Question NW2477 to the Minister of Finance

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08 October 2018 - NW2477

Profile picture: Mathys, Ms L

Mathys, Ms L to ask the Minister of Finance

With reference to his reply to question 2162 on 25 June 2018, what are the details of the technical assistance the National Treasury provided to the Department of Energy?

Reply:

The Department of Energy (DoE) approached the Public-Private Partnership (PPP) Unit (now within the Government Technical Advisory Centre (GTAC)) of the National Treasury during 2010 for technical assistance in the procurement of new generation capacity from the private sector. This involved support in designing an appropriate procurement process, which was done by the DoE and PPP unit in consultation with the National Energy Reguation of South African (NERSA), Eskom, the Departments of Environmental Affairs, Water Affairs, Trade and Industry, Economic Development, Agriculture, Forestry and Fisheries, and the Presidency. The PPP Unit also provided assistance in regard to planning, modeling of different technologies, and the design of the government support programme in the form of power purchase agreements. The Request for Proposals was developed and launched on 3 August 2011.

Support for the procurement programme was also provided by the Development Bank of Southern Africa, which is responsible for its day-to-day office activities. It is funded through a development fee paid by successful bidders at financial close into a Project Development Fund for alternative energy located in GTAC, an Agency of the National Treasury.

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