Eskom-Coega join forces in new nuclear build programme

ESKOM and the Coega Development Corporation (CDC) yesterday signed a memorandum of understanding to be co-operative in the mooted new nuclear build programme.

While the review of the integrated resource plan (IRP 2010) is under way, Eskom is going ahead with preparations for the new nuclear build programme. The power utility is seeking environmental authorisation for the first nuclear reactors, and has identified the Thyspunt site, near Port Elizabeth, as the preferred site.

Eskom’s group executive for group capital, Abraham Masango said yesterday that the utility had learnt from its previous big projects such as the construction of Medupi power station that it needed to partner with other institutions.

While the IRP was under review, he said, Eskom was guided by the previous projections which anticipated first nuclear power in 2023. But he said a revised IRP would have an effect on the nuclear programme’s timelines.

“We are gearing ourselves up in preparation for the new nuclear build programme in order to deliver the project within the set timelines and budget. We want to ensure that South Africans get reliable, decarbonised baseload power that will bring sustainable economic growth,” said Masango.

Until Eskom gets the request for the proposals process under way, the cost of the nuclear plan remains a mystery. In December last year, Eskom issued a request for information, which marked the first steps of the nuclear procurement process. The utility is expected to issue the much-anticipated request for proposals this year. The delay in the issuance of the request for proposal has fuelled speculation that the nuclear programme was unaffordable.

Masango said Eskom had to analyse the skills required for the nuclear programme and consider the customisation of existing skills to nuclear. He said the utility would learn from other countries which were executing nuclear programmes. “There are close to 60 nuclear plants under construction (globally). There is a huge comparing of notes. The only difference is that our environment may be slightly different,” he said.

The agreement with CDC covered, among others, project management and implementation services for infrastructure development, skills development and localisation and socio-economic development studies.

CDC executive manager for business development, Christopher Mashigo, said the collaboration with Eskom was in line with CDC’s mandate to create an industrial complex to increase value-added production.

“An integrated energy plan carries with it the potential to catalyse the reindustrialisation of the East Coast Corridor manufacturing economy, translating to a higher and inclusive growth path and job creation,” said Mashigo.