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Eskom introduces its first Renewable Energy Offtake Programme, enabling businesses to secure clean power through long-term PPAs. (Image source: Eskom)

Eskom has launched its first Renewable Energy Offtake Programme, marking a key milestone in its strategy to build a 'competitive future energy industry' and increase the share of clean power in South Africa’s national grid

The utility said it is shifting its generation mix from being largely coal-based to a more balanced portfolio, with clean energy expected to take up a growing share by 2040.

Through a newly issued Request for Proposal (RFP), Eskom is inviting large power users to procure 291MW of solar photovoltaic (PV) capacity under long-term Power Purchase Agreements (PPAs) from Eskom-owned renewable projects.

This initiative follows a successful Expression of Interest (EOI) and extensive discussions with commercial and industrial customers, which confirmed strong demand for long-term PPAs. These contracts allow businesses to meet international sustainability targets, cut carbon emissions, and green their supply chains, boosting competitiveness.

The RFP is designed to provide tailored solutions that meet customer needs while supporting South Africa’s wider decarbonisation objectives. Winning bidders will enter PPAs ranging from 5 to 25 years, with renewable supply delivered in stages from several Eskom projects. The first project is expected to be commercially operational by December 2027.

Eskom group CEO, Dan Marokane, described the programme as a critical part of the company’s transformation:

"This is the next step in the focused execution of our strategy to integrate additional renewable energy into the grid, in line with global electricity industry trends for environmentally sustainable solutions that support broader decarbonisation objectives.

"We have seen strong interest in Eskom's capabilities in green energy supply, which this programme demonstrates. Just over a year into our turnaround strategy, we are not only focused on ending loadshedding but are also pivoting Eskom into a sustainable and competitive company while ensuring security of supply through a customer-centric approach," remarked Marokane.

Agnes Mlambo, Eskom distribution acting group executive, said the initiative reflected Eskom’s drive to create a resilient energy future.

"This programme demonstrates Eskom's commitment to innovation and building a cleaner, more resilient energy future. By offering customised renewable energy offtake solutions, we are enabling our customers to transition to low-carbon operations while ensuring a secure and competitive supply, through customer-centred solutions," continued Mlambo.

She noted that structured collaboration with the private sector would further accelerate Eskom’s clean energy integration into the grid.

The company added that it is pursuing a balanced energy mix, combining coal, nuclear, gas, renewables, and energy storage technologies such as Battery Energy Storage Systems and pumped hydro. Eskom also confirmed that a dedicated renewable energy business will fast-track green projects, with 2GW of construction-ready capacity targeted by 2026 and scaling up to 32GW, including Green Hydrogen developments, by 2040.

Powering change in South Africa's renewable energy space (Image source: Adobe Stock)

Power shift: Reimagining South Africa’s energy sector through inclusive leadership, by Kirsten Francis, coach at the Hasso Plattner d-school Afrika at UCT and co-founder of Jade-Sky Holdings

South Africa is transitioning from fossil fuels toward renewable energy, as the government aims to add at least 19 GW of renewable capacity by 2030 and as much as 190 GW by 2050. These targets are critical for climate resilience and energy security. Yet, the social design of this transition is dangerously overlooked.

More than 40% of South Africans still live in energy poverty, and women make up just 14% of the renewable energy workforce, with ownership and procurement remaining concentrated and locked in by structural inequality. To meet South Africa’s energy future with resilience and innovation, this transition must actively include diverse voices — especially women — if we want to design and drive solutions that serve all communities.

From wild idea to 1,414 MW portfolio

My sister and I entered this sector with no background in engineering or finance. We had no roadmap, only a wild idea: to own a wind turbine. That idea was so wild, I only shared it with her. But we believed it was easier to ground a wild idea in reality than turn a boring one into something exciting.

