Latest news with #R1.6
The Citizen
3 days ago
- Business
- The Citizen
R3bn allocated to fix Limpopo's roads and build new ones
Roads have been given the biggest slice of the Limpopo public works department's annual budget. Residents and investors have called on Limpopo to ramp up its plans to deal with poor roads. Picture: Supplied Limpopo's department of public works, roads and infrastructure will spend more than half of its allocated budget for 2025/26 to build new roads and maintain old ones. Most of the province's roads were damaged by severe storms early this year. R3 billion set aside to tar roads During an interview with The Citizen on Thursday, MEC for Public Works, Roads, and Infrastructure, Tonny Sebataolo Rachoene, said Limpopo currently has 13 000km of unpaved roads. He added that more than R3 billion has been set aside to pave and tar roads this financial year. The MEC believes for the province's economy to grow, smooth roads are needed. ALSO READ: Multi-billion Limpopo mega-project has ground to a halt MEC says R300 billion needed Despite this, Rachoene said the R3 billion allocation is just a fraction of what is needed. For the province to tar the remaining R13 000km of unpaved roads, the MEC said it would need more than R300 billion. He said his department has no money to fund the projects. He appealed to the private sector, provincial Treasury and the national Department of Transport to come to the party. Poor roads hurting Limpopo's economy The tabling of the budget, comes as both residents and investors have called on the province to ramp up its plans to deal with the poor road infrastructure. Rachoene said the bad state of some of the roads was making it difficult for the transportation of goods and services, for tourists trying to use the roads, and deterring investment in the province. 'Through our road agency, we intend to upgrade 21 new roads from gravel to tar. We have taken a resolution not only to build roads, but to maintain them as well and to ensure our assets, including our fleet, is protected,' he said. NOW READ: Limpopo municipalities owe Eskom R1.6 billion
IOL News
5 days ago
- Politics
- IOL News
Limpopo municipalities owe Eskom R1. 6 billion; blame infrastructure tampering and theft
Electricity and Energy Minister Kgosientsho Ramokgopa placed much of the blame for persistent power supply challenges in Limpopo on illegal activities such as meter bypassing, infrastructure vandalism, and unauthorised electricity connections, particularly in densely populated urban and rural communities. Municipalities across Limpopo owe Eskom a staggering R1.6 billion in unpaid electricity bills, with the bulk of the debt linked to persistent issues such as electricity theft, infrastructure tampering, and non-payment by end-users. This was revealed by Electricity and Energy Minister Kgosientsho Ramokgopa over the weekend during a South African Local Government Association (SALGA) indaba attended by local mayors, municipal officials, councillors, and Limpopo Premier Dr Phophi Ramathuba. Ramokgopa warned that the escalating debt — part of the national municipal debt to Eskom, which now totals R78 billion — poses a major threat to the stability of South Africa's electricity supply and the financial viability of the power utility. Of the 27 municipalities in Limpopo, those in the Waterberg District – namely Modimolle/Mookgophong, Thabazimbi, and Bela Bela – are the worst offenders. While these municipalities have been approved for debt relief through the National Treasury, only Bela Bela has met the necessary conditions, having signed an active partnering service level agreement with Eskom. 'A similar agreement was signed by the previous Thabazimbi council, but it was never implemented,' said Ramokgopa. 'We have also received commitments from Musina, Makhado, and Mogalakwena municipalities to improve payment compliance, but action must follow those words.' Ramokgopa placed much of the blame for persistent power supply challenges in Limpopo on illegal activities such as meter bypassing, infrastructure vandalism, and unauthorised electricity connections, particularly in densely populated urban and rural communities.
