Close Menu
TechCentralTechCentral

    Subscribe to the newsletter

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Facebook X (Twitter) YouTube LinkedIn
    WhatsApp Facebook X (Twitter) LinkedIn YouTube
    TechCentralTechCentral
    • News
      Digital IDs will launch before year-end, government says - Maropene Ramokgopa

      Digital IDs will launch before year-end, government says

      23 January 2026
      Watts & Wheels S1E2: 'China attacks, BMW digs in, Toyota's sublime supercar'

      Watts & Wheels S1E2: ‘China attacks, BMW digs in, Toyota’s sublime supercar’

      23 January 2026
      EU decision doesn't end 'Fair Share' debate, says ACT CEO Batyi - Nomvuyiso Batyi

      EU decision doesn’t end ‘Fair Share’ debate, says ACT CEO Batyi

      23 January 2026
      Chery to take over Nissan's historic Rosslyn plant

      Chery to take over Nissan’s historic Rosslyn plant

      23 January 2026
      Intel takes another hit - Intel CEO Lip-Bu Tan. Laure Andrillon/Reuters

      Intel takes another hit

      23 January 2026
    • World
      ByteDance clinches US TikTok deal

      ByteDance clinches US TikTok deal

      23 January 2026
      Taiwan, US strike strategic AI and chip supply-chain pact - TSMC

      Taiwan, US strike strategic AI and chip supply-chain pact

      20 January 2026
      Wikipedia moves to monetise AI giants' reliance on its content

      Wikipedia moves to monetise AI giants’ reliance on its content

      15 January 2026
      Visa moves to plug stablecoins into the global payments system

      Visa moves to plug stablecoins into the global payments system

      15 January 2026
      Oracle sued as bondholders allege AI debt plans were hidden - Larry Ellison

      Oracle sued as bondholders allege AI debt plans were hidden

      15 January 2026
    • In-depth
      The top-performing South African tech shares of 2025

      The top-performing South African tech shares of 2025

      12 January 2026
      Digital authoritarianism grows as African states normalise internet blackouts

      Digital authoritarianism grows as African states normalise internet blackouts

      19 December 2025
      TechCentral's South African Newsmakers of 2025

      TechCentral’s South African Newsmakers of 2025

      18 December 2025
      Black Friday goes digital in South Africa as online spending surges to record high

      Black Friday goes digital in South Africa as online spending surges to record high

      4 December 2025
      DStv dodges channel blackout in last-minute deal with Warner Bros

      Canal+ plays hardball – and DStv viewers feel the pain

      3 December 2025
    • TCS

      TCS+ | Why cybersecurity is becoming a competitive advantage for SA businesses

      20 January 2026
      Watts & Wheels S1E2: 'China attacks, BMW digs in, Toyota's sublime supercar'

      Watts & Wheels: S1E1 – ‘William, Prince of Wheels’

      8 January 2026
      TCS+ | Africa's digital transformation - unlocking AI through cloud and culture - Cliff de Wit Accelera Digital Group

      TCS+ | Cloud without culture won’t deliver AI: Accelera’s Cliff de Wit

      12 December 2025
      TCS+ | How Cloud on Demand helps partners thrive in the AWS ecosystem - Odwa Ndyaluvane and Xenia Rhode

      TCS+ | How Cloud On Demand helps partners thrive in the AWS ecosystem

      4 December 2025
      TCS | MTN Group CEO Ralph Mupita on competition, AI and the future of mobile

      TCS | Ralph Mupita on competition, AI and the future of mobile

      28 November 2025
    • Opinion
      AI moves from pilots to production in South African companies - Nazia Pillay SAP

      AI moves from pilots to production in South African companies

      20 January 2026
      ANC's attack on Solly Malatsi shows how BEE dogma trumps economic reality - Duncan McLeod

      ANC’s attack on Solly Malatsi shows how BEE dogma trumps economic reality

      14 December 2025
      Netflix, Warner Bros deal raises fresh headaches for MultiChoice - Duncan McLeod

      Netflix, Warner Bros deal raises fresh headaches for MultiChoice

      5 December 2025
      BIN scans, DDoS and the next cybercrime wave hitting South Africa's banks - Entersekt Gerhard Oosthuizen

