1. 6 th Zimbabwe Mining and Infrastructure Indaba 8-10 October 2014 Harare, Zimbabwe

2. Xxxxx-xx/Footer 1 1. Introduction2. The Integrated Resource Plan3. The determinations4. Eskom Africa Strategy5. Opportunities for Zimbabwe Table of contents

3. Xxxxx-xx/Footer 2 Introduction Minister of Energy’s Power’s The Integrated Resource Plan Implementation of the IRP

4. Xxxxx-xx/Footer 3 Total responsibility for the energy industry Policy development Plan for new capacity Decide who to build new capacity Procure new capacity The Powers of the Minister of Energy

5. Xxxxx-xx/Footer 4 Ensure energy security of supply through: Introducing Independent Power Producers Cleaner technologies Least cost technologies Support regional integration and development Key policy considerations

6. Xxxxx-xx/Footer 5 IRP Revised Balance Scenario

7. Xxxxx-xx/Footer 6 Integrated Resource Plan Implementaton New build options Coal (PF, FBC, imports, own build) NuclearImport hydroGas – CCGTPeak – OCGTWindCSPSolar PV MW 201000000000 201100000000 20120000000300 20130000000300 2014500 1 00004000300 2015500 1 00004000300 201600000400100300 201700000400100300 201800000400 4 100 4 300 4 20192500023730400 4 100 4 300 4 20202500023730400100300 20212500023730400100300 202225001 143 2 0805400100300 20232501 6001 183 2 0805400100300 20242501 600283 2 00800100300 20252501 600008051 6001001 000 20261 0001 6000004000500 202725000001 6000500 20281 0001 600047469000500 20292501 6000237805001 000 20301 000009480001 000 Total6 2509 6002 6092 3703 9108 4001 0008 400 First Determination Second Determination 1. Built, owned & operated by IPPs 2. Commitment necessary due to required high-voltage infrastructure, which has long lead time 3. Commitment necessary due to required gas infrastructure, which has long lead time 4. Possibly required grid upgrade has long lead time and thus makes commitment to power capacity necessary

8. Xxxxx-xx/Footer 7 First Determination 1st Determination – 3724 MW of renewable energy of which over 2400 has be procured The department and Eskom signed contracts with 47 preferred bidders Some projects under window 1 are already supplying power into the grid whilst majority are due for connection in 2014 Most window 2 project are under construction and are due for connection into the grid in 2016 - 2017 MW to be procured

9. Xxxxx-xx/Footer 8 Second Determination Determination – 3200 MW of renewable energy Added to the current Renewable Procurement Programme Determination – Base load/ mid-merit - 2500 MW of coal based load/ import hydro - 2652 MW of gas fired plant mead married Separate procurement documents being developed 19 December 2012 Determinations Determination – Medium Term Risk Mitigation - 800 MW from cogeneration - 475 MW from gas of coal base load Separate procurement documents developed

10. Xxxxx-xx/Footer 9 Eskom’s Africa Strategy To increase imports through supporting the RSA Department of Energy Support the development of strategic transmission corridor and generation projects To be involved in Operations and Maintenance (O&M) In future to export surplus power 1 1 2 2 3 3 4 4

11. Xxxxx-xx/Footer 10 Zambia Botswana Mozambique RSA Namibia Opportunity for Zimbabwe To develop interconnectors with: To participate in future Procurement Programmes 1 1 2 2

12. Xxxxx-xx/Footer 11 Thank You