NERSA must make public its reasons for approving Karpowership licences, says OUTA

NERSA must make public its reasons for approving Karpowership licences, says OUTA

The Organisation Undoing Tax Abuse (OUTA) says National Energy Regulator (NERSA) needs to make public its reasons for approving the Karpowership generation licences.

Karpowership SA to appeal decision to reject its power at ports project
Supplied: Karpowership SA

Nersa granted the floating power ship provider generation licenses for Saldanha Bay, Coega and Richards Bay.


This is despite Karpowership's applications for environmental approval was denied by the Department of Forestry, Fisheries, and Environment in June.


OUTA energy advisor Chris Yelland says the public deserves answers.


“OUTA finds it unacceptable that NERSA approves the generation licences but fails to provide the public with reasons immediately. How are these projects approved if the reasons for decisions are not carefully considered and written up?


“The public has a right to know why these decisions are made. These reasons are also required if the decisions are to be challenged in court.


This lack of transparency has been an ongoing problem in this process.”


Yelland says OUTA has submitted a formal submission to NERSA opposing the Karpowership licences.


“OUTA’s objections included raising queries about the Karpowership tariffs, which are linked to the US dollar price of gas, the dollar exchange rate and the carbon price, with concern over the likelihood of huge tariff increases over the years. OUTA also objected to significant portions of the Karpowership applications being redacted from public view.”


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