S.Africa nuclear bid could be worth $125.7 billion: minister

A nuclear plant/234next

South African Energy Minister Dipuo Peters confirmed that a tender proposal for construction of 9,600 megawatts of nuclear power by 2030, currently under review by the cabinet, could be worth at least 1 trillion rand.

South African Energy Minister Dipuo Peters confirmed that a tender proposal for construction of 9,600 megawatts of nuclear power by 2030, currently under review by the cabinet, could be worth at least 1 trillion rand.

That value would make it the highest public tender ever issued in South Africa, raising questions about how Africa's biggest economy and state-owned utility Eskom would raise the money to pay for the nuclear plants.

"We have not as yet done the full calculation, and it is only at the time that we place the bid that we will be sure about the total cost, but it would be about that or more," Peters told Reuters Insider on Wednesday in response to questions regarding speculation about the 1 trillion rand cost.

Around 85 percent of South Africa's power is produced by coal-fired power plants, and supplies are tight as Eskom battles to meet fast-rising demand in the world's top producer of platinum and a major gold miner.

South Africa has said it will invest in nuclear power to boost electricity supplies and reduce its heavy carbon footprint. The bid process is expected to start early next year.

The country currently operates Africa's only nuclear plant.

Speaking on the sidelines of an International Energy Agency meeting in Paris, Peters said the impact of the nuclear expansion on consumers would be the key factor in the final cost decision.