Question NW2906 to the Minister of Mineral Resources and Energy
13 October 2023 - NW2906
Wolmarans, Mr M to ask the Minister of Mineral Resources and Energy
What (a) is the status of the projects that are yet to reach financial close and sign agreements under the Risk Mitigation Independent Power Producer Procurement Programme aside from the three projects of Karpowership and (b) steps has his department taken to resolve some of the challenges faced by Karpowership’s three projects?
Reply:
With regard to 1 (a) the status is as follows:
• Two (02) projects reached Legal Close on 30 August 2023 and are working towards reaching financial close;
• Project Agreements for two (02) additional projects are being prepared for legal Close. One (01) of the 2 projects is experiencing port access issues which are currently being attended to in conjunction with the relevant authorities; and
• One (01) project is experiencing difficulties with its project economics and bankability.
With regard to 1 (b) in so far as the department’s role in assisting all the projects including Karpowership, we have engaged, to the extent permitted by law, the Ports Authority to facilitate logical resolution of the port access challenges. What remains is for the projects to engage the relevant authorities and finalise all the outstanding matters.