Morupule B �sale� attracts three companies

Mbongeni Mguni | Friday March 4, 2016 12:41

 

Briefing media this week, Mokaila said the sale of Morupule B was one of several options being weighed around the problematic power station.

“There’s an option of fixing the plant ourselves, getting the contractor to fix it, getting someone other than the contractor to fix it or selling it,” he said.

“If you say ‘I want to sell it and simply buy the power’, the issues of maintenance and others go away.  “At this point, we are not talking to anyone, but there are two or three companies interested.  “My job is to look at all the options and see the best for the economy.”

Early last month, Mokaila told Parliament that the sale of Morupule B, possibly to its previous contractor, China National Electric Engineering Company (CNEEC), was among options being discussed for the future of the power station.

While Morupule B was originally expected to cost P7.4 billion, frequent faults and defects at the 600MW plant have seen costs spiral beyond P11 billion, according to previously published figures.  The power station was due for completion on October 15, 2012, but was eventually handed over to government on May 4, 2014, with a subsequent root cause analysis report fingering the Chinese for poor workmanship and quality of equipment.

The same report also blamed poor design of the plant as well as unavoidable factors, which included weather conditions and the time taken to import some parts.

The delays in the station’s completion and its subsequent troubles have cost taxpayers billions of Pula in emergency diesel power generation as well as costly imports of power. Meanwhile, Mokaila told journalists that while Morupule B had suffered a total breakdown three weeks ago, work was ongoing at the plant to restore all its four units before winter.

“Unit 1 had a refractory problem while we decided to shut down Unit 2 for a statutory inspection. Unit 3 is currently and running, while Unit 4 suffered a tube leak.

“We expect Unit 2 to return by February 26, while Unit 4 to be back in operation by March 12, while and Unit 1 by end of April. “Our objective is to have all of them back up and running before,” he said.