Business Day

Eskom learned from current upgrades

- Economics Writer maswangany­in@bdfm.co.za

Power utility Eskom maintains that while constructi­ng a fleet of nuclear power stations would be costly for SA, the running expenses would be lower than if other energy sources were used.

The government was pushing for the constructi­on of nuclear power plants to add 9,600MW to the national grid.

Critics argue that the country cannot afford a nuclear build programme.

The issue has become part of the proxy war pitting Finance Minister Pravin Gordhan against President Jacob Zuma.

Opponents of the proposed nuclear build programme say more nuclear power stations will Tina Joemat-Pettersson cost more than a trillion rand and that, based on cost overruns during the constructi­on of previous power stations, SA cannot afford nuclear energy.

However, the government now says the Treasury will not be required to fund such a programme, and that Eskom’s balance sheet could support the constructi­on of new nuclear power stations.

At the weekend, Eskom maintained it had “learnt significan­t lessons” from its current new build programme that it could “put to good use in the nuclear programme and to reduce the risk of schedule delays and cost overruns”.

Earlier this month Energy Minister Tina Joemat-Pettersson sought to assure MPs that the fiscus would not fund the nuclear build programme, saying it would be transparen­t, above board and free of corruption

The minister said the Department of Energy was to propose to the Cabinet that Eskom be the designated procurer for the new nuclear build programme and that the utility’s balance sheet be used to raise funds for the programme.

Eskom said SA was wellequipp­ed to have nuclear power stations and the country had a nuclear safety culture, with Koeberg having operated safely for more than 32 years.

The Koeberg nuclear power station near Cape Town powers most of the Western Cape and has supplied about 4.4% of SA’s total electricit­y needs since 1984, according to Eskom.

In making its case for nuclear energy, Eskom has always insisted nuclear power is safe.

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