Eskom to revise coal contract strategy

South Africa’s cash-strapped power utility Eskom said on Friday it had revised its coal strategy to revert coal supply to long-term fixed-price contracts and extend contracts for “cost-plus” mines.

Eskom, which has warned of possible power outages after low coal stockpiles, said it would in the short term purchase four million tonnes of coal for immediate supply to recover all power stations to above the minimum required level by the end of March 2019.

Read: Eleven power station units out of action due to Eskom financial woes