The cold corridors of South Africa’s once-mighty Komati coal-fired power plant have been quiet since its shutdown in 2022 in what was trumpeted as a pioneering project in the world’s transition to green energy.
Two years later, plans to repurpose the country’s oldest coal power plant have amounted to little in a process that offers caution and lessons for countries intending to reduce their reliance on fossil fuels and switch to renewables.
Jobs have been lost and construction for wind and solar energy generation has yet to start, with only a few small green projects under way.
Photo: AFP
“We cannot construct anything. We cannot remove anything from the site,” acting general manager Theven Pillay said at the 63-year-old plant embedded in the coal belt in Mpumalanga province, where the air hangs thick with smog.
Poor planning and delays in paperwork to authorize the full decommissioning of the plant have been the main culprits for the standstill, he said.
“We should have done things earlier. So, we would consider it is not a success,” he said.
Before it turned off the switches in October 2022, the plant fed 121 megawatts (MW) into South Africa’s chronically undersupplied and erratic electricity grid. The transition plan — which won US$497 million in funding from the World Bank — envisions the generation of 150MW via solar and 70MW from wind, with capacity for 150MW of battery storage.
Workers are to be reskilled and the plant’s infrastructure, including its massive cooling towers, repurposed.
However, much of this is still a long way off.
“They effectively just shut down the coal plant and left the people to deal with the outcomes,” South African Deputy Minister of Energy and Electricity Samantha Graham said.
Coal provides 80 percent of South Africa’s power, and the country is among the world’s top 12-largest greenhouse gas emitters. Coal is also a bedrock of its economy, employing about 90,000 people. South Africa was the first country to form a just energy transition partnership (JETP) with international funders to move off dirty power generation, already receiving US$13.6 billion in total in grants and loans, South African presidential JETP committee member Neil Cole said.
Komati is the first coal plant scheduled for decommissioning, with five of the remaining 14 ones meant to follow by 2030. It had directly employed 393 people, the state energy firm Eskom that owns the plant said.
Only 162 remain on site as others volunteered for transfer or accepted payouts. The plant had been the main provider of employment in the small town, where the quiet streets are pitted with chunks of coal. Today, several houses are vacant as workers from other provinces headed home after losing their jobs.
“Our jobs ending traumatized us a lot as a community,” said Sizwe Shandu, 35, who had been contracted as a boilermaker at the plant since 2008.
The shutdown had been unexpected and left his family scrambling to make ends meet, he said.
With South Africa’s unemployment rate topping 33 percent, Shandu now relies on government social grants to buy food and electricity.
Pillay admitted that many people in the town of Komati had a “disgruntled view” of the transition.
One of the mistakes was that coal jobs were closed before new jobs were created, he said.
People from the town did not always have the skills required for the emerging jobs. Eskom has said it plans to eventually create 363 permanent jobs and 2,733 temporary jobs at Komati.
One of the green projects underway combines raising fish alongside vegetable patches supported by solar panels.
Seven people, from a planned 21, have been trained to work on this aquaponics scheme, including Bheki Nkabinde, 37.
“Eskom has helped me big time in terms of getting this opportunity because now I’ve got an income, I can be able to support my family,” Nkabinde said, as he walked among his spinach, tomatoes, parsley and spring onions.
The facility is also turning invasive plants into pellets that are an alternative fuel to coal and assembling mobile micro power grids fixed to containers. A coal milling workshop has been turned into a welding training room.
The missteps at Komati are lessons for other coal-fired power plants marked for shutdown, Pillay said.
For example, some now plan to start up green energy projects parallel to the phasing out of fumes.
However, the country is “not going to be pushed into making a decision around how quickly or how slowly we do the just energy transition based on international expectations,” Graham said.
South Africa has 7 percent renewable energy in its mix, up from 1 percent a decade ago, she said.
It would continue mining and exporting coal, with Eskom estimating that there are about 200 years of supply still in the ground.
The goal is to have a “good energy mix that’s sustainable and stable,” Graham said.
Since South Africa’s JETP was announced, Indonesia, Vietnam and Senegal have struck similar deals, but there has been little progress toward actually closing coal plants under the mechanism.
Among the criticisms is that it offers largely market-rate lending terms, raising the threat of debt repayment problems for recipients.
Merida Industry Co (美利達) has seen signs of recovery in the US and European markets this year, as customers are gradually depleting their inventories, the bicycle maker told shareholders yesterday. Given robust growth in new orders at its Taiwanese factory, coupled with its subsidiaries’ improving performance, Merida said it remains confident about the bicycle market’s prospects and expects steady growth in its core business this year. CAUTION ON CHINA However, the company must handle the Chinese market with great caution, as sales of road bikes there have declined significantly, affecting its revenue and profitability, Merida said in a statement, adding that it would
MARKET LEADERSHIP: Investors are flocking to Nvidia, drawn by the company’s long-term fundamntals, dominant position in the AI sector, and pricing and margin power Two years after Nvidia Corp made history by becoming the first chipmaker to achieve a US$1 trillion market capitalization, an even more remarkable milestone is within its grasp: becoming the first company to reach US$4 trillion. After the emergence of China’s DeepSeek (深度求索) sent the stock plunging earlier this year and stoked concerns that outlays on artificial intelligence (AI) infrastructure were set to slow, Nvidia shares have rallied back to a record. The company’s biggest customers remain full steam ahead on spending, much of which is flowing to its computing systems. Microsoft Corp, Meta Platforms Inc, Amazon.com Inc and Alphabet Inc are
RISING: Strong exports, and life insurance companies’ efforts to manage currency risks indicates the NT dollar would eventually pass the 29 level, an expert said The New Taiwan dollar yesterday rallied to its strongest in three years amid inflows to the nation’s stock market and broad-based weakness in the US dollar. Exporter sales of the US currency and a repatriation of funds from local asset managers also played a role, said two traders, who asked not to be identified as they were not authorized to speak publicly. State-owned banks were seen buying the greenback yesterday, but only at a moderate scale, the traders said. The local currency gained 0.77 percent, outperforming almost all of its Asian peers, to close at NT$29.165 per US dollar in Taipei trading yesterday. The
The US overtaking China as Taiwan’s top export destination could boost industrial development and wage growth, given the US is a high-income economy, an economist said yesterday. However, Taiwan still needs to diversify its export markets due to the unpredictability of US President Donald Trump’s administration, said Chiou Jiunn-rong (邱俊榮), an economics professor at National Central University. Taiwan’s exports soared to a record US$51.74 billion last month, driven by strong demand for artificial intelligence (AI) products and continued orders, with information and communication technology (ICT) and audio/video products leading all sectors. The US reclaimed its position as Taiwan’s top export market, accounting for