Powership electricity costs R5 per kWh - Outa launches legal challenge against Karpowership licences

[Jan]

Powerships will cause massive electricity price hike in South Africa — Outa challenges Karpowership licences

The Organisation Undoing Tax Abuse (Outa) has launched a legal challenge to overturn the National Energy Regulator of South Africa's (Nersa's) decision to award power generation licences to Karpowership.

The action comes after Nersa announced it had approved three generating licences for the Turkish power ship company in September 2021.

 

[OkPlankton]

Gotta give OUTA some credit. They're starting to become a thorn in cANCer corruption. I love it.

 

[Gordon_R]

The cost of LNG was always a big unknown. Following the Russia/Ukraine crisis, we know that it is no longer an economically viable source.

 

[PhireSide]

I mean, R5 per kWh is not that far removed from what some people are paying for Eskom nowadays

 

[Enzo Matrix]

Why doesn't SA just buy the ships. Surely would be cheaper in the long run

 

[zolly]

Gotta give OUTA some credit. They're starting to become a thorn in cANCer corruption. I love it.

I donate to them monthly. It makes sense to support NGOs or political parties that actually have legal teams that tackle this sort of nonsense if we want to fix this country.

 

[zolly]

I mean, R5 per kWh is not that far removed from what some people are paying for Eskom nowadays

Imagine how much it will cost once the municipality adds on their extra costs.

 

[zolly]

Why doesn't SA just buy the ships. Surely would be cheaper in the long run

That would be smart and efficient. Also, probably less room for kickbacks.

 

[TheMightyQuinn]

Why doesn't SA just buy the ships. Surely would be cheaper in the long run

Because they're not for sale....?

 

[Death]

Why doesn't SA just buy the ships. Surely would be cheaper in the long run

So they can fnuck it up like everything else they touch? And still blame Van Riebeeck?

 

[porchrat]

I mean, R5 per kWh is not that far removed from what some people are paying for Eskom nowadays

It's miles away. More than double when buying directly from Eskom.

You're thinking of Eskom + the muni's markup. Now you're going to have something closer to R5 + Eskom markup + muni markup.

 

[Paul_S]

That would be smart and efficient. Also, probably less room for kickbacks.

There is nothing smart or efficient about burning LNG or diesel to generate power when a combination of renewable energy sources can do it much cheaper. We can't even keep our navy operational and you can be sure that if there is a supply of LNG some cadre will score a tender to transport the fuel via road tankers instead of pipeline or tanker ships.

 

[Jet-Fighter7700]

surely the Chinese/Russians will eventually build a Nuke reactor in SA,
instead of this powership baloney.

 

[Shadowchaser1]

There are faster and substantially cheaper generation project options available to eliminate load-shedding in the short-term, so the Karpowership projects are not needed.

What are the so called faster & cheaper options? Who will provide it & by when? They provide no proof. Just asking.

 

[Neptuner]

Why not rather invest the R218billion(over 20yrs) in building Solar Farms over a period of 20yrs it cost ~R11.6billion to build a 100MW Solar farm. This is probably turn out to be less than what will be spent annually on this contract without acquiring any assets. Also creates very little jobs except for Transmission/Distribution which is a separate undertaking from the R218billion.

Now these pirates are fighting over SA's electricity supply, there are clearly other alternatives... but just bad decisions one after the other. Since the White Paper released in 1998 they still lost...

I wonder if the SA Navy even has a plan to protect this hired asset from just upping and leaving over night? I'm guessing no...

 

[Paul_S]

It's miles away. More than double when buying directly from Eskom.

You're thinking of Eskom + the muni's markup. Now you're going to have something closer to R5 + Eskom markup + muni markup.

At those prices off-grid solar PV installations country wide would make perfect sense.
At a residential scale R350K will cover a Sunsynk 8kW invertor, 8 x 5.5kWh Hubble AM-2 lithium batteries and 18 x JA 460W panels with installation (53kWh/day).
That battery bank would keep me running for at least 4 to 5 days without any sunshine (I average 15kWh/day without any adjustments) and then I could run a genny on the odd occasion to top up the batteries if it's overcast for an entire week (very seldom).

That's R350 000 for a production of about 190 000 kWh over 10 years which works out to R1.84/kWh (less than the tariffs we already pay in municipalities).
Please can someone explain why burning LNG or diesel instead of solar + batteries on a grand scale makes financial sense? Is this only about getting more pigs to feed at the trough?

 

[Neptuner]

surely the Chinese/Russians will eventually build a Nuke reactor in SA,
instead of this powership baloney.

Revive the PBMR project and work towards getting the demonstration/pilot plant running and lets build our own... SA needs to stop this knocking on neighbours doors for help, there is no help just further exploitation...

 

[Jet-Fighter7700]

Revive the PBMR project and work towards getting the demonstration/pilot plant running and lets build our own... SA needs to stop this knocking on neighbours doors for help, there is no help just further exploitation...

you forgot the ANC motto is Gimme gimme gimme, and Blame whites/Jan for literally everything.
PMBR and anything cutting edge will just be tendered and overpaid or sabotaged out of existence.

 

[Neptuner]

you forgot the ANC motto is Gimme gimme gimme, and Blame whites/Jan for literally everything.
PMBR and anything cutting edge will just be tendered and overpaid or sabotaged out of existence.

If the PBMR project wasn't cancelled we'd probably be having an abundance of jobs due to building these plants and a huge interest in the SADC region for the tech. But the "general-mass" of SA prefers to remain in ANC shackles...

 

[quovadis]

Gotta give OUTA some credit. They're starting to become a thorn in cANCer corruption. I love it.

Well depends how you look at it. If burning diesel is 5-6 times more expensive per kwh than a powership there definitely is a gap to fill.