LETTER: Mantashe has the power to produce more power
The minister is procrastinating over new generation capacity and IPPs while Eskom crashes and burns
In terms of section 34(1) of the Electricity Regulation Act, mineral resources and energy minister Gwede Mantashe has sole authority to “determine that new generation capacity is needed to ensure the continued uninterrupted supply of electricity; determine the types of energy sources from which electricity must be generated, and the percentages of electricity that must be generated from such sources; determine that electricity thus produced may only be sold to the persons or in the manner set out in such notice; determine that electricity thus produced must be purchased by the persons set out in such notice; and require that new generation capacity must be established through a tendering procedure, which is fair, equitable, transparent, competitive and cost-effective; (and) provides for private sector participation.”
What this means is that Mantashe, and Mantashe alone, may permit municipalities to buy from independent power producers (IPPs), as opposed to Eskom. This is the c...
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