2018-w2155 - 02 July 2018

Pebane George Moteka to ask the Minister of Energy

Whether any government employees (a) have shares in and/or (b) own companies whose bids were approved in any of the bidding windows of the Renewable Energy Independent Power Producer Programmes?

Reply from the Minister of Energy on 2 Jul 2018

Government employees declare their financial interests in companies annually as required by the Public Service Regulations.

Approved / Not Approved

Mr J T Radebe, MP

Minister of Energy

Date:

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2018-w2156 - 02 July 2018

Vuyokazi Ketabahle to ask the Minister of Energy

Whether he has found that any of his relatives or relatives of any other Minister (a) have shares in and/or (b) own companies whose bids were approved in any of the bidding windows of the Renewable Energy Independent Power Producer Programmes?

Reply from the Minister of Energy on 2 Jul 2018

I have not found out if my relatives have shares in these companies. Ministers declare their financial interest annually through the appropriate platforms.

Approved / Not Approved

Mr J T Radebe, MP

Minister of Energy

Date:

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2018-w2157 - 02 July 2018

Leigh-Ann Mathys to ask the Minister of Energy

Whether any government employees (a) have shares in and/or (b) own companies that provided financing for the companies that won bids in any bidding windows of the Renewable Energy Independent Power Producer Programmes?

Reply from the Minister of Energy on 2 Jul 2018

Government employees declare their financial interest in companies annually as required by the Public Service Regulations.

Approved / Not Approved

Mr J T Radebe, MP

Minister of Energy

Date:

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2018-w2165 - 02 July 2018

Thilivhali Elphus Mulaudzi to ask the Minister of Energy

Did certain persons (names furnished) declare that they were directors in certain companies (details furnished), all of which had their bids accepted as part of the most recently signed Renewable Energy Independent Power Producer Programme agreements; if so, on what basis was this approved?

Reply from the Minister of Energy on 2 Jul 2018

Projects are not evaluated on the directorship of participating companies but rather on the shareholding of each project company to ensure that the bid criteria in respect of South African Entity and Black ownership participation are met. Thus the persons (names furnished) were not required to declare directorship.

All bidders are bound by rules against collusion which may result in disqualification. The commonality in ...

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2018-w2166 - 02 July 2018

Thilivhali Elphus Mulaudzi to ask the Minister of Energy

Did certain persons (names furnished) declare that they were directors in certain companies (details furnished), all of which had their bids accepted as part of the most recently signed Renewable Energy Independent Power Producer Programme agreements; if so, on what basis was this approved?

Reply from the Minister of Energy on 2 Jul 2018

Projects are not evaluated on the directorship of participating companies but rather on the shareholding of each project company to ensure that the bid criteria in respect of South African Entity and Black ownership participation are met. Thus the persons (names furnished) were not required to declare directorship.

All bidders are bound by rules against collusion which may result in disqualification. The commonality in ...

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2018-w2047 - 02 July 2018

Jan Adriaan Esterhuizen to ask the Minister of Energy

With reference to the cost of (a) Medupi that stands at R86.5 billion from R49.8 billion and (b) Kusile that stands at R83 billion from R57 billion but neither of which are near completion, what are the reasons that Eskom’s finance cost for the current financial year has increased with 82% whereas the specified amount excludes all the capitalised finance cost for work construction, like Medupi, Kusile and all other projects that are still under construction?

Reply from the Minister of Energy on 2 Jul 2018

I wish to inform the Member that it is not part of the mandate of the Department of Energy to build power stations such as Medupi and Kusile.

Approved / Not Approved

Mr J T Radebe, MP

Minister of Energy

Date:

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2018-w2050 - 02 July 2018

Elsabe Natasha Ntlangwini to ask the Minister of Energy

What (a) variables were taken into consideration when deciding on petrol price increases and (b) steps is the Government taking to ensure that the price of petrol does not become unaffordable?

Reply from the Minister of Energy on 2 Jul 2018

The Member may be aware that key contributing factors to the local fuel price is the performance of the rand versus leading currencies, as well as the international cost of petroleum. We have advised motorists to avoid unnecessary journeys, make use of car-pooling, and practice economical driving techniques.

Approved / Not Approved

Mr J T Radebe, MP

Minister of Energy

Date:

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2018-w2141 - 02 July 2018

Marshall Mzingisi Dlamini to ask the Minister of Energy

What steps have been or will be taken to address the impact of coal Independent Power Producers (IPPs) on Eskom, in view of the fact that Eskom may have to close certain of its own coal plants early to meet the offtake requirements of the coal IPPs, and even earlier in a low greenhouse gas emission scenario, and will be faced with having to sell electricity at very high prices in circumstances where more and more electricity consumers are defecting from the grid?

Reply from the Minister of Energy on 2 Jul 2018

Eskom is not closing its own coal plants early as a result of offtake requirements of the coal IPPs. Eskom’s policy on the decommissioning of its fleet is informed by an optimal balance of cost efficiencies, reduced capacity and carbon emission considerations. Eskom’s planned decommissioning of the Arnot, Camden, Grootvlei, Hendrina, Komati coal-fired power stations was already projected in the Integrated Resource Plan (IRP) ...

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2018-w2142 - 02 July 2018

Marshall Mzingisi Dlamini to ask the Minister of Energy

With reference to his statement on 1 June 2018 in which he stated that the two coal Independent Power Producers (IPPs) would give rise to at least 5 000 jobs during construction (details furnished), (a) where did he obtain this figure and (b) can he verify it, as the figures provided by the coal IPPs are different?

Reply from the Minister of Energy on 2 Jul 2018

In terms of the Request for Proposals (RFP) for coal IPPs, the preferred bidders bid the following in terms of job creation:

 

Project 1

Project 2

Total

Jobs during Construction (person years)*

7 943

2 377

10 320

Jobs during Operations (person years)

10 678

4 626

15 304

Total jobs in person years

18 621

7 003

25 624

*(Person years: 1 ...

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2018-w2143 - 02 July 2018

Marshall Mzingisi Dlamini to ask the Minister of Energy

Whether he is aware of the development fee to be paid by Independent Power Producers (IPPs) to the National Treasury and to his department in order to set up the Project Development Fund for Baseload Coal Energy (details furnished); if so, what is the (a) total amount in Rand of the development fee and (b) breakdown of all costs that (i) have been incurred and (ii) will be incurred by his department for the procurement of energy from IPPs?

Reply from the Minister of Energy on 2 Jul 2018

(A) The development fee of the Baseload Coal Independent Power Producers Procurement Programme has been set in the Request for Proposals (RFP) (December 2015) at 1.75% of the Total Project Value. The development fee is utilised as a cost recovery mechanism for costs incurred in the design, development, procurement and implementation over a 30-year contract term. The exact Rand value of the Development Fee ...

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