Eskom said to be wary of 'power ships' deal

Eskom is reportedly not interested in buying emergency power from Turkish company Karpowerships due to concerns about the costs and length of the contract. Die Burger reports that Eskom has not publicly commented on the controversy which is already subject to litigation, but two people familiar with the proposed project said Eskom does not want to clinch a 20-year deal worth R218bn. The tender is subject to the necessary environmental approvals and a purchase deal with Eskom. A spokesperson for Eskom said the utility is considering its options, including demanding that the additional costs incurred for Karpowerships must first be included in higher electricity tariffs for consumers before entering the deal. However, this would need approval from Nersa. The Department of Energy said appointment letters have been issued, but any formal agreements will only be entered into after the suspensive conditions are met.

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