Project General Description
The corporate loan will assist Eskom, South Africa’s electricity company, to complete its Capacity Expansion Program (CEP). The program, to be rolled out over a 5-year rolling period (2015/16 – 2019/20), will deliver major transmission lines, refurbishments, substations, and additional generation, including completion of: Ingula Plant (1332 MW), Medupi Plant (4764 MW) and Kusile Plant (4800 MW). This will enable Eskom to increase its generation capacity, reduce reliance on expensive diesel-fired power consequently contributing to its medium/long-term financial sustainability. This will breed new economic competitiveness in South Africa and the wider region. Through its combined public and private sector interventions, the Bank will seek to strengthen the dialogue with Eskom so as to ensure adherence to international best practices.
The program is aimed at restoring South Africa’s business competitiveness, while improving health (i.e. reducing respiratory deaths/accidents), promoting gender equality (e.g., women spending less time collecting firewood/business opportunities), and increasing access to ICT for the population.