The 9,600 MW nuclear procurement programme should be run by the Independent Power Producer’s (IPP) office, Minister of Energy Tina Joemat-Pettersson said on Tuesday.<\/p>\n
The renewable energy IPP procurement programme has been praised internationally for government\u2019s successful partnership with the private sector, Joemat-Pettersson told the Portfolio Committee on Energy in parliament.<\/p>\n
The IPP office is a partnership between the DoE, Treasury and the Development Bank of South Africa. Joemat-Pettersson also wants the auditor general to form part of the office.<\/p>\n
\u201cIf the IPP programme has delivered such good results, then we believe we are on the right track,\u201d she said. \u201cWe now have an IPP for gas and coal and hence our request to do nuclear along the IPP base,\u201d she said.<\/p>\n
\u201cWe have a credible and sound unit that has worked with the private sector and government,\u201d she said.<\/p>\n
The minister once again emphasised that no nuclear deal had been signed and that transparency was paramount to the programme. Following the signing of various nuclear procurement inter-governmental agreements, a Government Gazette was published in December 2015 that authorised the DoE to proceed with its request for proposals.<\/p>\n
Joemat-Pettersson said the office of the IPP will assist the DoE once it has received the request for proposals to assess the costs and affordability of the nuclear programme, \u201conce we have tested the market\u201d.<\/p>\n
Once the nuclear programme requirements have been finalised, the true cost of nuclear energy will be made public, which will \u201cdispel the myth of the R1trn cost,\u201d said Joemat-Pettersson. \u201cThe request for proposals will assist us with this cost analysis.\u201d<\/p>\n
\u201cThere is no nuclear deal that has been signed,\u201d she said. \u201cI have published every document that has been signed. If there is a deal, I don\u2019t know about it.\u201d<\/p>\n
\u201cThe costing (report) that has been done is preliminary,\u201d she said. \u201cThe one (figure) is very far from R1trn. I cannot release preliminary figures because it will create too much confusion.\u201d<\/p>\n
\u201cWe will make the procurement process available to the public and increase awareness around nuclear energy,\u201d she said.<\/p>\n
\u201cWe are fully committed to a process with the procurement prescripts in line with Treasury,\u201d she said. \u201cWe will be comfortable once the programme is on track.\u201d<\/p>\n
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