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Whether the department has looked at the possible socio-economic implications regarding the delays in the completion of the Medupi Power Station

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Whether the department has looked at the possible socio-economic implications regarding the delays in the completion of the Medupi Power Station
13/09/2013

341. Mr F Adams (ANC-WC) to ask the Minister of Public Enterprises:

  1. Whether his department has looked at the possible socio-economic implications regarding the delays in the completion of the Medupi Power Station; if not, what is the position in this regard; if so, what are the relevant details;
  2.  Whether his department is taking any further steps to ensure that the building of the power station is completed; if not, why not; if so, (a) what are the time frames and (b) what are the recouping costs of further delays in the completion of the power station? CW442E

Reply

  1. Medupi Power Station is scheduled to install additional capacity in the currently constrained electricity supply system in order to ensure continued investment and growth in the economy. While the demand for electricity has reduced due to the economic slowdown, the impact of the delay in completing Medupi will be apparent if the economic recovery precedes recovery in project schedule to ensure the earliest possible delivery of electricity from the power station. Eskom is undertaking steps to limit further delays to the project.
  2. (a-b) The Department has tasked the Eskom Board to establish a sub-committee that will focus on close monitoring of the current Eskom build programme at Medupi,Kusile, and Ingula, so as to ensure completion within approved timeframes. The Board will follow contractual mechanisms to recoup costs from defaulting contractors. 
Page last modified:12/03/2014 15:42