Looking ahead to a future competitive energy industry, Eskom is transitioning its generation mix from predominantly coal to a fleet with an increasing proportion of clean energy sources by 2040.
In line with this strategy, the national utility has launched its first Renewable Energy Offtake Programme with the issue of a Request for Proposals (RFP), inviting large power users to procure 291 MW of solar photovoltaic (PV) capacity through long-term power purchase agreements (PPAs) from Eskom-owned renewable energy sites.
The programme follows an Expression of Interest (EOI) process and extensive engagement with commercial and industrial customers, which showed strong demand for direct contracting through long-term PPAs. These agreements will enable businesses to align their operations with global sustainability standards, reduce their carbon footprints, and green their supply chains, enhancing competitiveness. The RFP offers tailored solutions to meet operational requirements and contribute to South Africa’s decarbonisation goals.
Successful bidders will enter PPAs ranging from five to 25 years, with renewable energy to be delivered in phases from various Eskom projects. The earliest project is expected to reach commercial operation by December 2027.
“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, while maintaining our focus on ending loadshedding, we are also pivoting Eskom into becoming a sustainable and competitive company and ensuring security of supply through a customer-centric approach,” said Eskom Group Chief Executive, Dan Marokane.
Eskom Distribution Acting Group Executive, Agnes Mlambo, said: “This programme demonstrates Eskom’s commitment to innovation and building a cleaner, more resilient energy future. Offering customised renewable energy offtake solutions, we are enabling our customers to transition to low-carbon operations as we aim to deliver a secure and competitive supply through customer-centred solutions.
“Engaging with the private sector in this structured manner gives impetus to Eskom’s efforts to create a sustainable pathway for clean power integration into the grid,” Mlambo added.
Eskom continues to develop a balanced energy mix, comprising coal, nuclear, gas, renewables, and energy storage solutions such as battery energy storage systems and pumped hydro.
A dedicated renewable energy business will accelerate deployment, targeting 2 GW of construction-ready projects by 2026 and scaling up to 32 GW, including green hydrogen, by 2040.
Service providers are invited to review the RFP and submit proposals via the Eskom Tender Bulletin by 19 September 2025.
For more information visit: www.eskom.co.za
