HomeIndustry SectorsFinance and PolicyIPP signing ceremony moved to 27 March

IPP signing ceremony moved to 27 March

The much anticipated signing of the outstanding Power Purchase Agreements of the 27 Renewable Energy Independent Power Producer Projects (REIPPP) under Bid Window 3.5 and Bid Window 4, has been moved to 27 March 2018.

Energy Minister Jeff Radebe, has issued a statement highlighting that the signing was paused after two non-governmental organisations, Transform RSA NPC and National Union of Metal Workers of South Africa (NUMSA) approached the High Court, Pretoria for an interdict, restraining Eskom from concluding the twenty seven renewable energy IPP projects including the power purchase agreements with Eskom.

Radebe noted: “After arguments were concluded, the Court refused to grant an interim interdict against Eskom or the Minister but instead postponed the matter to 27 March 2018, with the responding parties to file their answering papers by 20 March 2018 and the applicants’ parties to file their replying papers by 22 March 2018.”

Both the Minister and Eskom opposed the application, which was argued until after 11pm last night. Read more: NUMSA obtains interdict to block Eskom from signing IPP contracts

IPP signing postponed

The Minister explained: “In the absence of an interdict, and with the Court having expressly informed the parties at Court that it would not grant such an order, nothing prevented Eskom and IPPs from signing the agreements as scheduled by me for Tuesday, 13 March 2018.

“However, counsel for the Minister, informed the Court that whilst there is no interdict granted, the signing will however be postponed until the 27 March 2018 when the matter is finally disposed of in Court.”

As a result, the signing will proceed on a date to be announced immediately after the 27th of March 2018.

The Minister underlined that reports that an interdict was granted are therefore not true.

“The Government of South Africa reconfirms its commitment to a solid public-private partnership as we pursue our energy transition objectives of the future as well as a better life for all,” the Minister concluded.

Ashley Theron
Ashley Theron-Ord is based in Cape Town, South Africa at Clarion Events-Africa. She is the Senior Content Producer across media brands including ESI Africa, Smart Energy International, Power Engineering International and Mining Review Africa.