DATE OF SUBMISSION: 04 DECEMBER 2009
NATIONAL ASSEMBLY
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QUESTION 2211
QUESTION FOR WRITTEN REPLY
2211. Ms C M P Kotsi (Cope) to ask the Minister of Energy
1) Whether Eskom has established a task team to ensure that the
needs of a certain smelter (name furnished) will be met and
honoured; if not, why not; if so, what are the relevant details;
(2) Whether this task team has succeeded in securing enough
electricity to the smelter; if not, why not; if so, what are the
relevant details;
(3) Whether she has put any measures in place to ensure that Eskom
will succeed in providing the requisite need of the smelter; if
not, why not; if so, what measures?
REPLY
1. The Electricity Supply Agreement between both parties was
terminated in October 2009, in accordance with its terms and
conditions.
Eskom, Rio Tinto Alcan, the Department of Trade and Industry and
the Industrial Development Corporation formed a Task Team early
2008 at the request of the former Department of Public
Enterprise Minister, Alec Erwin, to monitor progress with pre-
conditions and explore solutions relevant to the appropriate
timing of the smelter.
2. The Task Team jointly developed a set of indicators that would
indicate the most appropriate time to construct the smelter, but
at that time had agreed in principle to a three year delay. The
Electricity Supply Agreement was terminated in October, in
accordance with its terms and conditions.
3. The Electricity Supply Agreement was terminated in October, in
accordance with its terms and conditions. Although some progress
was made in discussions, it was insufficient to proceed.
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