Johannesburg — According to Public Enterprises Minister Barbara Hogan the $3,75 billion loan sought by ESKOM from the World Bank would not have any macroeconomic conditions attached

The World Bank loan would be a specific investment loan and that means that the bank has no say in South Africa's policy.

South Africa expects the United States to abstain from voting on its disputed loan application of $3,75 billion from the World Bank, on which a decision is likely in early April, a minister said on Friday.

Public Enterprises Minister Barbar Hogan has told a media briefing in Pretoria that if power utility Eskom does not secure the loan it has applied for from the World Bank, the implications for South Africa's economy are dire.

Eskom needs the money to complete work on its giant Medupi power station, in Limpopo over the next three years.

South Africa expects the United States to abstain from voting on its disputed loan application of $3,75 billion from the World Bank, on which a decision is likely in early April, a minister said on Friday.

South Africa's Public Enterprises Minister Barbara Hogan told a media briefing that a vote against the loan would be the

"most unfortunate thing" to happen to Africa's biggest economy, which is facing a power crunch.

"The Americans are under a bit of pressure and they have indicated to us that they are not going to vote against but they'll abstain from voting," she said.

"They're under particular pressure from their own lobbies."

"If we do not have that power in our system, then we can say goodbye to our economy and to our country. This is how serious this thing is," Hogan said.

John Smith, Head of Climate Change, at the British High Commission in South Africa said that the British Government will scrutinise the loan documents when they are circulated to the board members of the world bank and will not offer its current position on the matter.

"At this stage we do not have a public position on the matter but are working closely with the World Bank and the Government of South Africa."

The Medupi coal-fired plant is said to be a bone of contention due to its potential pollution.

Medupi is regarded as critical in easing SA's chronic power shortages that brought the economy to its knees in 2008.

Smith stated that the British government will look at the proposal for the loan and take note of South Africa's development and power needs.

"This (the proposal) will be reviewed along with other environment and climate relevant considerations," said Smith.

Hogan said the loan was needed to finish of the final 25% of the Medupi power station, the biggest "build" of its kind in the southern hemisphere.

A decision by the World Bank on the loan was expected early next month, around April 8.

"The consequences of not getting this loan would be very, very serious for us." The country was at a point where if it did not invest in and build significant power-generating infrastructure, it would face power black-outs in the future, she said.

Hogan has stressed that any conditionalities would not be macro-economic.