SA power market too large for only one player-CIC
There was no question that there was ample room and need for independent power producers (IPPs) and cogenerators in South Africa, as the power market was way too large to be served by only one player, Norconsulting and CIC Energy representative Tore Horvei said on Tuesday.
He told delegates at the Cogeneration World Africa 2010 conference that a country and its economy could be at risk by relying on only one large electricity supplier.
Horvei noted that the latest capital costs for both Eskom’s new Medupi and Kusile coal-fired power stations had likely been underestimated.
Further, a one-year delay in the Medupi power station would likely result in an additional R11-billion in finance costs, while the expected two- to three-year delay in the Kusile power station would likely add an [continue reading]