South Africa’s state-owned power utility Eskom has launched its inaugural Renewable Energy Offtake Programme, inviting commercial and industrial users to procure 291 megawatts of solar power through long-term contracts.
Announced late Tuesday, the programme marks a strategic shift in Eskom’s energy portfolio, which aims to transition from coal-dominated generation to a cleaner, more diversified mix by 2040.
The initiative is being rolled out via a request for proposal, targeting large-scale consumers seeking direct access to renewable energy through power purchase agreements ranging from five to 25 years.
Eskom group chief executive Dan Marokane said successful bidders would enter into power purchase agreements with Eskom ranging from five to 25 years.
“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,” Marokane said.
The solar capacity will be sourced from Eskom-owned photovoltaic sites, with phased delivery expected to begin in December 2027.
Eskom Distribution acting group executive Agnes Mlambo added that the programme reflects the utility’s commitment to innovation and resilience.
“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,” Mlambo said.
The initiative is part of Eskom’s broader plan to develop a balanced energy mix, including coal, nuclear, gas, renewables, and storage technologies.
The utility aims to deploy 2GW of construction-ready renewable capacity by 2026, scaling up to 32GW – including green hydrogen projects – by 2040.
JN/APA