Jul 12, 2012
Eskom looking at fine coal for power generationBack
SECURITY|Africa|CoAL|Eskom|Resources|Security|Africa|South Africa|Security|Energy|Energy Requirements|Energy Supply|Fine Coal Products|Fine Coal-based Products|Power Generation|Power-generation|Product|Products|Security|Environmental|Eskom|Power|Security
© Reuse this
Eskom aimed to minimise the risks associated with primary energy supply and achieve a sustainable and consistent quality of supply for its power stations by establishing a strategic partnership with fine coal-based product manufacturers.
To this effect, the utility issued a request for information (RFI) earlier this week to assess and identify the markets and potential suppliers of fine coal, coal briquettes, coal pellets and any other fine coal-based products.
Eskom would also examine technologies, capability and capacity of the markets to meet its primary energy requirements.
The information sourced from the RFI would serve as a basis for the formulation of an approach to sourcing fine coal-based products.
Eskom, which currently had about 13 coal-fired power stations, believed that long-term coal supply was being threatened by international competition for South Africa’s coal, which has impacted on the price and availability of suitable coal. The utility recently suggested that some coal resources should be declared ‘strategic’ so that it could be dedicated to the local power generation market.
Eskom commented that long-term strategic supply partnerships with “responsive and flexible” suppliers able to provide security of supply at the lowest total cost of ownership would enable the optimisation of the total business value of primary energy supply.
Of the 237 291 net GWh of electricity produced by Eskom during the 2012 financial year, 218 212 GWh was coal-powered. Over 125-million tons of coal was burnt for this purpose.
Eskom planned to generate about 240 642 GWh of electricity during the next year.
The RFI would look at cost of delivery, sustainability, storage, job creation and skills development, localisation, broad-based black economic empowerment, environmental impact and price and cost structure, besides others.
The RFI was expected to close on August 15.
Edited by: Mariaan Webb© Reuse this Comment Guidelines (150 word limit)
Other Mining News
Tailings gold miner DRDGold appears to have turned a corner, lifting gold output by 8% to 37 005 oz in the first quarter of the 2015 financial year. This after the gold producer experienced several successive quarters in which it battled inefficiencies, low yields...
Platinum miner Aquarius Platinum on Friday reported a net profit of $5.21-million for the three months ended September 30 compared with a loss of $10.19-million during the prior corresponding period. This increase was driven by a 3% rise in production, 5% higher...
Mining giant BHP Billiton said on Friday that it was targeting further productivity gains, with the company operating more like an advanced manufacturer than a traditional resource company. “By the end of the 2017 financial year, we are targeting at least...
Recent Research Reports
Defence 2014: A review of South Africa's defence industry (PDF Report)
Creamer Media’s Defence 2014 report examines South Africa’s defence industry, with particular focus on the key participants in the sector, the innovations that have come out of the sector, local and export demand, South Africa’s controversial multibillion-rand...
Road and Rail 2014: A review of South Africa's road and rail infrastructure (PDF report)
Creamer Media’s Road and Rail 2014 report examines South Africa’s road and rail transport system, with particular focus on the size and state of the country’s road and rail network, the funding and maintenance of these respective networks, and the push to move road...
Real Economy Year Book 2014 (PDF Report)
This edition drills down into the performance and outlook for a variety of sectors, including automotive, construction, electricity, transport, steel, water, coal, gold, iron-ore and platinum.
Real Economy Insight: Automotive 2014 (PDF Report)
This four-page brief covers key developments in the automotive industry over the past 12 months, including an overview of South Africa’s automotive market, trade figures, production and the policies influencing the sector.
Real Economy Insight: Construction 2014 (PDF Report)
This five-page brief covers key developments in the construction industry over the past 12 months. It provides an overview of the sector and includes details of employment in the sector, infrastructure and municipal spending, as well as insight into companies’...
Real Economy Insight: Electricity 2014 (PDF Report)
This five-page brief covers key developments in the electricity industry over the past 12 months, including details of State-owned power utility Eskom’s generation activities, funding and tariffs, independent power producers and prospects for the sector.
This Week's Magazine
Integrated energy and chemical company Sasol has partnered with Unisa Graduate School of Business Leadership (SBL) professor and founder and CEO of PanAvest Partnership Dr Douglas Boateng to publish a series of books on executive supply chain management aimed at...
The World Wide Fund for Nature’s (WWF’s) 2014 Living Planet Index (LPI) indicates that there has been a 52% decline in vertebrate species since 1970. The Index tracked the trends of 10 000 discrete populations of over 3000 vertebrate species between 1970 and 2010.
Rwanda has joined a number of East African countries seeking to import electricity from Ethiopia as its demand grows. After it became apparent several generation project it is implementing will not come on stream early enough, now plans to import 400 MW from Ethiopia...
Metrorail’s first new passenger train will arrive in November next year, says Passenger Rail Agency of South Africa (PRASA) CEO Lucky Montana. “Next year we will be able to put our hands around the infrastructure and equipment we have been talking about for so long.”
The Competition Commission has launched an investigation into what it says are “price fixing, market division and collusive tendering in the market for the manufacture and supply of automotive components to original equipment manufacturers” (OEMs, or vehicle...