DOCUMENTS

Medupi to cost R98,8bn (exc IDC) - Minister

R38,1bn spent so far on project, Kusile to cost R120bn (exc IDC)

Mr D C Ross (DA) to ask the Minister of Energy:

(1) What are the (a) projected. (b) current and (c) outstanding costs with regard to the (1) Medupi and (ii) Kusile Power Station projects;

(2) Whether a comprehensive study on meeting South Africa's energy needs has been conducted since the start of the Medupi and Kusile Power Station projects: if not, why not; if so, by whom:

(3) Whether the study made reference to the reactivation of dormant power plants; if not, why not; if so, what are the relevant details? NW5I5E.

Reply

(1) Number based on 31 December 2010 quarterly

Power station

Projected costs [excluding interest during construction (IDC)]

Current costs (excluding IDC)

Outstanding costs (excluding IDC)

Medupi

R98,8 billion

R38,1 billion

R60,7billion

Kusile

R120,0 billion

R21,4 billion

R98,6 billion

(2) The Department of Energy has developed a 20 year Integrated Resources Plan (IRP) to ascertain the country's electricity supply options to meet the growing electricity demand. The IRP incorporated committed projects including Medupi, Kusile, Return to Services and other non-Eskom interventions to meet the demand.

In addition, the Medium Term Risk Mitigation Plan was developed to look at other interventions within and outside Eskom supply options to meet the demand before the committed projects (Medupi, Kusile and Ingula Power Stations) reach their commercial operation dates. The IRP will be finalised toward the end of March 2011.

(3) The IRP look at a holistic supply options to meet the demand. This Includes the Return to Services (RTS), municipal generators and decommissioning of other plants over the period of 20 years.

Issued by Parliament, March 23 2011

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