Karpowership gets green light in bid to hit the waters

Environmental Minister Barbara Creecy this week gave the ministerial stamp of approval for controversial gas-fired powerships Karpowership to submit enviromental reports and applications for approval to moor its ships at Richards Bay and Saldanha Bay.

The Turkish-owned project seeks to install a 450-megawatt gas-fired powerplant at Richards Bay.

According to reports, Creecy dismissed appeals from five environmental groups to block the move. It comes after a long-drawn battle between Karpowership and the groups, spanning over three years.

The environmental groups sought to prevent the power producer’s application for permission to proceed with the multibillion-rand project, arguing the huge damage expected to be inflicted on marine ecology and fishing.

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High expectations

In 2021, the Turkish company was awarded three bids to build powerships in Coega, Richards Bay and Saldanha, which was expected to provide 1,220 MW over 20 years, as part of government’s Risk Mitigation Independent Power Producer Procurement Programme (RMIPPP).

According to Karpowership SA, the Richards Bay project is expected to reduce load shedding by generating electricity to power 27% of households and businesses in KZN.

The company also anticipates the creation of about 190 jobs during construction phase, as well as 200 additional full-time operations and management jobs.

Creecy’s announcement comes amidst South Africa’s ongoing energy crisis, signifying the need for alternative renewable energy sources to take pressure off the country’s power grid.

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Facts worth knowing

Quick facts about Karpowership:

• 200,000 homes are expected to benefit from Saldanha Bay project.
• 470+ total jobs in Saldanha Bay
• 27% of KZN households and businesses expected to benefit from Richards Bay project
• 390+ total jobs in Richards Bay

Mixed reactions

The independent power producer’s long-awaited victory has been met with mixed reactions.

Spokesperson for South Durban Community Environmental Alliance, Desmond D’sa told Business Day the organisation’s stance remains unchanged, saying the project must scrapped.

“The [contracts] should be crapped immediately and SA must move forward with the just transition towards far cheaper [renewable] energy sources that will not harm people or the environment,” D’sa said.