Question 1

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Section A: Case Study [40 Marks]

Carefully read the article below and answer ALL the following questions.

The future of the embattled Botswana Power Corporation (BPC) multi-billion pula mega

project Morupule B Power station is still unclear.

Minister of Minerals, Energy and Water Resources (MMEWR) Kitso Mokaila told

WeekendPost in a 'brief' interview this week that: "the units (not all) are running but we

have serious challenges as they are not running in full capacity due to several issues like

fans, fluidization and coal feeders among others."

Mokaila has previously conceded that the project is not unfolding as anticipated. The

beleaguered project has cost tax payers an estimated 11 billion pula - making it the most

expensive project ever undertaken in the country.

The Minister has gone on record several times stating that the project would be complete

in previous years and lately October last year but the deadlines were delayed.

In this week's interview, Mokaila would not be drawn into discussing the new timelines

for the project. "At least the plant is keeping load shedding away from us for the time

being," he said.

WeekendPost has also established that frequent breakdowns of boilers persists - and

currently the power station is running on 3 units - with a power deficit - opening a hole

for more possible blackouts.

Moreover, it is understood that "the units are only producing 310 megawatts (mw) while

the whole station is expected to be generating a capacity of 600 mw with each unit

breeding 150mw," and this was confirmed by BPC Marketing and Communications

Manager, Spencer Moreri in an interview on Wednesday - further confirming that the

units are not running at full capacity.

Moreri was not in a position to discuss or reveal the expected time of completion, but

stressed that there is a timeline which he could not immediately divulge.

He said there are also challenges with regard to the 80 percent of imported electricity

from the neighbouring South Africa's power giants Eskom. Eskom has recently

threatened to stop supplying Botswana as they were experiencing supply shortages of

their own and therefore wanted to reserve the little they have for South African

consumption. It was believed that Morupule B would eventually produce surplus

electricity for sale back into South Africa and possibly other neighboring countries.

Morupule B Power station is an effort by government to develop a reliable and

affordable supply of electricity for energy security, promoting alternative energy

resources for low-carbon growth; and building its institutional capacity in the energy

sector - and its achievement may remain a pipe dream if problems engulfing Morupule B

endure - as is the case currently.

As a result, the country is expected to plunge into more load shedding in the coming

weeks, the BPC Marketing and Communications Manager confirmed. Moreri pointed out

that there will be a possible service interruption due to supply challenges. "This has

resulted in our national demand significantly exceeding supply and will inevitably lead to

load shedding exercises to be experienced throughout the country," the BPC

spokesperson said as a matter of fact.

The Morupule B plant was initially constructed by China National Electric Equipment Corporation (CNEEC) whose contract was later terminated by government following a

dispute of not meeting up contractual obligations, and it was replaced by a German

company named STEAG Energy Services which was roped in to assist detect problems

created by CNEEC and fix them - an effort that is yet to be fully fulfilled.

a. Identify the internal and external stakeholders for Morupule B Power Station.

(5 marks)

b. Using examples, discuss the problems bedeviling the Morupule B plant and the

implications to the country of Botswana (10 marks)

c. Suppose you were the project manager for Morupule B, how would you have used

a project charter's business definition to avoid future problems for the company.

(10 marks)

d. Suppose you were the project manager for Morupule B, how would you have used

a project charter workbook in order to ensure success of the project? (15 marks)