This belief stems from the Design Thinking mindset I teach: “Yes, and?” Instead of overanalysing or discounting bold ideas, we kept saying yes and looking for opportunities that would get us closer to that one turbine. Using our roles managing Windaba, Africa's largest wind conference, we incrementally built networks and sector knowledge. We researched, learned and positioned ourselves strategically. When policy shifted in 2020 to require women-led business participation in procurement, we were ready — not by accident, but because we had been designing our way into the industry for years.

Our journey from that single wild idea now encompasses equity in 1,414 MW of solar PV and onshore wind projects. This scale demonstrates that non-traditional pathways can achieve transformational impact when strategic positioning meets opportunity for policy shifts.

The strategic value of inclusion

As a women-led family business, we understand that energy sits at the nexus of everything. Access to energy drives economic growth, which is why our 20-year operational view focuses on early childhood development, healthcare, and sport in host communities. This isn't corporate social responsibility, it's an investment in the ecosystems where our projects operate.

The necessity for women to participate actively in the sector allows us to be strategic about investments and partnerships, always revisiting our core values. Inclusion isn't just ethical; it's a business imperative creating competitive advantages through diverse perspectives and community-rooted approaches.

Breaking down the barriers

The sector's greatest barriers aren't technical — they're cultural and institutional. We've been consistently underestimated with our communication science, political science, gender advocacy, and project management qualifications often dismissed in favour of traditional hard skills.

The industry uses jargon as gatekeeping, creating artificial barriers that shut out capable contributors. We've had to overcome imposter syndrome by embracing authenticity. It's okay to admit you don't know something — people want to help if you ask genuinely. This authenticity has opened doors that credentials alone might not have.

For women and entrepreneurs from non-traditional backgrounds, success requires surrounding yourself with willing mentors, building values-aligned networks, and committing doggedly to learning. The sector offers multiple entry points but requires confidence in understanding all the moving parts.

Design Thinking as a navigation tool

Design Thinking is more than a methodology for us — it's how we navigate uncertainty in a world demanding certainty. While traditional business operates with rigid mindsets, Design Thinking provides frameworks for embracing ambiguity and turning it into a competitive advantage.

This approach allowed us to identify real needs in the energy sector and remain agile through the complex Broad-Based Black Economic Empowerment investment landscape. We constantly iterate on who we are as a business, diversifying our role from project managers to equity holders while maintaining our values-based foundation.

Change requires new mindsets to support new policies

South Africa’s energy future will not be shaped by individual success stories alone. It depends on how we rethink the systems that determine access, ownership, and participation. While steps like the 2021 procurement requirements for women-led businesses have opened doors, broader transformation is still needed.

Progress comes from equipping more people across sectors and backgrounds with the mindsets to challenge the status quo, design inclusive solutions, and build systems that reflect the needs of all South Africans.

Lighting the way forward

Entrepreneurship is often a lonely, long road. But understanding your responsibility to craft pathways for others helps you push through challenges. Leadership requires constant revisiting of first principles; interrogating your why, iterating through complexity, and designing solutions that work for everyone.

As the country accelerates its energy transition, we must move beyond asking how much power we can generate to asking who we generate it for, and with. The success of our transition depends not just on technical capacity, but on whether we design it to serve all South Africans.

It takes audacity to dream big, but tenacity to remain at the table. The future of South Africa's energy sector — and the communities it serves — depends on both.

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Zambia to ramp up electrification drive (Image source: Adobe Stock)

Anzana Electric Group has unveiled a joint venture with ZESCO Limited (ZESCO), Zambia's electricity utility, to connect 2 million people along the Lobito Corridor

The project entails a US$300mn investment targeting grid access for households and businesses in the Zambian portion of the strategic corridor, which stretches out to Angola’s Atlantic coast.

The Angola-Zambia-DRC corridor is being developed as a major economic artery for southern and central Africa, enhancing trade flows between these mineral-rich regions and global export markets.

