Warning issued that nuclear ruling may pose risk to legality of IPP programmes

Engineering News, 11 May, 2017

The recent nuclear ruling, which set aside the Ministerial determinations designed to facilitate the procurement of nuclear power stations, may also carry risks for the legality of the various independent power producer (IPP) procurement programmes, which are proceeding on the basis of determinations that were likewise not subjected to public consultations.

This view is expressed in a risk assessment drafted by Craig Morkel for discussion by the South African Independent Power Producer Procurement Association (SAIPPA). Morkel, who is projects director at iKapa Energy, wrote the piece in his personal capacity.

… “The nuclear ruling made it clear that Nersa cannot simply rubberstamp a determination written by the Minister and is required to, independently, apply its mind before offering its concurrence. It also indicated that such consultations need not be exhaustive,” Morkel said in an interview with Engineering News Online.

He also argued that the judgment provided a genuine opportunity for introspection and review so that future processes were not only fully in line with the Constitution, but also far more transparent and accessible to all stakeholders, not only large industry participants.

“We can’t allow the IPP baby to be thrown out with the nuclear bathwater,” Morkel quipped. …

Here is the full article

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