Sothern African states set for power boost

6 June 2012

Power supplies in South Africa and Mozambique are set for a significant boost after Aggreko, the British firm, and its local joint-venture partner Shanduka Group confirmed plans to supply 107 megawatts of gas-fired power to the states.

The deal is seen as important to both southern African states as it means that electricity shortages in the region will soon be plugged, Reuters reports.

Demand for power in Africa is increasing all the time, with areas across the continent determined to modernise their economy and improve infrastructure.

In 2008, in fact, South Africa's national grid teetered on the brink of collapse, with force mines in the region to close for a period of days.

This, naturally, had an unhelpful impact on the local economy, an issue that government officials and business people are keen to address over the coming months.

The energy boost could help to stimulate the South African economy and the mining sector in particular.

Category: Energy