IOL News
6 days ago
- Business
- IOL News
Transforming energy: Absa CIB's R1. 6 billion boost for South Africa's wind farm
Absa Corporate and Investment Banking (CIB) has provided renewable energy finance through the provision of R1.6 billion in facilities to FE Overberg (RF), for Phase 2 of the FE Overberg Wind Project. Once completed, FE Overberg (comprising Phase 1 and Phase 2) will constitute South Africa's largest privately developed wind farm. Red Rocket Holdings is the Independent Power Producer (IPP) responsible for the development of the FE Overberg Wind Project, with a total overall capacity (Phase 1 and Phase 2) of 380 MW. With total debt facilities of R3.8bn, the Phase 2 project will generate 150MW of clean wind energy for Discovery Green (DG), a licensed electricity trader and subsidiary of Discovery Limited. The debt facilities will substantially finance the project's full lifecycle – from design and construction to operations and maintenance – ensuring the supplying of 100% renewable energy to DG's customers under a 25-year Power Purchase Agreement (PPA) between FE Overberg and DG. The project is expected to provide green energy to DG's customers at a competitive energy tariff
The Citizen
6 days ago
- Business
- The Citizen
Limpopo municipalities owe Eskom R1.6 billion
Ramokgopa blames electricity theft and infrastructure tampering for ongoing transformer failures and load reduction in parts of Limpopo. Municipalities in Limpopo owe Eskom about R1.6 billion. The debt dates back to last December, Electricity and Energy Minister Kgosientsho Ramokgopa, pictured, told mayors, municipal managers, chief financial officers, councillors, directors and premier Dr Phophi Ramathuba during a South African Local Government Association (Salga) indaba at the weekend. The debt to Eskom by municipalities nationwide amounts to a staggering R78 billion. Limpopo owes Eskom R1.6bn South Africa has a total of 257 councils, 27 of them in Limpopo. Those owing the most in Limpopo are in the Waterburg district – Modimolle/Mookgophong, Thabazimbi and Bela Bela. ALSO READ: Here's Gauteng's Eskom load reduction schedule for the rest of June The three councils, Ramokgopa said, have been approved for a debt relief programmes by the National Treasury. 'Although approved, only Bela Bela has met the debt relief condition. The council has signed an active partnering service level agreement,' he said. 'A similar agreement for Thabazimbi was signed by the previous council, but was not implemented. Other municipalities such as Musina, Makhado and Mogalakwena have made a commitment to adhere to payment.' Ramokgopa blames electricity theft and infrastructure tampering However, Ramakgopa seemed concerned about the extent of load reduction in urban and rural areas. 'Illegal connections, meter bypassing and tampering with electricity infrastructure have increased over the years,' he said. ALSO READ: Adequate emergency reserves in place for occasional system constraints – Eskom 'These activities continue to cause repeated failures and explosions of Eskom equipment due to overloading, threatening the overall security of the electricity supply.' In an endeavour to protect Eskom's assets from failure and explosions, the utility has identified areas with significantly high electricity theft, primarily from residential customers. These areas, Ramokgopa said, are subjected to load reduction in an effort to contain demand. R4.3 million spent to replace transformers In the past 21 months, he said, Eskom has spent R4.3 million to replace transformers. Salga provincial chair John Mpe appealed to municipalities to pay their debts with Eskom. ALSO READ: Third-party concessions a solution for municipal electricity distribution He also urged communities to work with the police and Eskom to report illegal connections.
IOL News
05-06-2025
- Business
- IOL News
Jubilee Metals receives R1. 6 billion offer for its South African chrome and PGM operations
Jubilee Metals, a diversified metals producer with operations in South Africa and Zambia, has received a conditional binding offer from a private mining and metals trading company to acquire the group's chrome and platinum group metals operations in South Africa Image: Supplied Jubilee Metals, a diversified metals producer with operations in South Africa and Zambia, has received a conditional binding offer from a private mining and metals trading company to acquire the group's chrome and platinum group metals (PGM) operations in South Africa for a consideration of up to $90 million (R1.6 billion). The shares leapt 4.17% to R1.00 on Thursday morning on the JSE as investors welcomed the news. The offer allows Jubilee to sharpen its focus on expanding its copper strategy in Zambia while retaining exposure to the PGM market through its Tjate Platinum mining project. Under the terms of the offer, Jubilee will retain all current rights to the Tjate Platinum mining project offering Jubilee continued exposure to the potential upside of the PGM market, while focusing to further advance the Company's copper strategy in Zambia. The total consideration of up to $90m is payable through a combination of cash upfront and deferred cash payments over an approximate three year period. Jubilee's board has reviewed the offer and recognises its compelling value proposition. The company is also evaluating its dividend policy to potentially enable future distributions to shareholders. A detailed shareholder circular outlining the transaction will be issued soon. Absa Corporate and Investment Bank, a division of Absa Bank Limited, has been appointed as the financial advisor for the transaction. Strategic Focus on Copper in Zambia The disposal of the chrome and PGM operations allows Jubilee to prioritise its Zambian operations, where the company sees significant growth potential. Strong copper markets support higher earnings potential resulting in higher margins than that of chrome. It said, "With the anticipated continuing expansion of the world's growth in electrification generally, renewable power and automotive applications, demand for copper is expected to remain high. Jubilee has demonstrated its ability to successfully recover copper from shallow, transitional reefs. Recent trials confirm the Roan concentrator's capability to maintain a ROM feedstock run rate of between 35 000 to 40 000 tonnes per month (tpm) on the transitional reefs equating to 240 (at 35 000 tpm throughput and min Cu grade) to 360tpm of Cu units (at 40 000tpm and targeted Cu grade," Jubilee said. Jubilee recently continued to expand its near surface mining portfolio with the execution of two further agreements offering the exclusive right to perform its due diligence on these properties with the option to purchase the rights pending the outcome of the due diligence. Zambia holds additional potential opportunities which Jubilee seeks to secure. Jubilee's in country operational presence and processing know-how, positions Jubilee well to pursue these opportunities.
