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Coal & Diesel News

Eskom board probes allegations of impropriety against acting chief executive

By: African News Agency      Updated 6 hours ago Eskom's board on Thursday said it had initiated a probe into allegations that acting CE Matshela Koko’s stepdaughter’s shareholding in Impulse International – a company which won nine tenders from the power utility worth a billion rand. In a statement Eskom said its “board resolved, in its... 

Eskom to fast-track socioeconomic assessments for five coal stations facing closure

By: Terence Creamer     Updated 7 hours ago Public Enterprises Minister Lynne Brown has called on Eskom to urgently complete socioeconomic impact assessments for its coal-fired power stations in Mpumalanga, five of which having been earmarked for decommissioning over the coming five years, owing to flat demand and the introduction of new... 

Eskom to fast-track socioeconomic assessments for five coal stations facing closure

Ncondezi progresses JDA with SEP on 300 MW Mozambique power plant project

By: Natasha Odendaal     Updated 7 hours ago Aim-listed Ncondezi Energy is steadily progressing the joint development agreement (JDA) with Shanghai Electric Power (SEP) for its 300 MW power plant project, located near Tete, in northern Mozambique. The agreement, once effective, will see SEP inject $25.5-million to fund the balance of the... 

Kibo to implement diversified production strategy for Mbeya

By: Natasha Odendaal     30th March 2017 Dual-listed Kibo Mining is adopting a diversified production strategy for the Mbeya coal mine, in Tanzania, which could potentially result in production starting earlier than planned. This followed a “careful study” of the Mbeya coal-to-power project (MCPP) integrated bankable feasibility study... 

Mining starts at Edenville’s Rukwa project

By: Megan van Wyngaardt     30th March 2017 Mining has started at Aim-listed Edenville Energy’s Rukwa coal-to-power project, with the crushing of several hundred tonnes of coal already completed. The miner on Thursday said the majority of the coal produced so far has been crushed using a temporary crushing facility Edenville refurbished... 

Universal electrification a necessity for Africa  

By: Anine Kilian     29th March 2017 The African continent must ensure universal access to electricity to resolve energy poverty, Energy Security Services Africa head Gareth Gregory said on Wednesday. Addressing a global audience at the Power & Electricity World Africa 2017 conference, he noted that it was unacceptable that the vast... 

Universal electrification a necessity for Africa
Energy Security Services Africa MD Gareth Gregory talks about the need for Africa to resolve its energy poverty. Video and editing: Nicholas Boyd

NUM goes to war over proposed Eskom power station closures

By: Natasha Odendaal     29th March 2017 The National Union of Mineworkers (NUM) on Wednesday said it was planning mass protest action over State-owned power utility Eskom’s decision to mothball five power stations to make room for independent power producers (IPPs). In an effort to “save” Eskom from bankruptcy and privatisation, as... 

Botswana grants Sese mining lease

By: Esmarie Swanepoel     29th March 2017 The Botswana government has awarded ASX-listed African Energy a mining licence for its Sese joint venture (JV). The mining licence covers 51.47 km2 and contains 650-million tonnes of raw coal classified as measured and indicated resources, with African Energy saying on Tuesday that the granted... 

Eskom cancels supplier contract owing to inferior coal 

By: Creamer Media Reporter      29th March 2017 State-owned power utility Eskom has terminated a contract with a major coal supplier to its Tutuka power station after discovering the coal supplied was not extracted from the contracted collieries. The parastatal, following strict monitoring of the coal quality to the station, revoked the... 

DA to ask public protector to investigate Eskom acting CEO’s R1bn deals to stepdaughter 

By: African News Agency      27th March 2017 The Democratic Alliance will ask Public Protector Busisiwe Mkhwebane to launch an investigation into Eskom acting CEO Matshela Koko for allegedly awarding tenders worth R1-billion to Impulse International, a company of which his stepdaughter is a director, the party said on Sunday. “Impulse... 

DA to ask public protector to investigate Eskom acting CEO’s R1bn deals to stepdaughter
Photo by Duane Daws
Eskom acting CEO Matshela Koko

Kibo Mining positions for power purchase agreement with the Tanzanian government

By: African News Agency      23rd March 2017 Kibo Mining said on Thursday that it was well placed to conclude negotiations on a power purchase agreement (PPA) with the Tanzanian government following the completion of restructuring and policy changes at the State-owned power supplier. This comes after Tanzania president John Magufuli in... 

Coal transporters take Eskom, government to court 

By: African News Agency      23rd March 2017 The Coal Transporters Forum (CTF) has approached the high court, seeking an interdict to bar Eskom from entering into contracts with renewable energy independent power producers (IPPs) as envisaged by government. At a press briefing in Pretoria on Thursday, CTF spokesperson Mary Phadi however... 

EIUG supports Eskom plan for new pricing deals with power-intensive firms 

By: Terence Creamer     22nd March 2017 The Energy Intensive User Group of Southern Africa (EIUG) believes there is policy, legislative and regulatory space to introduce new electricity pricing arrangements to help restart of idle mining and process-industry activities, as well as encourage new investments to absorb Eskom’s surplus,... 

