Question NW851 to the Minister of Mineral Resources and Energy
24 March 2023 - NW851
Madokwe, Ms P to ask the Minister of Mineral Resources and Energy
(1)What is the status of the request that his department and all pertinent stakeholders should review the contracts of Independent Power Producers (IPP); (2) whether he will furnish Ms P Madokwe with information about all (a) IPPs that are overcharging the State, (b) IPP contracts that the State has since entered into to help with load shedding and (c) relevant details regarding the (i) names of the directors of the companies, (ii) price per unit of power charged to the State and (iii) length of the specified contracts in each case; if not, why not; if so, by what date in each case?
Reply:
In respect of (1)
The Department of Mineral Resources and Energy and the IPP Sector (primarily Project Companies and Lenders) engage with the matter pertaining to tariffs perceived to be high. It was resolve that a refinancing mechanism be introduced to facilitate the reduction of tariffs without affecting project viability.
To date 15 projects have successfully refinanced their debt thus saving consumers R 4 billion rands in tariffs over the term of the contracts. More refinancing applications are being processed.
In respect of (2)(a)(b)(c)
The said information could be provided upon receipt of a request. It should be noted that such information provision will be done in accordance with legislation such as the POPI Act.