      BIN scans, DDoS and the next cybercrime wave hitting South Africa’s banks

      3 December 2025
      ANC's attack on Solly Malatsi shows how BEE dogma trumps economic reality - Duncan McLeod

      Your data, your hardware: the DIY AI revolution is coming

      20 November 2025
    • Company Hubs
      • Africa Data Centres
      • AfriGIS
      • Altron Digital Business
      • Altron Document Solutions
      • Altron Group
      • Arctic Wolf
      • AvertITD
      • Braintree
      • CallMiner
      • CambriLearn
      • CYBER1 Solutions
      • Digicloud Africa
      • Digimune
      • Domains.co.za
      • ESET
      • Euphoria Telecom
      • Incredible Business
      • iONLINE
      • IQbusiness
      • Iris Network Systems
      • LSD Open
      • NEC XON
      • Netstar
      • Network Platforms
      • Next DLP
      • Ovations
      • Paracon
      • Paratus
      • Q-KON
      • SevenC
      • SkyWire
      • Solid8 Technologies
      • Telit Cinterion
      • Tenable
      • Vertiv
      • Videri Digital
      • Vodacom Business
      • Wipro
      • Workday
      • XLink
    • Sections
      • AI and machine learning
      • Banking
      • Broadcasting and Media
      • Cloud services
      • Contact centres and CX
      • Cryptocurrencies
      • Education and skills
      • Electronics and hardware
      • Energy and sustainability
      • Enterprise software
      • Financial services
      • Information security
      • Internet and connectivity
      • Internet of Things
      • Investment
      • IT services
      • Lifestyle
      • Motoring
      • Public sector
      • Retail and e-commerce
      • Satellite communications
      • Science
      • SMEs and start-ups
      • Social media
      • Talent and leadership
      • Telecoms
    • Events
    • Advertise
    TechCentralTechCentral
    Home » Sections » Energy and sustainability » The other side of the messy R8-billion Medupi, Kusile story

    The other side of the messy R8-billion Medupi, Kusile story

    By Antoinette Slabbert7 February 2019
    Twitter LinkedIn Facebook WhatsApp Email Telegram Copy Link
    News Alerts
    WhatsApp
    Image: GCIS

    Much of the responsibility for the state of the dust-handling plant at the Medupi and Kusile power stations should be assigned to Eskom Generation rather than the contractor, says Jeremy Kirsch, MD of Clyde Bergemann Africa (CBZ).

    Kirsch on Monday responded to statements made by Eskom GM for group technology Titus Mathe on Friday at energy regulator Nersa’s public hearing about Eskom’s application for an annual 15% tariff increase for the next three years.

    Mathe gave details about “design defects” and “process and people issues” at Eskom’s two new power plants. He said the problems would cost R8-billion and take several years to fix.

    They put stress on the plant that could lead to increased wear and tear, equipment failure and blockages that could result in the non-functioning of the plant

    Among other things, Mathe referred to high ash accumulation at the dust handling plant as well as leaks, poor commissioning and lack of spares due to business constraints at the original equipment manufacturer. The plant requires more frequent maintenance, he said.

    CBZ is the supplier of the dust-handling plant at both Medupi and Kusile. It does the installation and supplies the spares.

    Kirsch confirms the high ash accumulation and describes the situation as “abysmal, embarrassing” and a huge environmental problem. Eskom should however also look at itself to find the reason for this situation, he says.

    Similar plants have been functioning well at Eskom’s Matla and Kriel power stations since the 1980s and have been successfully installed at several power stations in China.

    Intimately involved

    Kirsch explains that CBZ staff have been intimately involved in the running of the plant during the handover period to Eskom Generation, the division within Eskom that operates the units in the long run.

    At Medupi Unit 6, the first of the new units to be completed, this handover period was nine months. At two subsequent units, with the first completed at Kusile, it was shorter. During this period, CBZ was responsible for operating the plant, monitoring the operations, responding to maintenance requirements and maintaining its own equipment.

    All went well, he says.

    Once Eskom Generation took sole control, however, things started deteriorating, says Kirsch.

    He criticises the way Eskom staff operate the system. They put stress on the plant that could lead to increased wear and tear, equipment failure and blockages that could result in the non-functioning of the plant, he says.

    According to Kirsch, the Eskom operators sit in the control room and rely on the data relayed to them on the computer screens. “In addition to relying on the screens, one should also walk around and observe, look, listen, smell,” Kirsch says.

    Inadequate monitoring means one only picks up problems when they are significant, he says. After all, one wouldn’t ignore a funny sound your car is making even though the warning light on the control panel is not on, he says.

    We have been trying to speak to senior people at Eskom since early 2017, because we have been losing R5-million/month…

    When something does go wrong, Eskom is slow in doing the required maintenance, Kirsch says. “Ash is abrasive. It will grind things away quickly,” he says. Nevertheless, things are left for days while ash is being spewed all over. By the time the problem is fixed, the damage is enormous, he says.

    According to Kirsch, the quality of Eskom’s maintenance is bad. He says CBZ was hoping it would get the long-term maintenance contract as it does similar maintenance work for Eskom at eight of its other power stations.

    Eskom, however, decided against putting the contract out on tender and appointed its own subsidiary, Roshcon, which has been responsible for the maintenance on completed units since September 2015, Kirsch says.

    CBZ staff are still on site, working on the later units. They point the problems they see out to Eskom Generation, but nothing happens for days, he says. “It pains us to see what is happening.”

    Lack of spares

    Problems at the fabric filter plant also place demands beyond its design requirements on the dust handling plant, Kirsch says.

    About Mathe’s statement that there is a lack of spares for the dust handling unit due to “business constraints” at CBZ, Kirsch says the company is indeed battling, but there is more to this than what Mathe lets on.

    When CBZ got the initial contract for the dust handling system in 2009, it gave Eskom a comprehensive quote for the spares it should need in the first two years of operation.

    Eskom did not buy the spares but, until a few months ago, has been borrowing spares from CBZ that were earmarked for the construction of the later units. CBZ even had to borrow spares from Kusile for Eskom to use during emergencies at the units in commercial operation at Medupi, Kirsch says.