Anzana, a developer, investor and operator of hydropower and grid distribution projects across Africa, said in a statement the project will enable the rehabilitation and expansion of Zambia’s electricity network to provide first-time grid-connections for nearly 2 million people by 2030.

The signing of the agreement between ZESCO and Anzana has advanced into finalised terms for a joint venture, paving the way for approximately US$300 million in blended commercial and concessional capital investments, the company noted.

The partnership builds on an earlier Memorandum of Understanding between Anzana and Zambia’s Ministry of Energy signed in February 2025.

“The strategic Lobito economic corridor approach is a model for future regional trade and development,” said Brian Kelly, CEO of Anzana.

“We are honoured to partner with ZESCO and the Government of Zambia to be the Lobito electrification partner and connect millions of Zambians to the opportunities that reliable electricity can enable.”

The collaboration between ZESCO and Anzana will also support new electricity generation, including run-of-river hydropower, and electricity distribution primarily in rural areas.

“This partnership builds on Anzana’s deep experience in the region, including our development of Weza Power in Burundi, and reflects our commitment to win-win partnerships enabling African countries to lead the next wave of electrification and economic growth,” said Kelly.

The agreement envisions that Anzana will lead the development of a pilot project in the North-Western Province of Zambia intended to accelerate the first connections in 2026.

Anzana and other development partners will jointly invest US$50mn to enable approximately 40,000 new household and business connections and add up to 8 MW of new generation over the course of two years, before expanding the scope to encompass the entire Lobito Corridor region.

“This is about more than infrastructure, it is about regional integration, jobs and powering a better future for Zambians along the Lobito economic corridor,” said ZESCO managing director Eng. Justin Loongo.

“We are excited to partner with Anzana who is employing an innovative and inclusive approach to attract capital and rapidly increase electrification rates in rural Zambia.”

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Nigeria energising rural communities with clean micro-grids (Image source: Adobe Stock)

Nigeria is inviting bids to develop interconnected clean energy mini-grids across eight separate clusters, after receiving funding from the African Development Bank (AfDB)

The country’s Rural Electrification Agency (REA) is looking to build a network of mini-grids across eight clusters of either unserved or underserved communities spread across seven Nigerian states: Imo, Enugu, Anambra, Plateau, Bauchi, Kaduna and Kebbi.

The grid-enabled systems will then be connected to three regional distribution companies (Discos): Enugu (south east), Jos (north central) and Kaduna (north west).

In total, the mini-grids project hopes to achieve over 26,000 connections across the eight separate clusters.

The largest of these, with 8,500 connections in total, will be Anambra in Enugu in the south east.

According to bid documents, the mini grids are to be based around a mix of solar PV and battery energy storage systems (BESS).

Bids for the project are to be delivered by 30 September 2025.

It is the latest move by REA to get Nigeria better connected, a country that is still plagued by energy shortages nationwide with millions of people historically without any access to electricity.

In 2020, only 55% of Nigerian households had access to electricity, according to the US Energy Information Administration (EIA).

Urban areas have a significantly higher electrification rate, around 84%, compared to rural areas at just 25%.

REA recently signed a partnership agreement with the United Nations Development Programme (UNDP) to work together to accelerate the country’s clean energy transition.

“Our goal is to position Nigeria as a renewable energy hub, reduce governance costs and catalyse innovation, research and development,” said Abba Aliyu, REA’s chief executive, cited by This Day newspaper during the signing ceremony in Abuja.

“The REA-UNDP partnership pillars are specifically targeted at advancing ongoing efforts in the clean energy space in Nigeria, catalysing opportunities across critical ecosystems and unlocking the full potentials in innovation, R&D, local expertise and sustainable investment.”

