South Africa's Government is looking for ways to fully restore power to the mines, a senior official has claimed.

The Department for Minerals and Energy (DME) has assessed the industry and could announce a course of action by Wednesday.

Speaking to Mining Weekly, Sandile Nogxina said an announcement of solutions to mitigate the impact of a national electricity shortage would be made when the plans had been finalised.

Mines are expected to get priority in South Africa's power plans according to Alec Erwin, Public Enterprises Minister.

He said that "energy-saving practices, development of new sources of electricity as well as production of energy-saving technologies" would maintain growth, Reuters reports.

"In this context, the mining industry is receiving priority attention," he explained.

Mining firms have been without full power since January when Eskom said it would only guarantee 90 per cent of their normal power supply.

Meanwhile, Eskom has announced that Hitachi Power Africa has been awarded with a R18.5 billion boiler contract with Alstom S&E has won the turbine island works contact worth R13 billion for the new coal fired power station.

Both firms were awarded similar contracts for the Medupi power station which is being built at Lephalale in Limpopo and is due to start construction in 2012, according to Engineering News.

Eskom said that the Medupi project had given them confidence in the two firms to deliver the project which is part of the Bravo plan.

"Through the fleet strategy Eskom has secured predictable pricing and delivery times for project Bravo. The Medupi tender process built our confidence that these two suppliers," said Chief Officer of Generation Brian Dames.

Sources:

Govt studying ways to fully restore power to mines, 29/02/08
http://www.miningweekly.co.za/article.php?a_id=128222

Eskom awards contracts worth R31,5bn for second big coal plant, 29/02/08
http://www.engineeringnews.co.za/article.php?a_id=128203

Reuters

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