Name of the Project
Thabametsi independent power producer coal-fired power station project.

Location
The project will be built near Lephalale, in South Africa’s Limpopo province, adjacent to Exxaro’s Grootegeluk coal mine.

Client
Thabametsi Power Company, sponsored by Marubeni Corporation and Korea Electric Power Corporation.

Project Description
The power project was selected as a preferred bidder in the first bid window of the South African Department of Energy’s Coal Baseload Independent Power Producer Procurement Programme (CBIPPPP) in October 2016.

The project involves the construction of a 630 MW capacity circulating fluidised-bed coal-fired power plant comprising two 315 MW units, which will be fuelled by Exxaro Resources’ Thabametsi coal mine.

The aim is to increase the plant’s capacity to 1 200 MW, according to the project’s climate change study and palaeontological impact assessment released in June 2017.

Potential Job Creation
Not stated.

Value
The project is estimated at $2-billion.

Duration
The power plant is expected to be operational in 2021. The project was included in the draft Integrated Resource Plan, or IRP2018, in August 2018.

Latest Developments
Civil society organisation  Life After Coal contends that the Thabametsi coal-fired power station will never be built.

The organisation has said that the  project is “mired” in multiple legal challenges that will continue for years.  Thabametsi was sent back to the drawing board, when the Environmental Affairs Minister was ordered to consider the climate change impacts of the power station, before making a decision to authorise it.

In addition to the High Court review, Thabametsi still has to obtain an atmospheric emission licence from the Department of Environmental Affairs. Affected parties are in the process of commenting again on a revised application.

If the licence is issued, it will be challenged on appeal.

Thabametsi also has to obtain a water use licence. A revised application was submitted in February, to which Earthlife Africa and groundWork objected. If the licence is issued, it will be challenged on appeal at the Water Tribunal.

Additionally, Thabametsi has to obtain a National Energy Regulator of South Africa generation licence.

Earthlife Africa objected to this application and presented its stance to the regulator at a hearing held in March. If issued, the licence will likely be challenged on review in the High Court.

Further to this, the financing for the project is yet to be finalised.

Key Contracts and Suppliers
Doosan Heavy Industries & Construction Co (provisional engineering, procurement and construction contract).

On Budget and on Time?
Not stated.

Contact Details for Project Information
Marubeni Corporation, tel +27 11 290 6000 or fax +27 11 784 4846.