Ekurhuleni plans to reduce reliance on Eskom by 27% with use of IPPs
The mayor says electricity provision remains the foremost issue affecting residents and business owners.
FILE: Eskom's Megawatt Park in Johannesburg. Picture: Eyewitness News.
JOHANNESBURG - With the help of Independent Power Producers (IPP) the City of Ekurhuleni Metropolitan Municipality plans to reduce its reliance on Eskom by 27%.
On Tuesday, Ekurhuleni Mayor Doctor Xhakaza delivered his maiden State of the City address.
The mayor says electricity provision remains the foremost issue affecting residents and business owners.
Xhakaza says the city will release the Zestfontein farm for use by IPP’s as part of its public private partnerships.
“There is no doubt in our minds that there is a need for stable energy supply at the present moment. The IPPs will sell electricity to the city at discounted tariffs and reduce the city’s reliance on the national grid by 27%. We expect to integrate the first-generation units by January 2025.”
“This is a programme where the private sector would be expected to invest their capital resources while the city would provide the land for a period of 25 to 30 years, depending on the scope of the project. In this regard, the city will be unlocking PPP [Public-Private Partnerships] infrastructure projects, putting into the market approved strategic land parcels to ignite investment and create jobs while commercial properties will be packaged for local economic development purposes.”