South Africa - 05

South Africa: Nuclear Ruling Could Further Delay LNG IPP

On 26 April the Western Cape High Court handed down a judgment that is a major setback for the nuclear procurement program and could also have implications for the LNG-to-power IPP program. Judge Lee Bozalek set aside the determination for 9,600 MW of nuclear power, and that which made Eskom the procuring agent, on the basis that the incorrect procedure had been followed, as there was no public participation process when the National Energy Regulator of South Africa (Nersa) gave its approval for the determinations. Given that it appears there was no public participation around the ministerial determinations for natural gas, the ruling also raises some questions for the LNG IPP program that could result in further delays.

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