RELEVANT INFORMATION CONCERNING THE COAL IPPS – A STUDY BY THE ENERGY RESEARCH CENTRE

A letter from 350.org and the Life After Coal Campaign to the Development Bank of Southern Africa (DBSA) urging the bank to reconsider financing for the Thabametsi coal-fired power station based on a study by the University of Cape Town’s Energy Research Centre (ERC).

• The Energy Research Centre (ERC) report indicates that the Thabametsi (557MW) and Khanyisa (300MW) coal-fired power stations would cost South Africa an additional R19.68 billion compared to a least-cost energy system.
• The ERC report finds that coal independent power producers (IPPs) are unnecessary for meeting medium-term electricity demand because wind, solar, and flexible gas generation are more economical alternatives.
• The coal IPPs are projected to increase greenhouse gas (GHG) emissions by 205,7Mt CO2eq over the 30-year duration of the power purchase agreements, which would negate the government's GHG emission mitigation plans and the Energy Efficiency Strategy to 2050.
• Even in a best-case scenario, the two coal IPPs would frustrate South Africa's commitments under the Paris Agreement by increasing the costs of mitigation technology and requiring significant GHG emission reductions in other sectors and the power sector, while also negating emissions saved under the carbon tax.
• The ERC concludes that South Africa has a large surplus in generation capacity, specifically inflexible base supply capacity, and that investments increasing costs in the electricity sector should be avoided given Eskom's financial crisis.

APA

Centre for Environmental Rights (2018). RELEVANT INFORMATION CONCERNING THE COAL IPPS – A STUDY BY THE ENERGY RESEARCH CENTRE. https://cer.org.za/wp-content/uploads/2018/06/LAC-and-350-letter-to-DBSA-re-ERC-report_5-June-2018.pdf?x21779

Chicago

Centre for Environmental Rights. RELEVANT INFORMATION CONCERNING THE COAL IPPS – A STUDY BY THE ENERGY RESEARCH CENTRE. 2018. https://cer.org.za/wp-content/uploads/2018/06/LAC-and-350-letter-to-DBSA-re-ERC-report_5-June-2018.pdf?x21779.

Wikipedia

{{cite press release |author=Centre for Environmental Rights |title=RELEVANT INFORMATION CONCERNING THE COAL IPPS – A STUDY BY THE ENERGY RESEARCH CENTRE |date=5 June 2018 |url=https://cer.org.za/wp-content/uploads/2018/06/LAC-and-350-letter-to-DBSA-re-ERC-report_5-June-2018.pdf?x21779 |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@misc{centreforenvironmentalrights2018relevant, author = {{Centre for Environmental Rights}}, title = {{RELEVANT INFORMATION CONCERNING THE COAL IPPS – A STUDY BY THE ENERGY RESEARCH CENTRE}}, publisher = {Centre for Environmental Rights}, year = {2018}, month = jun, url = {https://cer.org.za/wp-content/uploads/2018/06/LAC-and-350-letter-to-DBSA-re-ERC-report_5-June-2018.pdf?x21779}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }