Mantashe throws down the gauntlet over power ships: ‘Take us to court as much as you want’
The government is prepared for legal fights with environmental groups over its plans to use ship-mounted power plants to resolve the nation’s blackout crisis; the energy minister told the Johannesburg-based Sunday Times.
“Environmentalists veto every development they don’t like,” Mineral Resources and Energy Minister Gwede Mantashe told the newspaper. “People can take us to court as many times as they can; we will continue with gas and petroleum exploration.”
The government has permitted the Turkish company Karpowership to moor its power ships at three of the country’s harbours — a proposal intended to end the prolonged power cuts that have hobbled South Africa’s economy.
The government is under pressure to resolve the problem, especially as debt-stricken state utility Eskom has warned it would only be able to supply electricity for half of the day during the winter.
The terms of the emergency power tender intend to give Karpowership and other bid winners 20-year supply contracts – something that has drawn the ire of environmentalists who said South Africa would be locked into using fossil fuel for their duration.
Plans to work with Karpowership have been in discussions for years but have been mired in lawsuits and environmental challenges.
These environmental groups warn that this solution goes against South Africa’s just energy transition to make a significant shift to green energy, as the Karpowerships rely solely on fossil fuels.
Using fossil fuels can contribute to air pollution and greenhouse gas emissions, and, specifically – being stationed in the water – could likely affect the biodiversity of South Africa’s coastline.
Moreover, the costs associated with operating and maintaining Karpowership, including fuel expenses and potential environmental mitigation measures, can be substantial.
CEO of Organisation Undoing Tax Abuse (OUTA), Wayne Duvenage, noted that a 20-year contract would cost the country R200 billion. However, with the rise in costs and drop in rand value, it will more likely cost around R500 billion.
Setting aside whether or not South Africa can afford to pay for the ships, Duvenage said that the time it takes for them to come online is an issue – especially if this is an emergency procurement option.
“Remember, Karpowerships are not going to just come and dock and start providing electricity,” he said. He added that these ships would take roughly a year before they started generating electricity and adding supply to the grid.
Despite these concerns, Finance Minister Enoch Godongwana has previously said Mantashe should be given carte-blanche to procure new capacity, including Karpowerships.
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