Coal shortage: the truth

WE TOLD YOU: ESKOM SAYS IT INFORMED NERSA ABOUT SUPPLY CHALLENGES

‘Quality of coal from Tegeta mine among factors that affected stock levels.’

Eskom says it had informed National Energy Regulator of South Africa (Nersa) about the current coal supply challenges and planned remedial actions as per regulatory requirements.

Eskom is facing significant shortages of coal supply at seven coal-fired power stations, particularly those in Mpumalanga, which would have a serious impact on its operations and the entire country.

The power utility said the prevailing situation at the seven stations – Arnot, Tutuka, Majuba, Hendrina, Camden, Kriel and Komati – is that coal stock levels are below the required target of 20 days as stipulated in the Grid Code.

Eskom said that a number of factors, including the historical underinvestment at cost-plus mines due to capital constraints and the undersupply on both coal quality and quantity by the Tegeta mines, which are under business

Eskom has contracted that much of the coal it requires over the next five years.

rescue – have negatively impacted stock levels and production.

Eskom’s interim group chief executive, Phakamani Hadebe, said the recent media reports on impending load shedding due to a shortage of coal were unfounded.

Hadebe said Eskom has informed Nersa of the current coal supply challenges and planned remedial actions as per regulatory requirements.

“Eskom has contracted 84% of the coal it requires over the next five years,” said Hadebe.

“A recovery plan is in place to address the short-term imbalance of coal and to improve the stock days at the seven stations below minimum.

“Eskom is working on ways to expedite the coal procurement process at these mines.”

Eskom said the recovery plan includes securing additional coal supplies for the affected stations, adding that a further redirection of coal stock was under way to address the imbalance. – ANA