Defend Truth

Rio Tinto walks away from Coega smelter. Thanks, Eskom.

Rio Tinto walks away from Coega smelter. Thanks, Eskom.

The most important draw card of the Coega industrial development zone outside Port Elizabeth, the aluminium smelter Rio Tinto was to build at a cost of more than $3 billion, has been cancelled. It had to happen. Rio Tinto can’t get the guaranteed power it needs; not at a decent price anyway. The government can’t afford to turn off the lights in homes and other factories while providing uninterrupted supply to anything that wasn’t grandfathered in. And Eskom can do with not having to worry about the voracious appetite of a new smelter in the middle of nowhere if you consider the geography of its generation assets. Does this leave Coega a white elephant? A deep-water port is valuable in and of itself, but without the smelter there’ll be one helluva lot less to ship in and out.

Gallery

Please peer review 3 community comments before your comment can be posted

We would like our readers to start paying for Daily Maverick...

…but we are not going to force you to. Over 10 million users come to us each month for the news. We have not put it behind a paywall because the truth should not be a luxury.

Instead we ask our readers who can afford to contribute, even a small amount each month, to do so.

If you appreciate it and want to see us keep going then please consider contributing whatever you can.

Support Daily Maverick→
Payment options

MavericKids vol 3

How can a child learn to read if they don't have a book?

As the school year starts again, thousands of children will not have the basics (like books) to learn from.

81% of children aged 10 cannot read for meaning in South Africa.

For every copy of MavericKids sold from the Daily Maverick shop, we will donate a copy to Gift of the Givers for learners in need. If you don't have a child in your life, you can donate both copies.

Small effort, big impact.