    He confirms that CBZ now experiences pressure on cash flow, with the outstanding R170-million from a R240-million claim it submitted against Eskom at Kusile being a big contributing factor.

    “We have been trying to speak to senior people at Eskom since early 2017, because we have been losing R5-million/month jointly on Medupi and Kusile,” he says. He explains that the bidding for the original dust-handling plant contract was competitive and the margins slim. Contractors were never able to recover costs incurred due to delays caused by among other things protracted strikes at Medupi.

    Many subcontractors went out of business and when CBZ tried to replace them, bidders added a 40-50% premium to their quotes. Word travelled fast about the chaotic and commercially damaging conditions on site and they therefore built in a significant risk premium.

    He says part of the costing for the project was done on a fixed period, and with the job running more than twice the estimated 54 months, CBZ is indeed in serious financial difficulty.

    Against this background it leaves a sour taste that Eskom takes absolutely no responsibility for problems at Medupi and Kusile, but instead makes statements in public that reflect negatively on the companies that are already bearing the brunt of its badly managed project, Kirsch says.

    • This article was originally published on Moneyweb and is used here with permission


    CBZ Clyde Bergemann Africa Eskom Jeremy Kirsch Titus Mathe
    WhatsApp YouTube Follow on Google News Add as preferred source on Google
    Share. Facebook Twitter LinkedIn WhatsApp Telegram Email Copy Link
    Previous Article‘We’re all tech companies now’: Axiz, Cisco partner to help firms transform
    Next Article Battered cryptocurrencies may be in for even more pain

    Related Posts

    How liberalisation is rewiring South Africa's power sector

    How liberalisation is rewiring South Africa’s power sector

    21 January 2026
    No risk of load shedding after Koeberg output scaled back

    No risk of load shedding after Koeberg output scaled back

    21 January 2026
    Billions flow into renewables as South Africa races to fix its grid

    Billions flow into renewables as South Africa races to fix its grid

    14 January 2026
    Company News
    Jabra - a smarter way to sound, work and connect in the workplace

    Jabra – a smarter way to sound, work and connect in the workplace

    23 January 2026
    Domains.co.za launches South Africa's first homegrown Link in Bio tool

    Domains.co.za launches South Africa’s first homegrown Link in Bio tool

    22 January 2026
    Trends that are shaping the use of AI to improve CX - Telviva

    Trends shaping the use of AI to improve CX

    22 January 2026
    Opinion
    AI moves from pilots to production in South African companies - Nazia Pillay SAP

    AI moves from pilots to production in South African companies

    20 January 2026
    ANC's attack on Solly Malatsi shows how BEE dogma trumps economic reality - Duncan McLeod

    ANC’s attack on Solly Malatsi shows how BEE dogma trumps economic reality

    14 December 2025
    Netflix, Warner Bros deal raises fresh headaches for MultiChoice - Duncan McLeod

    Netflix, Warner Bros deal raises fresh headaches for MultiChoice

    5 December 2025

    Subscribe to Updates

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Latest Posts
    Digital IDs will launch before year-end, government says - Maropene Ramokgopa

    Digital IDs will launch before year-end, government says

    23 January 2026
    Watts & Wheels S1E2: 'China attacks, BMW digs in, Toyota's sublime supercar'

    Watts & Wheels S1E2: ‘China attacks, BMW digs in, Toyota’s sublime supercar’

    23 January 2026
    EU decision doesn't end 'Fair Share' debate, says ACT CEO Batyi - Nomvuyiso Batyi

    EU decision doesn’t end ‘Fair Share’ debate, says ACT CEO Batyi

    23 January 2026
    Chery to take over Nissan's historic Rosslyn plant

    Chery to take over Nissan’s historic Rosslyn plant

    23 January 2026
    © 2009 - 2026 NewsCentral Media
    • Cookie policy (ZA)
    • TechCentral – privacy and Popia

    Type above and press Enter to search. Press Esc to cancel.

    Manage consent

    TechCentral uses cookies to enhance its offerings. Consenting to these technologies allows us to serve you better. Not consenting or withdrawing consent may adversely affect certain features and functions of the website.

    Functional Always active
    The technical storage or access is strictly necessary for the legitimate purpose of enabling the use of a specific service explicitly requested by the subscriber or user, or for the sole purpose of carrying out the transmission of a communication over an electronic communications network.
    Preferences
    The technical storage or access is necessary for the legitimate purpose of storing preferences that are not requested by the subscriber or user.
    Statistics
    The technical storage or access that is used exclusively for statistical purposes. The technical storage or access that is used exclusively for anonymous statistical purposes. Without a subpoena, voluntary compliance on the part of your Internet Service Provider, or additional records from a third party, information stored or retrieved for this purpose alone cannot usually be used to identify you.
    Marketing
    The technical storage or access is required to create user profiles to send advertising, or to track the user on a website or across several websites for similar marketing purposes.
    • Manage options
    • Manage services
    • Manage {vendor_count} vendors
    • Read more about these purposes
    View preferences
    • {title}
    • {title}
    • {title}