Question NW1884 to the Minister of Public Enterprises
14 October 2021 - NW1884
Cachalia, Mr G K to ask the Minister of Public Enterprises
(a) What are the full details of companies and/or entities to whom the recent Eskom coal contracts were awarded and; (b) At what price in each case?
Reply:
According to the information received from Eskom:
(a)
Eskom has concluded 2 Coal Supply Agreements (“CSA’s”) for FY2022 as follows:
- Modification to the CSA with South32 SA Coal Holdings (Pty) Ltd from MMS to supply Duvha Power Station.
- A new CSA with Arnot OPCO (Pty) Ltd from Arnot Mine to supply Arnot Power Station.
(b)
Eskom cannot, at this point in time, fulfil the parliamentary request of disclosing the contractual prices of the above-mentioned CSA’s.
Eskom is currently progressing with coal supply negotiations with the shortlisted tenderers from RFP’s issued to the market. By disclosing this information to the public, the tenderers could potentially use this information to erode Eskom’s bargaining power.