“Eskom cannot afford all of it on its own,” Mflathelwa said. “We would require a partnership of some kind, whether it is at multinational level or at institutional level. I think those details need to be worked out.”
SA is ironing out details for R143.4bn in climate financing that some of the world’s richest nations have pledged to help the country’s transition away from coal.
This week, President Cyril Ramaphosa unveiled plans to allow greater participation by the private sector in electricity production in a bid to end a 14-year energy crisis.
SA relies on coal for more than 80% of its electricity and has experienced frequent power cuts due to the unreliability of its ageing and poorly maintained plants. The world’s 13th-biggest greenhouse gas emitter also needs R300bn to improve its air quality over the next decade, Mflathelwa said.
A stricter enforcement of laws on air quality could result in about 16,000MW of Eskom generation being taken off the grid, posing “a security of supply problem” for the utility, the official said.
More stories like this are available on bloomberg.com
Eskom looking for partners for its R1.2-trillion energy transition
Power utility says it needs R990bn for new generation capacity and R300bn to improve its air quality
Eskom has said its energy-transition plan may require as much as R1.2-trillion in investment for new generation and distribution capacity, with the bulk of the money expected to come from private investors.
The state-owned power utility, which is saddled with R396bn in debt, plans to tap private investors for the R990bn it needs to fund new generation capacity and shift to cleaner energy sources by 2030, Matthew Mflathelwa, GM for strategy and planning, said on Wednesday.
“Eskom cannot afford all of it on its own,” Mflathelwa said. “We would require a partnership of some kind, whether it is at multinational level or at institutional level. I think those details need to be worked out.”
SA is ironing out details for R143.4bn in climate financing that some of the world’s richest nations have pledged to help the country’s transition away from coal.
This week, President Cyril Ramaphosa unveiled plans to allow greater participation by the private sector in electricity production in a bid to end a 14-year energy crisis.
SA relies on coal for more than 80% of its electricity and has experienced frequent power cuts due to the unreliability of its ageing and poorly maintained plants. The world’s 13th-biggest greenhouse gas emitter also needs R300bn to improve its air quality over the next decade, Mflathelwa said.
A stricter enforcement of laws on air quality could result in about 16,000MW of Eskom generation being taken off the grid, posing “a security of supply problem” for the utility, the official said.
More stories like this are available on bloomberg.com
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