Application of GRI principles

Eskom has followed the Global Reporting Initiative G3 guidelines for this report and has declared a GRI B+LA application level with the possibility of an A+ rating into the future. In addition to this B+ application, Eskom has applied the GRI Electric Utility Sector Supplement, a tailored version of the guidelines in the preparation of this report. In addition, Eskom’s internal guidelines supported the reporting process.

An assurance provider was engaged to provide assurance on selected sustainability information in this report against the International Standard on Assurance Engagements 3000: Assurance Engagements other than Audits or Reviews of Historical Information. This report is presented on page 200.

Eskom has applied the following AA1000APS principles in compiling this integrated sustainability report:
  • Inclusivity: The stakeholder engagement processes inform the structure and, more importantly, the issues Eskom reports on. This is in addition to the internal process of business planning, setting objectives and performance targets, and integrated risk management.
  • Materiality: The main material issues, both current and future, covered in this report were highlighted by stakeholders. Eskom’s business focus areas and priorities have also influenced the material issues reported on. This has been strengthened by a group-wide integrated risk management process. The process of identifying the material issues to be reported on can be found on the inside front cover.
  • Responsiveness: The intention is to ensure that Eskom has provided the information that stakeholders have requested. Eskom aims to respond to stakeholders’ specific needs, both through this integrated reporting process as well as through our other stakeholder engagement mechanisms.

Eskom’s sustainability performance index, together with the benchmarking against sustainability indices and performance areas and indicators in this report, reflect the opportunities and constraints Eskom faces in executing its sustainable development strategy.


  Secure supply for the 2010 FIFA World Cup™  
   

The year 2010 was an extraordinary year, not only for South Africa but also for Eskom. In preparation for the 2010 FIFA World Cup™, Eskom, in consultation with its regional partners and major customers, implemented several initiatives to ensure that the event took place without any incidents. After years of planning, hard work, unwavering commitment and dedication, all Eskom employees worked together to ensure an uninterrupted power supply to the tournament for 64 consecutive games, from kick-off to the final whistle.

Stakeholder collaboration, at a national and regional level, was critical throughout: in the run-up, during the tournament, and afterwards. Each region had an electricity task team, with Eskom and municipalities the critical members. Regional and national stakeholders and international Southern African Power Pool trading partners made a significant contribution to ensuring that the lights stayed on for this global event.

Situational awareness centres were formed across the country. Their primary function was to record, action, communicate and report on incidents (technical and non-technical) and have heightened response times. Eskom’s relationship with national security agencies improved markedly over this period.

From an energy supply point of view, the Generation division was able to meet electricity demand without load shedding. No major plant maintenance was conducted during the period. Eskom ran a power station plant performance and safety competition. Kendal power station won, with the best energy availability factor, lowest number of trips, lowest unplanned energy losses and best safety performance.

Generation division successfully accomplished the following:
  • Met the commitment to provide a total reserve of about 4 200MW
    (2 500MW unplanned and 1 700MW real-time reserve)
  • Executive site visits to confirm the operational readiness of power stations and mines
  • Implemented an integrated security plan for plant
  • Initiated contingency plans to address risks to the system where power station unit maintenance moved into the World Cup period
  • Submitted to an independent review of Generation’s readiness for the World Cup by KEPCO, the Korean power utility, which commended Eskom’s overall readiness to deliver reliable power supply.

The goodwill, relationships and intense collaboration to keep the lights on must continue: with Southern African Power Pool trading partners, industrial, commercial and residential customers, and stakeholders. The electricity supply industry forums, which consisted of critical stakeholders (Eskom, municipalities, the Department of Energy, tertiary institutions, business chambers, among others), resulted in a greater level of trust, co-operation and the sharing of best practices. This had huge benefits for the industry.

Employees did Eskom proud: from leadership and project management to operations and overall team work. They have left a legacy of quiet confidence that will stand Eskom in good stead.

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Detailed information on energy efficiency initiatives and regional reliability teams can be found at www.eskom.co.za/annreport11/001.html

A total of R21.6 million was incurred by the Eskom Group on World Cup tickets, apparel and travel costs to stadia:

 

R000     2011     2010     2009     Total  
Tickets acquired     131     9 045     3 452     12 628  
Travel costs     363     –     –     363  
World Cup apparel and other     8 253     402     –     8 655  
    8 747     9 447     3 452     21 646  
   
         
    LA – Limited assurance provided by the independent assurance provider (refer here).