EIUG supports Eskom plan for new pricing deals with power-intensive firms

US firm seeks $561m from Tanzania in power supply dispute

By: Reuters     22nd March 2017 Symbion Power is seeking $561-million from Tanzania's state power supplier Tanesco via international mediation, accusing it of breach of contract, the US firm said on Tuesday. Symbion owns a 120 MW thermal power plant in Tanzania's commercial capital Dar es Salaam and is one the handful of... 

S&P affirms Eskom rating on ‘extremely high’ likelihood of govt support as liquidity weakens 

By: Terence Creamer     22nd March 2017 S&P Global Ratings has sustained a negative outlook on Eskom after affirming its 'BB-' sub-investment-grade rating this week, pointing to the State-owned electricity utility’s weakening liquidity position as a result of a “lower-than-expected” tariff increase for 2017/18. On February 23, the... 

S&P affirms Eskom rating on ‘extremely high’ likelihood of govt support as liquidity weakens

Majuba coal silo recovery completed

By: Anine Kilian     20th March 2017 The construction of a permanent coal-handling solution for State-owned Eskom’s Majuba power station has been completed, including the rebuilding of Silo 20, the reinforcement of silos 10 and 30, as well as the implementation of a lift shaft, two piers and a coal conveyor system.   “We commend the... 

Majuba coal silo recovery completed
The collapsed Silo 20

Amid challenges, power sector offers massive opportunities

By: Nadine James     17th March 2017 Although the power and electricity sector in Africa faces massive challenges, it also offers massive opportunities, says Power & Electricity World Africa (PEWA) event organiser Terrapinn.  

Amid challenges, power sector offers massive opportunities
MOMENT IN THE SUN Africa’s largest power and electricity event offers innovative, cost-effective means of tackling Africa’s power challenges

Automation products on display at event

     17th March 2017 Industrial product supplier Magnet’s stand at the Power & Electricity World Africa 2017 conference and exhibition, taking place at the Sandton Convention Centre on March 28 and 29, will highlight the company’s Carlo Gavazzi automation products portfolio.  

Automation products on  display at event
ENERGY METER Carlo Gavazzi energy meters, current transformers and energy-efficiency monitoring solutions will be exhibited at stand J5

NUM up in arms over proposed closure of five Eskom power stations 

By: Megan van Wyngaardt     16th March 2017 The National Union of Mineworkers (NUM) on Thursday delivered memorandums at the Arnot, Komati and Duvha power stations, setting out their grievances over State-owned power provider Eskom’s decommissioning plan, which will see it close five power stations over five years, threatening 6 000 direct... 

Eskom initiates talks on triggering government support to cover IPP costs 

By: Terence Creamer     15th March 2017 Eskom has written to the signatories of the Government Support Framework Agreement (GSFA) – which guarantees support for the State-owned utility in meeting its obligation to buy electricity from renewable-energy independent power producers (IPPs) – to discuss a possible triggering of government... 

Eskom initiates talks on triggering government support to cover IPP costs
Photo by Duane Daws
Eskom interim CEO Matshela Koko

S&P Global sees higher use of guarantees by Eskom as ratings ‘pressure point’

By: Terence Creamer     14th March 2017 S&P Global warns that contingent liabilities associated with guarantees to State-owned companies (SoCs) such as Eskom have emerged as a “pressure point” for South Africa’s sovereign rating, which the agency currently has at one notch above junk, but with a negative outlook. The negative outlook... 

S&P Global sees higher use of guarantees by Eskom as ratings ‘pressure point’

Kusile’s Unit 1 reaches full load

By: Natasha Odendaal     14th March 2017 State-owned power utility Eskom on Tuesday said that Kusile power station’s Unit 1 had reached its full 800 MW load-generating capacity last week after the initial synchronisation on December 26. Kusile Unit 1, which is in the final stages of the combustion optimisation phase, is now one step... 

Zimbabwe seeks new South African electricity supply deal 

By: Reuters     13th March 2017 Zimbabwe is negotiationg a new deal to continue importing power from South African utility Eskom to make up for shortfalls in generating capacity at its Kariba hydropower station, the country's energy minister said on Monday. In January last year Eskom agreed a one-year deal to sell up to 300 MW... 

Tanzania gives coal mining licence to Dangote after President's order

By: Reuters     13th March 2017 Tanzania has awarded a coal mining licence to the local unit of Nigeria's Dangote Cement as part of plans to lower the company's production costs and ease disruptions caused by energy shortages. The cement maker suspended output in December, citing technical problems and high production costs,... 

Basil Read maintains steady turnover in FY16

By: Megan van Wyngaardt     10th March 2017 Basil Read on Friday posted steady turnover at just over the R5-billion mark for the year ended December 31. This was, however, lower than the R5.5-billion turnover in 2015, mainly as a result of eliminating loss-making businesses and projects. 

