SA signs power deal with Alstom

CAPE TOWN – South Africa has signed a 1,4 billion euro deal with French industrial group, Alstom, to help build a coal power plant, France’s President Nicolas Sarkozy said yesterday.

Sarkozy is in South Africa for a two-day visit that is expected to focus on seizing business opportunities in Africa’s biggest economy. “South Africa is our number one economic trading partner in Africa, and we have signed, it was witnessed earlier on, an agreement for a power station worth 1,4 billion euros,” Sarkozy told reporters after talks with South African President Thabo Mbeki.The power plant, which will be finished between 2010 and 2014, will have six turbines producing 790 megawatts each and create 300 jobs.South Africa is gripped by a power shortage as state power utility Eskom struggles to meet demand.Eskom plans to spend 343 billion rand increasing its generating capacity over the next five years.Sarkozy brought with him 40 French company bosses, including the CEOs of power giant EDF, Alstom and nuclear firm Areva.Areva has submitted a multi-billion-dollar offer to develop and build nuclear power plants.South Africa President Thabo Mbeki said France would also help with providing engineers for the projects.”There is a need for us to get engineers to help us …The President [Sarkozy] immediately agreed that within a few days all those engineers will be here,” Mbeki told journalists at a press briefing.Nampa-Reuters”South Africa is our number one economic trading partner in Africa, and we have signed, it was witnessed earlier on, an agreement for a power station worth 1,4 billion euros,” Sarkozy told reporters after talks with South African President Thabo Mbeki.The power plant, which will be finished between 2010 and 2014, will have six turbines producing 790 megawatts each and create 300 jobs.South Africa is gripped by a power shortage as state power utility Eskom struggles to meet demand.Eskom plans to spend 343 billion rand increasing its generating capacity over the next five years.Sarkozy brought with him 40 French company bosses, including the CEOs of power giant EDF, Alstom and nuclear firm Areva.Areva has submitted a multi-billion-dollar offer to develop and build nuclear power plants.South Africa President Thabo Mbeki said France would also help with providing engineers for the projects.”There is a need for us to get engineers to help us …The President [Sarkozy] immediately agreed that within a few days all those engineers will be here,” Mbeki told journalists at a press briefing.Nampa-Reuters