Ngodwana Energy, for which Sappi and Patrice Motsepe’s African Rainbow Energy and Power (AREP) are major shareholders, is demanding that it be paid R222m by South Korean group KC Cottrell over shoddy work done at the 25MW biomass energy unit in Mpumalanga that has resulted in significant defects that require rectification.

Sappi first inked an agreement with the department of energy in 2018 to build the first biomass project under the government’s Renewable Energy Independent Power Producer Programme near its Ngodongwana mill in Mpumalanga, aimed at moving the economy away from coal...

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