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State Companies News

Diversified fuel source required to fuel local facilities

By: Simone Liedtke     3rd February 2017 South Africa requires a diversified fuel source for power generation, and natural gas is an ideal fuel, as several facilities in the country are compatible with natural gas to fuel power plants, and the resulting infrastructure will benefit other industries and end-users, says engineering... 

Defence industry sector charter approved

By: Keith Campbell     1st February 2017 Stakeholders in the country’s defence industry adopted the Defence Sector Charter, which is intended to promote black economic empowerment in the sector, on Tuesday. The decision was taken at a stakeholder consultation session, which was attended by industry experts, suppliers, trade union... 

Eskom receives 27 nuclear RFI ‘acknowledgement’ forms

By: Terence Creamer     31st January 2017 South African electricity utility Eskom has confirmed receipt of 27 ‘acknowledgement forms’ formally notifying the State-owned group of an intention to respond to its Nuclear New Build Programme request for information (RFI). It has also confirmed that notifications were received from major... 

Eskom receives 27 nuclear RFI ‘acknowledgement’ forms

New Nersa chief insists regulator will not act illegally when determining 2017 power tariffs

By: Terence Creamer     31st January 2017 Newly appointed National Energy Regulator of South Africa (Nersa) CEO Christopher Forlee insists that the Energy Regulator will not take any “illegal” decisions when making a determination in February about the trajectory of Eskom’s 2017 tariffs. Instead, any decision will seek to navigate the... 

Nersa CEO Christopher Forlee
Photo by Duane Daws
Nersa CEO Christopher Forlee

Opinion: How Minister Brown can address Eskom’s conflicting interests 

30th January 2017 In this article, Mark Pickering argues that the short answer to the current impasse between Eskom and renewables generators is to instruct Eskom to comply with the law and sign the agreements. The longer answer, however, will involve a more complex restructuring of the utility. 

Mark Pickering
Mark Pickering

South Africa signs social economy MoU with Flanders, ILO

By: Megan van Wyngaardt     30th January 2017 The Department of Economic Development on Monday signed a memorandum of understanding (MoU) with the government of Flanders and the International Labour Organisation (ILO), aimed at advancing South Africa’s social economy. Speaking at a media briefing on Monday, Economic Development Minister... 

Economic Development Minister Ebrahim Patel
Photo by Duane Daws
Economic Development Minister Ebrahim Patel

Digital solutions to drive next wave of industrial productivity – Immelt

By: Terence Creamer     27th January 2017 The next wave of industrial productivity will be driven by digital solutions, GE CEO Jeff Immelt argued during a visit to South Africa this week, adding that industrial firms would, therefore, have little option but to rethink their strategies in a digital context. The US multinational is in the... 

GE CEO Jeff Immelt
Photo by Duane Daws
GE CEO Jeff Immelt

Exxaro will support any ‘sustainable’ plan for restarting Arnot 

By: Terence Creamer     26th January 2017 Mining group Exxaro says it will be guided by Eskom on the future of the Arnot coal mine, in Mpumalanga, which was closed after Eskom’s contentious December 31, 2015, decision not to renew a 40-year coal supply agreement (CSA) with Arnot, an Eskom-tied mine operated by Exxaro. The termination of... 

Eskom interim CEO Matshela Koko
Eskom interim CEO Matshela Koko on Arnot, Matla and Exxaro's empowerment structure. Camera Work & Editing: Nicholas Boyd

Eskom talks tough on renewables, coal 

26th January 2017 Creamer Media's Chanel de Bruyn speaks to Engineering News Editor Terence Creamer about Eskom’s continued reluctance to sign power purchase agreements for new renewables capacity and its aim to use its coal procurement as leverage to transform the coal industry. 

Eskom talks tough on renewables, coal
Eskom talks tough on renewables, coal

France’s EDF declares intention to respond to Eskom’s nuclear RFI

By: Terence Creamer     25th January 2017 The French nuclear industry, led by electricity utility EDF, formally declared its intention on Wednesday to submit a response to the Nuclear New Build Programme request for information (RFI), which was released by South Africa’s Eskom on December 20. The announcement by EDF followed reports that... 

