Nelson Mandela Bay SME group backs Karpowership, plans march to Transnet

Says the project will address unemployment and poverty in the municipality, and wants it fast-tracked.
The group has dismissed concerns about the impact of the gas-to-electricity ships on coastal ecosystems as ‘propaganda’. Image:

The Local Business Committee (LBC) – a group claiming to have the support of more than 5 000 small and medium-sized enterprises (SMEs) in the Nelson Mandela Bay Municipality – has thrown its weight behind Karpowership’s plan for a gas-to-electricity ‘power ship’ to be moored in the Eastern Cape industrial port of Coega.

Despite opposition from several quarters to Karpowership’s broader plans to have three such ships at the ports of Coega, Richards Bay and Saldanha Bay, the LBC on Friday said it backs the plan and will be marching to Transnet’s offices in Coega this week to highlight its support.

During a media briefing, the LBC’s leadership said concerns raised by environmentalists and fishing communities about the anticipated impact of Karpowership on the coastal ecosystem is “merely a propaganda campaign”.

Read: Fishing communities fear their livelihoods are threatened by Karpowership plan

LBC secretary general Masixole Mashelele said: “They [fishing communities] are not at Coega anyways, [as] Coega is an industrial development zone. So they’ve got nothing to do with fishing at Coega. We see this as propaganda or a narrative that is trying to block the black-owned company [being established].”

The business committee told Moneyweb it has not received complaints from local fishermen in Coega about Karpowership’s plans, but that it remains open to engaging them should they feel the need to.

March to Transnet

The LBC, which interestingly exists under the guidance of the office of the provincial Department of Economic Development, Tourism and Agriculture, said it will mobilise its constituents and march to the Transnet National Ports Authority in Coega on Wednesday to call for the fast-tracking of the Karpowership project.

“We are going there to hand over our memorandum of understanding, to say let the Karpowership project start and solve the issue of poverty and unemployment in the region,” Mashelele said.

He could not clarify the business committee’s strategy behind the planned march on Wednesday but said Transnet is one of many destinations the committee will be targeting to make its position known.

The National Energy Regulator of South Africa (Nersa) in September granted Karpowership – a subsidiary of the Turkish Karadeniz Energy Group – three licences to generate power on floating gas-to-electricity ships at the country’s three industrial ports.


However, since the Department of Mineral Resources and Energy (DMRE) named the company as one of the preferred bidders in the department’s Risk Mitigation Independent Power Producer Procurement Programme (RMI4P) in March, Karpowership has met with resistance from environmentalists, fishing communities and civil rights organisations.

Bids for the RMI4P were initially meant to reach financial close in August 2020, but the DMRE has kept revising the deadline, with the most recent cut-off date being January next year.

Issues further delaying Karpowership’s operations in the province include the fact that the company has not received environmental authorisation from the Department of Forestry, Fisheries and the Environment.

Read: SA extends financial close for emergency power bids

In addition, the company does not have port authorisation from Transnet and it does not have a power purchase agreement between itself and Eskom.

Karpowership expected to benefit small businesses

Despite having not met with Karpowership to discuss exactly how local businesses will benefit from its presence, the LBC expects that Karpowership’s presence in the Nelson Mandela metro will help turn it around and bring good fortune to local businesses that will be part of the Karpowership supply chain.

“We will have EMEs [emerging micro enterprises] that are supplying them [Karpowership] as caterers, EMEs that are supplying uniforms, cleaning services, we’ll have security guards,” said Mashelele.

“There are a lot of opportunities it will bring.”



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Mashelele is day dreaming.

Zumas Russian Nuclear plants to Cyril’s Powerships?

The cadres need enormous “investments” to keep the gravy train on track, lest the sales of fancy cars, designer clothes, watches, unaffordable whiskey and of course multi million rand homes will go up in smoke

Cometh the hour for the tick, the voters get a food parcel and T Shirt with the promise of jobs

Then they go home, complain about the ANC for 5 years, then told it’s the fault of the 5% and life carries on

Wonder who actually creates jobs in this country? Could it be the honest tax paying citizen, the sligging 5%? Just asking for a friend

Another opportunity to loot

They really believe it will bring employment. So a ship that arrives fully manufactured and uses imported gas will create jobs?

Probably about 5. Whilst fleecing the country for 20 years

Exactly. Just follow the money on this one….

As discussed already so often in endless articles, tv debates and the rest, this whole RMI4P program does not make ANY economic, logical or ecological sense, especially the 4 Karpowerships in 3 locations.
This LBC committee must be linked to, sponsored by fossil dinosaur Mr Hazenile himself, originating from this province.

This E Cape SME was probably part of the the ANC’s patronage story.

The only people whom they would ’empower’ are themselves and the Turkish company, and they would enslave the rest of SA citizens.

More marching and more delivering letters that I NEVER SEE THE OUTCOME OF????????????? Hahahahahahahahahahahahahahahahaha

I am not opposed to this as an interim solution.

The Coega harbour is ideally situated quite far outside of PE.

My concern is that we all know how the ANC sets up deals to steal (e.g. Eskom power stations)

Further to that we all know that the ANC has no intellectual capacity or management ability to actually solve the problem in the long term.

So this unfortunately wont be an interim solution and the ANC will keep milking the taxpayer with increased costs for them to loot more.

And therein lies the problem.

Would be interested to hear exactly how he believes this will solve the issues of poverty and unemployment in the Eastern Cape.

Would it somehow make everyone employable because they would become smarter overnight, or would it cause people to work faster or harder, or would it just create thousands of businesses out of thin air without there previously being any need or demand for those services or products?

Hard to believe that many people will accept this drivel as gospel without applying their minds or thinking these statements through to a proper conclusion.

I use to like seeing the dolphins and sharks from the peer. I guess this will be done just like the aquarium. Just bring some pollution to the bay.

NMB, the EC have excellent potential for wind energy. And PV will definitely work not too badly there.

Interesting that some people can build and maintain a power station on a ship and we can’t even manage to build one on land and within budget. And no, Medupi and Kusile are not considered complete.

Political Science 101..
1. Create (manufacture) a problem that will needs lots of taxpayer money to fix.
2. Make sure that you receive lots of commissions whilst you are creating the problem and have the PR people divert public attention elsewhere.
3. Find the solution to the problem that needs the most taxpayer money over the longest timeframe in order to meet the publicly perceived needs that the PR people have been feeding to your victims.
4. Initiate the money flow and move on to your next problem making project.

Nelson Mandela Bay Municipality? …. Could this possibly be an ANC motivated campaign in a DA run municipality? Is there and election coming up?

Amazing what a small briefcase of cash can muster in terms of populist -“rent a crowd” – support!!

Are the eventual individual beneficiaries of Karpowership SA identified? As in, the way a FICA exercise must trace back up to the humans behind trusts and companies?

End of comments.



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