Eskom considering $7.2 billion for wind and solar by 2030

Eskom Holdings SOC Ltd., which supplies almost all South Africa’s electricity from coal-fired power plants, is considering spending 106 billion rand ($7.2 billion) on wind and solar energy by 2030.

The investment plan, which Eskom could carry out by itself or in partnerships, is the most detailed demonstration yet of the utility’s ambition to move away from coal by taking advantage of the nation’s abundant wind and solar resources. 

The state-owned company envisages spending 61.75 billion rand on wind power and 44.25 billion rand on solar energy by the end of the decade, a company presentation seen by Bloomberg shows. Some of the projects are planned on the sites of coal-fired plants that are scheduled to close. Eskom confirmed the presentation and the costs without giving further detail.

The potential investment is part of a plan previously communicated by Chief Executive Officer Andre de Ruyter to borrow money from development-finance institutions for projects that would reduce emissions from a company that accounts for two-fifths of South Africa’s greenhouse gas output. 

[Antony Sguazzin]

31 August 2021

IEEFA