UPDATE ON THE PREFERRED BIDDERS UNDER THE FIRST BID WINDOW OF THE COAL BASELOAD IPP PROCUREMENT PROGRAMME AND THE PROPOSED KIPOWER COAL-FIRED POWER STATION

The Centre for Environmental Rights (CER) informs the South African Department of Energy that the Thabametsi and Khanyisa coal-fired power stations, both preferred bidders under the Coal Baseload IPP Procurement Programme (CBIPPPP), and the proposed KiPower station do not meet the legal qualification criteria for financial close. The CER highlights that a North Gauteng High Court ruling established that a full climate change impact assessment (CCIA) is a necessary part of the environmental impact assessment (EIA) for coal-fired plants. Thabametsi's CCIA indicated the plant would be one of the highest greenhouse gas emitters in the country and faces high water availability risks. Khanyisa and KiPower have failed to conduct CCIAs. The letter also notes that these projects are located in the water-stressed Olifants River Catchment and the Highveld Priority Area, where air quality is out of compliance with health standards. The CER requests clarification on whether the financial close deadline has been suspended pending the updated Integrated Resource Plan (IRP) and Integrated Energy Plan (IEP).

• The North Gauteng High Court ruled on 8 March 2017 that a full climate change impact assessment (CCIA) must be part of the environmental impact assessment (EIA) for coal-fired power stations before an environmental authorisation (EA) can be issued.
• Thabametsi's CCIA indicates that the proposed plant, using circulating fluidised bed (CFB) technology, would be among the highest greenhouse gas emitters in South Africa and faces significant risks regarding water availability over its lifespan.
• The Khanyisa and KiPower projects have not conducted climate change impact assessments, despite the legal precedent set by the Thabametsi judgment.
• The Khanyisa and KiPower stations are located in the Highveld Priority Area, where air quality is non-compliant with health-based national standards, and within the water-stressed Olifants River Catchment.
• The CER asserts that Thabametsi and Khanyisa do not meet the legal qualification criteria for commercial and financial close, and KiPower should not qualify as a preferred bidder in future rounds due to pending disputes over its EA and water use licence (WUL).
• The Minister of Energy's 1 September 2017 statement suggested that all future IPP programmes are on hold pending the finalisation of the updated Integrated Resource Plan (IRP) and the Integrated Energy Plan (IEP).

APA

Centre for Environmental Rights (2017). UPDATE ON THE PREFERRED BIDDERS UNDER THE FIRST BID WINDOW OF THE COAL BASELOAD IPP PROCUREMENT PROGRAMME AND THE PROPOSED KIPOWER COAL-FIRED POWER STATION. https://cer.org.za/wp-content/uploads/2018/06/CER-Letter-to-IPP-office_15-Sept-2017.pdf?x21779

Chicago

Centre for Environmental Rights. UPDATE ON THE PREFERRED BIDDERS UNDER THE FIRST BID WINDOW OF THE COAL BASELOAD IPP PROCUREMENT PROGRAMME AND THE PROPOSED KIPOWER COAL-FIRED POWER STATION. 2017. https://cer.org.za/wp-content/uploads/2018/06/CER-Letter-to-IPP-office_15-Sept-2017.pdf?x21779.

Wikipedia

{{cite press release |author=Centre for Environmental Rights |title=UPDATE ON THE PREFERRED BIDDERS UNDER THE FIRST BID WINDOW OF THE COAL BASELOAD IPP PROCUREMENT PROGRAMME AND THE PROPOSED KIPOWER COAL-FIRED POWER STATION |date=15 September 2017 |url=https://cer.org.za/wp-content/uploads/2018/06/CER-Letter-to-IPP-office_15-Sept-2017.pdf?x21779 |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@misc{centreforenvironmentalrights2017update, author = {{Centre for Environmental Rights}}, title = {{UPDATE ON THE PREFERRED BIDDERS UNDER THE FIRST BID WINDOW OF THE COAL BASELOAD IPP PROCUREMENT PROGRAMME AND THE PROPOSED KIPOWER COAL-FIRED POWER STATION}}, publisher = {Centre for Environmental Rights}, year = {2017}, month = sep, url = {https://cer.org.za/wp-content/uploads/2018/06/CER-Letter-to-IPP-office_15-Sept-2017.pdf?x21779}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }