The power crisis in South Africa is not a disaster, according to Cynthia Carroll, Chief Executive Officer of Anglo American.

Speaking at a presentation to the Mining Indaba in Cape Town, she said it was "not the time for finger pointing" and called on the industry to act together to help the situation.

"I don't view these problems as a disaster," she told her audience as she highlighted that energy shortages had also occurred in North and South America.

Mining companies have begun to restart their operations after Eskom guaranteed 90 per cent power but Ms Carroll said the Government and the industry would have to use all their expertise to search for near-term and long-term solutions, miningweekly reports.

"We must be linked up with government and other key stakeholders," she said.

She also said it was time for the world to ignore afropessimism and said that people should not "write off" Africa just because of other problems in the continent.

Meanwhile Eskom has set up a recovery team to buy back power in an attempt to avoid a repeat of the recent load-shedding problems.

An internal document to staff from Chief Executive Officer Jacob Maroga described the time as "one of the most difficult" in the history of Eskom and said that the interruptions in power supply were "unprecedented".

Erica Johnson will lead the recovery the team while Ehud Matja will negotiate to buy-back power from large industrial consumers, Reuters reports.

As Eskom tries to find ways to solve the energy problem, it is believed to be keen on cogeneration projects that would offer customers supplying the grid a better price.

Plans for cogeneration projects have been drafted into its power purchase agreement (PPA) and the tariff would ensure full cost recovery and a profit for the generator.

However, according to the reports from mining Engineering News, the projects could take up to 48 months to come into commercial operation.

Sources:

SA's power crisis serious, but not a disaster - Carroll, 05/02/08
http://www.miningweekly.co.za/article.php?a_id=126078

Eskom sets up recovery team, to buy back power, 04/02/08
http://www.engineeringnews.co.za/article.php?a_id=126014

Eskom offers cogeneration tariff incentive for early movers, 04/02/08
http://www.engineeringnews.co.za/article.php?a_id=126029

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