Alan Winde, Premier of the Western Cape, has expressed reservations regarding the prospect of a long-term Karpowership arrangement. The Premier stated that investing significant resources in a single energy provider may not be in the best interests of the region.
He stated that granting Karpowership SA (Pty) an extended operational licence should be reconsidered.
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During a recent assembly of the Western Cape Government (WCG) Cabinet, a formal standpoint regarding the procurement of electricity through a Karpowership facility was established.
In response to the prolonged and severe energy crisis, the Cabinet initiated comprehensive investigations into the feasibility of utilising this emergency measure as a potential solution.
The outcome of these deliberations led to the conclusion that committing substantial resources to Karpowership technology over a 20-year span is not aligned with the best interests of the Western Cape region or the nation as a whole.
Premier Alan Winde expressed, ‘I do not believe investing vast resources in one company is appropriate, and allowing Karpowership SA (Pty) to operate in South Africa for such a long time should not be allowed.
He continued, ‘Karpowership SA (Pty) Ltd. should not be given the monopoly. If we are to include powerships in our efforts to resolve the energy crisis, we must also consider other companies, and the time period over which they would be utilised must be strictly limited to 5 years, subjected to clear guidelines. This measure should also not negate our investment in “green energy”.’
Karpowership is among the favoured contenders in the national government’s Risk Mitigation Independent Power Producer Procurement Programme (RMIPPPP).
Premier Winde emphasised, ‘This crisis demands urgent interventions, which must be considered in a transparent manner. We must explore all viable and feasible options to end rolling blackouts, but not at the expense of other role players in the energy space who should also be given the opportunity to be a part of the overall solution.’
The Cabinet emphasised the importance of renewable energy (RE) ventures as an essential component of the province’s future energy mix.
Premier Winde elaborated, ‘Not only is RE becoming increasingly cost-effective, it will also greatly assist in our transition away from fossil fuels. We need to strike a balance; we have an obligation to meet the country’s climate change commitments while at the same time growing our economy, which requires a stable, resilient, low-carbon energy mix.’
Following the meeting, it was agreed that future electricity generation for the Western Cape region should primarily stem from low-carbon and renewable technologies.
Anton Bredell, Western Cape minister of local government, environmental affairs and development planning, stated, ‘The energy choices we make now will impact the natural environment we hand over to future generations. As a government, we should be careful not to take knee-jerk actions.’
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