regulator has prescribed," Eskom spokesperson Khulu Phasiwe said.

Eskom, which is battling to recover from a financial and leadership crisis, said it will transport coal from other power stations to those facing constraints and is in discussions with 12 coal suppliers to secure coal contracts.

"If there is no coal it may hamper our ability going forward, but to avoid it being hampered we are diverting coal from other power stations," Phasiwe said.

The main reason for the coal shortages is that Tegeta Exploration and Resources, a coal-mining firm owned by the Gupta family, has cut supplies to Eskom as it seeks insolvency protection, Phasiwe said.

Edited by Reuters

Comments

Showroom

Werner South Africa Pumps & Equipment (PTY) LTD
Werner South Africa Pumps & Equipment (PTY) LTD

For over 30 years, Werner South Africa Pumps & Equipment (PTY) LTD has been designing, manufacturing, supplying and maintaining specialist...

VISIT SHOWROOM 
SMS group
SMS group

At SMS group, we have made it our mission to create a carbon-neutral and sustainable metals industry.

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Hyphen, Eva mine, ferrochrome price make headlines
Hyphen, Eva mine, ferrochrome price make headlines
27th March 2024
Resources Watch
Resources Watch
27th March 2024

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.116 0.158s - 106pq - 2rq
Subscribe Now