Eskom does not believe that it will need to cut power supplies to South Africa's platinum mines this winter.

The energy regulator is aiming to raise $19.8 billion for expansion to avoid the need for power cuts during the winter months in what would be an unwelcome repeat to the crisis in January this year.

Platinum mines were forced to shut for five days as a result of power cuts but Eskom chairman Valli Moosa said he was confident that there would not be a problem in the summer months.

"I'm confident the entire winter will go without any load shedding (power cuts) whatsoever," he explained.

Eskom is currently operating with a reserve margin of six per cent, well short of its 15 per cent target.

Meanwhile, the firm announced that it is set to borrow up to R150 billion from local and international markets for capital expansion.

Jacob Maroga, the power firm's Chief Executive Officer, said that the first priority was to avoid load-shedding but the second priority was "to execute the big expansion strategy and secure funding".



Source:

Eskom sees no winter power cuts, 17/07/08
http://www.moneyweb.co.za/mw/view/mw/en/page62093?oid=215543&sn=Detail

Reuters