The decision taken to delay South Africa’s nuclear power plan is a symbolic victory for South Africa’s National Treasury – and an indication that president Jacob Zuma’s power in waning.<\/p>\n
This is according to political analysts quoted by Bloomberg<\/a><\/strong>, who say that, in effect, the nuclear project has been postponed indefinitely, with the final decision on the future of nuclear being left up to Zuma’s successor.<\/p>\n According to energy minister Tina Joemat-Pettersson, the decision to revise South Africa’s nuclear plans was taken because of new developments in the energy industry, including changes in technology costs, and lower energy demand.<\/p>\n While the machinations behind the move remain hidden from public view, analysts see it as a shift in power away from Zuma, and an endorsement of tighter government spending – a move spearheaded by finance minister Pravin Gordhan.<\/p>\n “This is a great victory for economic rationality and political expediency and reflects the new political balance of a weakened Zuma administration,”\u00a0Robert Schrire, a politics professor at the University of Cape Town told Bloomberg.<\/p>\n South Africa’s nuclear power plans have been championed by president Zuma, and have been painted as a vital component for the country’s future. Opponents of the plans – including Treasury – have noted that the project is far too expensive and that South Africa simply cannot afford it at this time.<\/p>\n President Zuma has suffered a number of set-backs in 2016, after a shock move in December 2015 to fire former finance minister Nhlanhla Nene put his every move under closer scrutiny.<\/p>\n Further blows came when deputy finance minister Mcebisi Jonas made damning revelations that the Gupta family – closely linked to Zuma – had allegedly been using their relationships with government leaders to exert undue influence over the state.<\/p>\n The Gupta family have also been linked to the nuclear deal through its Shiva Uranium mine.<\/p>\n Throughout the year, government departments seen to be aligned to the president – including the Hawks and National Prosecuting Authority – have tried to come down on Gordhan, using every avenue they could. Ultimately, they have failed.<\/p>\n According to market analyst Peter Attard Montalto from Nomura, these scandals and very public clashes have slowly chipped away at Zuma’s support, to the point that even those who side with his style of governance (patronage and tenderpreneurship) have started working against him.<\/p>\n