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Eskom Board approves Fleet Renewal Strategy based on economic viability
Sunday, 24 April 2016: No load shedding is anticipated today as Eskom intends to meet the country’s electricity demands while performing the requisite maintenance on its power generating plants.
 
For Eskom to ensure reliable supply of electricity and no load shedding, a fleet renewal strategy is necessary over and above normal maintenance. Eskom's fleet renewal strategy extends the life of a station by replacing components when they reach end of life, as long as it is economical to carry out the replacement.
 
The Eskom Board has approved a new fleet renewal strategy based on the economic viability of the station as opposed to a purely age-based decommissioning of power stations.
 
The economic viability is determined by comparing fleet renewal costs versus primary energy costs and all running costs post renewal. The main cost drivers for the fleet renewal strategy will be:
  • life extension to ensure continued reliability of the station,
  • legal requirements (safety, environmental, etc.),
  • regulatory requirements,
  • and coal cost reduction to the National Energy Regulator of South Africa (NERSA) determination
 
This fleet renewal strategy will be executed within South Africa's COP21 commitments to reduce carbon emissions. In line with this strategy, the Eskom Board has approved the commencement of a pre-feasibility study for renewal options for four of our oldest power stations - Komati, Camden, Hendrina and Arnot.  This pre-feasibility study will take 18 months to complete.
 
We will continue to provide regular updates on the state of the power system through various media platforms.
 
ENDS