LOAD SHEDDING COSTS SA'S ECONOMY R1BN PER DAY, SAYS MANTASHE

Mantashe thrust the country's power outages into the limelight at the 2023 Investing in African Mining Indaba in Cape Town.

Mineral Resources and Energy Minister Gwede Mantashe at the 2022 African Energy Week at the V&A Waterfront, in Cape Town on 18 October 2022. Picture: @GwedeMantashe1/Twitter

Kevin Brandt | 06 February 2023 13:33

CAPE TOWN - The Minister of Mineral Resources and Energy, Gwede Mantashe, highlighted the severe impact of load shedding saying it cost the country’s economy R1 billion per day.

Mantashe addressed delegates at the opening of the 2023 Investing in African Mining Indaba in Cape Town on Monday.

Mantashe reflected on the severe electricity supply disruptions and their impact on the country, particularly in 2022.

In November, mining production contracted by 9%, marking a 10th consecutive month of contraction in volumes produced.

Mantashe said that despite this, the mining company Goldfields managed to increase its production due to reforms in the energy sector that permitted embedded energy generation.

“Goldfields took the advantage of generating their own additional energy when the industry was declining 9% year-on-year, Goldfields grew 10% and, therefore, we are seeing a number of mining companies beginning to follow the Goldfields example… that is innovation and that is what will save a number of jobs.”

Mantashe reassured investors of the government’s commitment to end load shedding within the next 12 months.