EDF's Flamanville 3 reactor under development in north-western France
EDF's Flamanville 3 reactor under development in north-western France

South Africa has much to do as risk of ratings downgrade remains

By: Megan van Wyngaardt     25th January 2017 South Africa still had much to do to avoid potentially being downgraded to junk status in the year ahead, with the country having already “dodged some bullets” at the end of last year. During a panel discussion at Deloitte’s Africa Outlook 2017, Standard & Poor’s (S&P’s) MD Konrad Reuss said the... 

South Africa has much to do as risk of ratings downgrade remains

Anglo confident of ‘favourable outcome’ with Eskom on sale of three tied coal mines  

By: Terence Creamer     25th January 2017 Mining group Anglo American says it has held discussions with and continues to engage with Eskom, government and potential bidders on its plan to exit its Eskom-tied mines – Kriel, New Denmark and New Vaal. Responding to Eskom interim CEO Matshela Koko’s insistence that Eskom had assets at the... 

Public Enterprises Minister Lynne Brown and Eskom interim CEO Matshela Koko
Eskom interim CEO Matshela Koko on Anglo American's proposed exit of Eskom-tied coal mines. Camera Work & Editing: Nicholas Boyd.

Eskom will appoint a permanent CEO soon – Lynne Brown 

By: African News Agency      24th January 2017 Public Enterprise Minister Lynne Brown on Tuesday, said that Eskom would appoint a permanent chief executive office (CEO) within the first quarter of this year. Eskom’s top job became vacant at the end of December, when former CEO Brian Molefe resigned following his implication in possible... 

Public Enterprise Minister Lynne Brown
Photo by Duane Daws
Public Enterprise Minister Lynne Brown

Revisions to public procurement regulations to further boost economy

By: Megan van Wyngaardt     24th January 2017 The revised Preferential Procurement Regulations, which were gazetted on January 20, have introduced prequalification criteria, which allow the advancement of selected categories of people by limiting competition. The restriction will limit the inclusion of well-established companies, unless they... 

Finance Minister Pravin Gordhan
Photo by Dylan Slater
Finance Minister Pravin Gordhan

Eskom, IPP deadlock on renewables PPAs coming to a head 

19th January 2017 Creamer Media's Chanel de Bruyn speaks to Engineering News Editor Terence Creamer about the impasse between Eskom and renewables IPPs on the signing of power purchase agreements. 

Eskom, IPP deadlock on renewables PPAs coming to a head
Eskom, IPP deadlock on renewables PPAs coming to a head

IPPs ‘entitled’ to approach courts to force Eskom to sign PPAs 

By: Terence Creamer     18th January 2017 A legal opinion secured by the South African Renewable Energy Council (Sarec) relating to the refusal by Eskom to conclude contracts with 37 independent power producers (IPPs) selected as preferred bidders by the Department of Energy (DoE) more than a year ago states that the IPPs “would be... 

IPPs ‘entitled’ to approach courts to force Eskom to sign PPAs

Fedusa takes aim at SoEs with Section 77 notice  

By: Natasha Odendaal     16th January 2017 The Federation of Unions of South Africa (Fedusa) is taking a stand against government’s alleged failure to appoint “suitably qualified, accountable, responsible and responsive” management at some of South Africa’s vital parastatals. A Section 77 Protest Action Notice has been lodged with the... 

Fedusa takes aim at SoEs with Section 77 notice

Sarec slams Eskom for distorting facts in calculating renewables-related loss 

By: Terence Creamer     12th January 2017 The South African Renewable Energy Council (Sarec) has slammed as a “blatant distortion of facts” Eskom’s claim that the country suffered a net economic loss of R9-billion in 2016 as a result of the State-owned utility’s purchases of power from the country’s renewable-energy plants. It has also... 

Sarec slams Eskom for distorting facts in calculating renewables-related loss

Comair CEO raises questions on State airlines merger 

By: News24Wire      12th January 2017 It is unclear what a merger between the three State-owned airlines SAA, Mango and SA Express would achieve that cannot be achieved by each airline individually, Erik Venter, CEO of Comair, told Fin24. This was in reaction to a parliamentary response by Public Enterprises Minister Lynne Brown.... 

