Posts tagged as coal

Coal 2018: Analysis and forecasts to 2023

Coal remains a major component of global fuel supplies, accounting for 27% of all energy used worldwide and making up 38% of electricity generation. It plays a crucial role in industries such as iron and steel. But concerns about air pollution and greenhouse gas emissions cloud the future of coal. This year’s annual IEA coal […]

Is a shortage of coal really the cause of loadshedding?

Eskom has repeatedly said that the shortage of coal at some power stations, together with breakdowns resulting from previously deferred maintenance, has resulted in the power utility having less power generation capacity than what is needed to meet the country’s demand. To protect the system from total collapse, we have been told, the utility needs at […]

Were corrupt officials behind Eskom’s policy of coal from 51% black-owned mines?

When Eskom’s chairman Jabu Mabuza stated that everybody is to blame for the current load shedding last week, there was quite a reaction. The week before, at Eskom’s interim results presentation, he made another strange statement that went mostly unnoticed. Mabuza told journalists and analysts that Eskom doesn’t have a policy that coal suppliers must be majority […]

Eskom is unsustainable in its present form

Eskom’s road to sustainability will be long, hard and painful. The power utility is facing severe challenges financially and operationally. The risk of load shedding in the coming months remains fairly high; the cost of keeping the lights on will further impact financial performance; and tough decisions are necessary to achieve full recovery. That’s the […]

Light at the end of the tunnel? Eskom reveals recovery plan

Eskom’s new chief executive officer, Phakamani Hadebe, says the board has approved a turnaround strategy which will address the power utility’s major difficulties. The institution has compiled a 9-point recovery plan which is designed to overcome problems in its generation division and enable the power utility to meet its obligations to provide a reliable supply […]

Eskom’s coal stockpiles deteriorate further

Eskom’s coal stockpile situation has deteriorated further, with five power stations having less than 10 days’ stock. Interventions to stabilise the coal supply may only have a positive impact by March next year. This means Eskom is entering the rainy season in Mpumalanga extremely exposed and that load shedding is a real risk, Eskom spokesperson Khulu […]

The myth of “clean coal”: Why coal can only ever be dirty

“Clean coal” is sometimes promoted as the lifeline that will allow governments to continue to depend on coal for energy generation. But there is no such thing as “clean coal”. South Africa is the biggest coal producer in Africa. Over the past 10 years alone, South Africa has produced an average of 254-million tons of […]

Funding of two new coal IPPs in South Africa under threat

International and local efforts to restrict funding for construction of new coal-fired power plants are gaining momentum, and threatening financial closure of the planned two new coal independent power producer projects in South Africa, Thabametsi and Khanyisa. In the latest development, it has been reliably learned that last week Standard Bank advised the director general […]

Eskom’s anticipated long-term strategic recovery plan delayed

Eskom says its long-term strategic recovery plan will be published later than originally announced. This state-owned power utility – the largest in Africa and for many years the model for and envy of many international power companies – is virtually broke. It is in so much debt that servicing that debt is eroding any profit […]