CIAB Market & Policy developments 2005/06 - IEA

• Mbokodo Mining (Pty) Ltd 0.50Mt
• Mmakau Mining (Pty) Ltd 0.35Mt
• Worldwide Coal Carolina (Pty) Ltd 0.35Mt
• Quattro 4.00Mt
The 19 Mt capacity expansion is expected to be complete by H1 2009 and the project
has resulted in the resurrection or birth of almost 30 coal projects.
295. Although the number of Black Economic Empowerment (BEE) mines has increased, their
contribution in terms of total production is still very small. However, with the
establishment of the bigger BEE mines, involving companies such as Exxaro, Shanduka,
African Rainbow Minerals, Mvelaphanda and others, a greater shift to BEE ownership
has occurred. A large number of BEE companies have acquired operating mines and
new reserve blocks; and have opened a number of collieries.
296. Eskom has embarked on an extensive capacity expansion plan, and coal-fired
generation will form part of the new investment in power plant. Three mothballed coal
power stations, Camden, Grootvlei and Komati (combined total of 3 800MW), which were
placed into reserve during a period of high excess capacity on the Eskom system, are
being returned to service:
• Camden (1,580MW) - one unit was commissioned in 2006 (190MW) and four units
in 2007 (772MW). Commissioning of the remaining 600MW is planned for March
2008;
• Grootvlei (1,200MW) - the first unit (200MW) will be commissioned at the end of
2007, with the balance to be commissioned by October 2009; and
• Komati (961MW) - due to be fully commissioned by 2011.
297. Two open cycle gas turbine stations are being constructed, Ankerlig at Atlantis near
Cape Town (nine units) and Gourikwa at Mossel Bay south of Port Elizabeth (five units).
They will have a combined total of 2,053MW and will be completed in two phases. Three
units (441MW) were commissioned at Ankerlig and one unit (146MW) at Gourikwa in
2007, with full capacity expected to be commissioned by 2008.
298. Other projects include the upgrade and refurbishment of Arnot power station (300MW by
2010), construction of Medupi power station, a dry-cooled thermal base-load power
station in Lephalale in Limpopo Province (six units totalling 4 500MW by 2015) and
construction of the Ingula pumped storage power station near Ladysmith in KwaZulu-
Natal (four units totalling 1,332MW by 2012).
Russia
299. The governmental programme “General Scheme of Energy Production Assets Location
through 2020”, foresees the need for 130-180GW of new electricity generating capacity
by 2020, 50GW of it by 2010, spread across all regions of Russia. The country has two
electricity grids that are not interconnected.
300. Russia has traditionally generated only 17% of its power from coal, well below the world
average of 29%. Gas used in thermal plants dominates the fuel mix and the country is
looking to install more CCGT plant. But, building on the prospect of increasing Russian
gas prices, some scenarios see coal providing 30-35% of electricity generated by 2020.
Most new coal capacity will be installed in the 2011-15 period and will be power only, not
CHP. Carbon capture is not planned for any new coal plant.
301. SUEK has 27 coal mining enterprises in 8 regions of Russia and produced 46.4 million
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