CSIR responds to Eskom claim of R9bn renewables-related economic loss in 2016 

By: Terence Creamer     11th January 2017 The Council for Scientific and Industrial Research (CSIR) has responded to Eskom’s claim that buying power from the country’s renewable-energy plants resulted in a net economic loss of R9-billion in 2016 – a trend that could persist for the next five years, owing to the country’s surplus supply... 

CSIR responds to Eskom claim of R9bn renewables-related economic loss in 2016

PRASA must get house in order or face collapse – Untu 

By: Megan van Wyngaardt     22nd December 2016 The United National Transport Union (Untu) has lashed out against South African railway services, including the Passenger Rail Agency of South Africa (PRASA) and Transnet, stating that it needed to provide proper service, or face “total collapse”. The union said that a number of incidences in the... 

PRASA must get house in order or face collapse – Untu

Umkhonto missile export programme now in its final stages

By: Keith Campbell     16th December 2016 South African State-owned defence industrial group Denel announced at the end of last month that extensive testing of the Denel Dynamics Umkhonto (“Spear”, in English) naval surface-to-air missile, for an export customer, would take place early next year. The Umkhonto forms part of the armament... 

Rate of growth in social investment by SA corporates stalled in 2016

By: Donna Slater     16th December 2016 Private sector companies and State-owned enterprises in South Africa spent R8.6-billion on social development during 2015/16, representing a 6% increase in nominal growth from the previous year, according to corporate social investment (CSI) and sustainability consultancy Trialogue.  

HANDBOOK LAUNCH
Trialogue director Cathy Duff presents the findings of research into South African corporate social investment expenditure
HANDBOOK LAUNCH Trialogue director Cathy Duff presents the findings of research into South African corporate social investment expenditure

New African owners of Ibhubesi gas prospect aim to settle Ankerlig supply deal in 2017

By: Terence Creamer     15th December 2016 The new African owners of the Ibhubesi Gas Project (IGP), off South Africa’s West Coast, report that negotiations with Eskom for the supply of gas to the Ankerlig power station are ongoing, with the conclusion of a gas supply agreement (GSA) targeted for the second quarter of 2017. The project... 

Sunbird executive chairperson Kerwin Rana
Sunbird executive chairperson Kerwin Rana

UN, Coca-Cola upskill 25 000 women entrepreneurs 

By: Anine Kilian     14th December 2016 The United Nations Entity for Gender Equality and the Empowerment of Women (UN Women), together with The Coca-Cola Company, on Wednesday celebrated the upskilling of 25 000 female micro entrepreneurs in South Africa, achieved through the entities’ project to empower women entrepreneurs through a... 

Department of Small Business Owners director-general Professor Edith Vries
Department of Small Business Development Edith Vries talks to Engineering News Online about female entrepreneurs in South Africa

Eskom insists Koeberg not affected by manufacturing anomalies afflicting French reactors 

By: Terence Creamer     13th December 2016 South African electricity utility Eskom insisted on Tuesday that the Koeberg nuclear power station, located in the Western Cape, is not affected by manufacturing anomalies that have afflicted the French nuclear industry this year, resulting in several reactor outages. The State-owned company... 

Eskom insists Koeberg not affected by manufacturing anomalies afflicting French reactors

Gordhan lashes Eskom in address to Numsa

By: African News Agency      13th December 2016 Finance Minister Pravin Gordhan on Monday criticised State-owned enterprises for obstructing government’s objectives through corruption, as he addressed the tenth conference of the National Union of Metalworkers of SA (Numsa). “Not all boards are working for us…They must work for South Africa... 

Finance Minister Pravin Gordhan
Photo by Reuters
Finance Minister Pravin Gordhan

Sars commissioner faces fraud charges

By: Sane Dhlamini     12th December 2016 Nonprofit anticorruption organisation Corruption Watch (CW) has laid criminal charges against South African Revenue Services (Sars) commissioner Tom Moyane for fraud and corruption. The charges relate to the matter involving alleged fraud and corruption committed by senior Sars employees, Jonas... 

