tz demand

New Demand?

Whilst highlighting some of the politics that goes on, it appears that the IPTL turbines will be converted to Gas... all good if they can share some usage around...

"...When asked by THISDAY last week to explain the continued delay, the Minister for Energy and Minerals, William Ngeleja, said the gas conversion was expected to start anytime from now.

Ngeleja said technicians from Wartsila Corporation on December 14 presented to TANESCO a blueprint of how the project is to be implemented.

The minister asserted that the government will foot all costs for the conversion.

He said the project had stalled over the years due to a pending suit filed by IPTL's majority shareholder in court.

"Implementation of the project was held back by the case in court, and also due to the fact that the investor (Mechmar) had not given consent for the conversion as per the agreement between the two parties", he said, adding:

"We have since got the investors consent, on October 13 this year, to carry on with the project."

Malaysias Mechmar Corporation instituted arbitration proceedings in 2002 against TANESCO and the government over, among other things, non-payment of capacity charges.

Ngeleja played down allegations that the gas conversion project was being stalled by some high-ranking officials in the ministry and from TANESCO, who are in favour of new power projects where they expect to reap money through commissions.

"If there is anyone planning to stall the project, he or she is doomed because I will champion the whole process myself. The conversion process is the way forward and there is no going back", declared the minister..."