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Alberto Gambacorta, executive vice president for sub-Saharan Africa, Scatec (Image source: Scatec)

Collaboration between government and private sector stakeholders is crucial for accelerating the deployment of large-scale renewable energy projects — this is a recurring theme at many of the major industry gatherings across the continent, serving as vital platforms for advancing Africa's pursuit of a just energy transition, according to renewable energy company Scatec

"There are several effective forums, such as the annual Africa Energy Forum and Mining Indaba, where this conversation (between the public and private sector, as well as government) is happening. Discussions at these events consistently focus on enabling more capacity in the grid, how we can roll out more transmission, and how the municipal space can be opened to more players," says Alberto Gambacorta, Scatec's executive vice president for sub-Saharan Africa.

A significant hurdle for renewable energy developers is the limitations of grid infrastructure, which continue to be a critical bottleneck. This has restricted the integration of new energy sources and, as a result, impacted the success of several Renewable Energy Independent Power Producer Procurement Programme (REIPPPP) rounds.

However, Gambacorta believes that challenges also present opportunities.

“Mention was made in this year's Budget Speech of the Independent Transmission Programme, which will allow the private sector to step in and support Eskom in the Herculean task of building about 14,000 kilometres of high voltage lines, as well as hundreds of transformers around the country,” he notes.

There's also a substantial opportunity in energy storage.

"Storage plays a vital function as a balancing element in the grid. It can shift production that happens during peak sun hours of the day and push it to when there is more capacity on the grid in the afternoon. There's also an opportunity to implement a curtailment framework," Gambacorta explains.

Scatec has notably secured preferred bidder status for the Haru Battery Energy Storage Project in South Africa, a 123 MW/492 MWh project, reaffirming its commitment to battery integration for grid stability. They are also involved in the hybrid solar and battery storage Kenhardt project.

The increasing pressure from carbon taxes is expected to drive corporate demand for renewable energy, as businesses seek to reduce their carbon footprints and operational costs. Power Purchase Agreements (PPAs) will be pivotal in this transition, offering companies access to clean energy at predictable costs. These agreements foster collaboration between energy providers and corporate consumers, creating a win-win scenario.

"The Carbon Border Adjustment Mechanism (CBAM) is an existential threat to many companies manufacturing in South Africa and exporting to Europe. If they are procuring electricity from a coal-based fleet, they will have an enormous carbon footprint, and CBAM will impose punitive tariffs. Their products will simply not be viable for the European market anymore," says Gambacorta.

"This means that for these producers, it will make sense to procure electricity from renewable energy Independent Power Producers like Scatec. Over the last few years, we have seen several projects being built based on bilateral PPAs between projects and off-takers. We have also seen companies explore the use of energy aggregator platforms, such as Lyra," he adds.

The agenda at energy forums and conferences consistently highlights a clear understanding of South Africa's need to pursue a technology-agnostic and diversified energy future, encompassing solar, wind, and battery storage.

Scatec's extensive involvement in these sectors, including multiple solar PV projects under REIPPPP and recent battery storage wins, positions the company as a key player in this evolving landscape.

Scatec has recently been awarded three additional projects under REIPPP Bid Window 7, forming the Kroonstad PV Cluster - three large-scale solar power plants in the Free State, namely Oslaagte Solar 2 (293 MW), Oslaagte Solar 3 (293 MW), and Leeuwspruit Solar (260 MW).

Combined with the Mercury Solar PV (283 MW) project awarded in December 2024 under REIPPP Bid Window 7, Scatec’s total preferred bidder awarded capacity in round 7 now reaches 1,131 MW. This milestone further strengthens Scatec’s position as a leading independent power producer in the country’s renewable energy sector.

"Scatec stands out as the IPP in South Africa that has reliably delivered its projects since REIPPP Round 1. Our project and construction teams are experienced, and we work closely with our trusted subcontracting partners to deliver on projects of this scale. We're heading into exciting times,” says Jaco Uys, Scatec’s Senior Vice President: Projects

Public-private partnerships are essential to drive infrastructure development, streamline project execution, and attract international investments through collaborative and constructive engagement.

By working together, Gambacorta says, South Africa can achieve its energy transition goals while simultaneously fostering economic growth and job creation.

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