Radebe outlines additional cost of coal IPPs to consumers

Energy Minister Jeff Radebe has confirmed that electricity consumers will pay 1.9c/kWh more by 2030 on a projected electricity tariff of 119c/kWh to accommodate the two independent power producer (IPP) coal-fired power stations included in the draft 2018 Integrated Resource Plan (IRP 2018) – a cumulative R23-billion. In a response to a question posed by outgoing Democratic Alliance Member of Parliament Gavin Davis, Radebe said the projects, which were procured in accordance with IRP 2010 and a Ministerial Determination published on December 21, 2012, were anticipated to begin producing electricity from 2023.