ESKOM ‘NOT PREPARED’ TO BUY COAL AT EXPORT PRICES

Electricity pylons are seen in front of the cooling towers at the Lethabo Thermal Power Station,an Eskom coal-burning power station near Sasolburg in the northern Free State province, March 2, 2016. South Africa's energy regulator said on Tuesday it had allowed state-owned power firm Eskom to raise tariffs by 9.4 percent in the 2016/17, less than what had been requested by the cash-strapped utility . REUTERS/Siphiwe Sibeko - RTS8VZV

JOHANNESBURG-  Eskom says some mining companies want the utility to buy coal at export prices and therefore it’s still negotiating before it signs any new contracts for supplies.

The state utility said at the current situation is still stable of six of their coal fired power stations and that excess coal has been sent to areas that are running low.

Eskom was given the go ahead by the National Treasury to go ahead an sign new contracts with suppliers but Eskom said the process is taking a long time.

Khulu Phasiwe from Eskom said, “Some of these miners want us to buy coal at export prices, which is something that we’re not prepared to do at this stage… or not at all, actually. But we’re willing for them to continue to negotiate so that we can come to a reasonable price.”

Photo Credit- TimesLIVE

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