African ferrochrome producers are switching furnaces back on as
state energy group Eskom Holdings SOC Ltd. continues to seek
ways to conserve power after the expiration of recent power
All of South
Africas ferrochrome producers cut production in the first
half of this year and sold the conserved electricity back to
Eskom, but the deals expired June 1, coinciding with South
Africas more expensive winter tariff period.
concerned about a lack of generating capacity and is
approaching individual industrial users asking them to curb
electricity consumption, particularly during peak hours.
It is also asking "all
South Africans" to try to switch off unnecessary power, warning
that the risk of outages is high, according to a notice on its
suggest further agreements in which users are financially
compensated for reducing power will be reached, despite
National Energy Regulator of South Africa (Nersa) saying in
April is was "disallowing" more buybacks, well-placed sources
told AMM sister publication Metal
BHP Billiton lost
power at two aluminum smelters last Thursday, according to
South African media reports.
agreement allows Eskom to cut power to the mining group when
the countrys energy network is under pressure.
"I can confirm that
our contracts with Eskom have always included a clause that
allows them to interrupt supply to our aluminium smelters when
demand exceeds their generating capacity," a spokeswoman for
BHP Billiton said.
Since June 1, about 10
ferrochrome smelters have been switched back on or are due to
be switched back on this quarter.
A version of this
article was first published in AMM sister publication Metal