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Coega moots gas power station

Dec 02 2009 10:07

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The Coega Development Corporation (CDC) has launched an expression of interest for the development and operation of a gas-fired power plant at the Coega Industrial Development Zone (IDZ).

In a statement on Wednesday, the CDC said the combined cycle gas turbine power plant project, which would provide up to 2400 megawatts, would complement other national power generation programmes.

"It is intended that the project will provide an opportunity for Independent Power Producers," the CDC said.

According to Khwezi Tiya, CDC executive manager of business development, the project is one of the CDC's transformational projects, "like the planned oil refinery and the Nelson Mandela Bay Logistics Park, because of the manner in which it will transform the landscape of the IDZ".

"This will be one of the most complex projects that the CDC has worked on," Tiya said.

It would, after the refinery, be the largest project that the CDC had enabled to date.

The project would involve receiving, storing and regasifying Liquid Natural Gas and delivering natural gas to a modular power plant.

"At the end of the day we must have the most competitive bid that gets us the best price for power."

"The outcomes must take cognisance of price both for the consumer and the operator and part of the work we have been doing is to ensure this is possible," Tiya said.

The project was a culmination of almost a year of consultation with various players to partner with the CDC and the Nelson Mandela Bay Municipality, in bringing the project to finality.

The CDC has just completed the feasibility study for the project.

The Coega IDZ, the Nelson Mandela Bay Municipality and some parts of the Eastern Cape have been identified as high growth areas, the CDC said.

"This is based on the number of applications for power which Eskom has received and used to project future demand for the next 20 years."

According to the CDC, the expression of interest had been advertised nationally and internationally and it was anticipated that construction would start at the beginning of 2013.

- Sapa

 
 
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