Eskom group executive for generation Matshela Koko reports that the utility has taken an in principle decision to migrate from investing in cost-plus coal mines, which are increasingly underperforming, to fixed-price coal contracts. Speaking exclusively to Engineering News Online, Koko also insisted that the group no longer faced a so-called “coal cliff”, reporting that it had secured 80% of its needs for the next five years, as well as all of its requirements for 2015/16 and 2016/17. This included 11-million tons in the form of short-term contracts.