Basil Read maintains steady turnover in FY16
Photo by Duane Daws
Basil Read CEO Neville Nicolau

High Court rules in favour of Earthlife Africa in South Africa’s first climate change case 

By: Kim Cloete     8th March 2017 The North Gauteng High Court has ruled in favour of environmental justice organisation, Earthlife Africa (ELA), on the basis that the climate change impacts of the proposed Thabametsi coal-fired power station, were not  properly considered. In South Africa’s first climate change court case, ELA... 

Brown calls for Eskom to bring Dentons report to Parliament 

By: African News Agency      8th March 2017 Eskom should be called before Parliament to brief MPs on the Dentons report, Public Enterprises Minister Lynne Brown said on Wednesday. “Eskom should come and run you through the report,” the minister told the portfolio committee on public enterprises after she was asked for her view on the... 

Brown calls for Eskom to bring Dentons report to Parliament
Photo by Duane Daws
Public Enterprises Minister Lynne Brown

Judgment reserved in South Africa’s first climate change court case  

By: Kim Cloete     7th March 2017 The outcome of South Africa’s first climate change court case could set an important precedent. Judgment has been reserved, following compelling arguments in the Pretoria High Court by lawyers for Earthlife Africa, the Department of Environmental Affairs (DEA) and the developers of the 557.3 MW... 

S Africa aims to improve poor maintenance of railway infrastructure

By: Tasneem Bulbulia     3rd March 2017 The inability of local rail infrastructure to attract sufficient revenue has led to a deficiency in the required sustaining capital necessary for its maintenance, says professional services consultancy WSP|Parsons Brinckerhoff infrastructure and transportation divisional director Vishaal... 

S Africa aims to improve poor maintenance of  railway infrastructure
Photo by Bloomberg
MANDATORY MAINTENANCE Several projects have been implemented or are under way to improve rail infrastructure in South Africa

Lack of reskilling of coal miners, truckers a concern – Greenpeace

By: Megan van Wyngaardt     1st March 2017 In light of industrial action by truck drivers in the coal transportation sector on Wednesday morning, in protest at Eskom's expected signing of power purchase agreements with more independent power producers, which they believe threaten their jobs, Greenpeace Africa campaigner Nhlanhla Sibisi... 

Lack of reskilling of coal miners, truckers a concern – Greenpeace

Coal truck drivers protest over renewables, plan march to Zuma's office

By: Reuters     1st March 2017 Several coal transporting trucks blocked highways in South Africa's capital on Monday to protest against the country's renewable power programme after President Jacob Zuma showed support for the sector in speech to parliament last month. Zuma's directive has angered coal transporting workers, who... 

Coal truck drivers protest over renewables, plan march to Zuma's office

India's coal oversupply to persist, despite recent drawdown in power plant stocks

By: Ajoy K Das     28th February 2017 Thermal power plants across India have achieved significant drawdown on existing coal stocks this month, but this is not expected to be a sustained emerging trend. According to government data, total coal stocks carried by all thermal power plants in the country were pegged at 24-million tonnes... 

Kenya reins in 5 000 MW power plan amid surplus worries

By: John Muchira     24th February 2017 The Kenya has shelved plans to increase installed electricity generation capacity to 5 000 MW in the immediate future is it is concerned that this could leave the country with excess capacity Previously, the East African country intended to implement a "5 000 MW by 2018 project" to attract... 

Electricity-mix model shows South Africa won’t need to trade off clean for low-cost 

By: Terence Creamer     23rd February 2017 The steep decline in wind and solar photovoltaic (PV) costs means that South Africa will not need to make the traditional trade-off between investing in either clean or least-cost electricity production, as the “cost-optimal mix” for South Africa is now also the cleanest, research conducted by... 

Electricity-mix model shows South Africa won’t need to trade off clean for low-cost

Aton share buying spree 'opportunity, not threat', says M&R’s Laas

By: Irma Venter     23rd February 2017 Murray & Roberts (M&R) CEO Henry Laas views ATM Holding’s acquisition of a 25.5% shareholding in M&R, as “an opportunity, not a threat”. “I’m pretty relaxed about what is happening.” 

Aton share buying spree 'opportunity, not threat', says M&R’s Laas
Photo by Duane Daws
Henry Laas

Nersa allows Eskom to raise tariffs by 2.2% in 2017/18

By: Anine Kilian     23rd February 2017 The National Energy Regulator of South Africa (Nersa) has allowed State-owned Eskom to raise its tariffs by 2.2% for the 2017/18 year. Nersa chairperson Jacob Modise on Wednesday said the regulator had confirmed Eskom’s allowable revenues of R205-billion for the period. 

Nersa allows Eskom to raise tariffs by 2.2% in 2017/18

Eskom and Transnet need to borrow billions more  

By: News24Wire      22nd February 2017 Eskom and Transnet need to borrow billions more than anticipated in 2016, National Treasury revealed in its 2017 Budget Review on Wednesday. Even as Eskom’s financial performance improved in 2015/16 as a result of a 12.7% tariff hike and a revenue increase by R10.5-billion to R161-billion, it... 

Eskom and Transnet need to borrow billions more
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