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Eskom lays out plan to move away from coal

Utility is under pressure to cut emissions.
Electricity transmission pylons near the Komati coal-fired power station, operated by Eskom in Mpumalanga. Image: Bloomberg

Eskom Holdings chief executive officer Andre de Ruyter laid out a funding plan to help the company, which generates the bulk of South Africa’s power from coal, transition away from the use of the dirtiest fossil fuel.

De Ruyter said the company is proposing a multi-lender loan facility from development finance institutions that would be paid out in segments over a number of years. Mandy Rambharos, the head of Eskom’s just energy transition department, has previously said the transition could cost $10 billion.

The utility is considering 8 017 megawatts of projects, ranging from wind power to solar, hydropopwer and gas, he said in a presentation to the Presidential Climate Commission on Friday. The Komati coal-fired power plant will be the first to be converted away from the fuel and serve as a pilot project for the conversion of a number of other facilities.

Eskom and South Africa are under pressure to cut emissions of greenhouse gases and other pollutants as parts of the country are among the world’s most-polluted and the utility accounts for about two-fifths of the country’s emissions. South Africa is the world’s 12th-biggest emitter of the climate-warming gases.

In a separate presentation, Deputy Finance Minister David Masondo said there were a number of ways to resolve Eskom’s R400 billion debt burden, including asking for debt forgiveness at the sovereign level in exchange for meeting climate goals. An equivalent amount would then be given to Eskom as an equity injection, he said.

Other options include listing the company on a stock exchange or inviting foreign utilities to take a stake. Masondo said he isn’t in favor of shifting a portion of Eskom’s debt onto the state balance sheet or putting it in a special-purpose vehicle.

The proposals aren’t the views of the National Treasury, he said.

© 2021 Bloomberg

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Wow !!!
Another Plan !!!
Aagh ok so just one more thing that will not happen !!!

Yes never mind a plan to JUST keep the lights on in SA,

they will try do it blindfolded in future..

The massive coal trucking industry that has been created through Eskom’s ineptitude will not be happy.

eskom’s best future plan could be to rather close down and let the private sector take over and show the then retired / fired eskom employees how a business is run – they still have the built-in mentality that at the end of the day their “work performance” is not measurable, and any loans are 100% guaranteed by the government i.e. the taxpayer

And Sasol? The single biggest oint air polluter in the south of the equator.
Hoe are they doing with reduction in CO2 and other emmisions?

Tried rubbing two sticks together yet?

End of comments.

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