SARS Commissioner Tom Moyane
Photo by Duane Daws
SARS Commissioner Tom Moyane

Zambia eyes energy diversification, reviews South Africa's progress

By: Natasha Odendaal     9th December 2016 Zambia has started reviewing its options to reverse the country's current energy constraints and diversify its own energy mix, leaving no viable potential initiatives off the table as it seeks to become a "power trader". The mostly hydropowered Southern African country is currently battling... 

Zambian President Edgar Lungu
Zambian President Edgar Lungu

Former President Mbeki appointed Unisa chancellor

By: Samantha Herbst     9th December 2016 In an effort to sustain the reputable profile of outgoing University of South Africa (Unisa) chancellor Judge Bernard Ngoepe, who served the university for 15 years before stepping down this week, Unisa has appointed former South African President Thabo Mbeki its new chancellor. In a media... 

Former President Thabo Mbeki
Former President Thabo Mbeki

Public consultations for IRP, IEP get under way as DoE attracts criticism over timelines, pricing basis 

By: Natasha Odendaal     7th December 2016 Planned nationwide public consultations got under way in Boksburg on Wednesday for the Department of Energy’s (DoE’s) long-awaited draft Integrated Energy Plan (IEP) and updated Integrated Resource Plan (IRP), drawing some industry criticism regarding timelines and an outdated pricing structure.... 

Public consultations for IRP, IEP get under way as DoE attracts criticism over timelines, pricing basis

SAA still years from break-even

By: Keith Campbell     2nd December 2016 National carrier South African Airways (SAA) does not expect to reach break-even point for another five years. “We remain committed to ensuring that the airline becomes financially self-reliant and the arrival of these aircraft mark a stepping stone in our move in that direction,” assured SAA... 

SAA’s first Airbus A330-300 airliner
Photo by SAA
SAA’s first Airbus A330-300 airliner

Koko appointed Eskom acting CEO 

By: Terence Creamer     30th November 2016 Eskom group executive for generation Matshela Koko has been named acting CEO as from December 1. The appointment follows the November 11 resignation of Brian Molefe, which came in the wake of the release of the Public Protector’s 'State of Capture' report, in which he was implicated. Molefe has... 

Matshela Koko
Photo by Duane Daws
Matshela Koko

Brown says current power build ‘trajectory’ may be detrimental to consumers 

By: Terence Creamer     30th November 2016 Public Enterprises Lynne Brown says that South Africa is currently adding electricity capacity to the grid at rate higher than what is required and argues that the “current trajectory” could be detrimental to consumers. She asserts, therefore, that it is “critical that the Integrated Resource... 

Public Enterprises Minister Lynne Brown
Photo by Duane Daws
Public Enterprises Minister Lynne Brown

S&P's downgrades Eskom further into junk territory

By: Reuters     25th November 2016 Standard & Poor's Global Ratings on Friday cut South African power utility Eskom's credit rating a further notch into subinvestment, raising concerns the country's sovereign rating would also be dragged into junk status. S&P's, which has South Africa's debt on the lowest investment level with a... 

CFO Anoj Singh
Photo by Duane Daws
CFO Anoj Singh

Eastern Cape SMMEs to manufacture dolosse for N2 refurbishment project

By: David Oliveira     25th November 2016 The South African National Roads Agency Limited (Sanral) announced last month the appointment of four small, medium-sized and microenterprises (SMMEs) in the Eastern Cape to manufacture interlocking concrete blocks, known as dolosse. The roads agency, which has a responsibility to protect its... 

‘Ramaphosa meets our criteria for president’: Cosatu

By: African News Agency      24th November 2016 Despite being embroiled in the fallout following the Marikana killings, the Congress of South African Trade Unions (Cosatu) said Deputy President Cyril Ramaphosa was the right person to take over the leadership of the African National Congress (ANC) next year. Cosatu’s second deputy president... 

‘Ramaphosa meets our criteria for president’: Cosatu
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