SA has five years worth of generation capacity - Eskom

Eskom is also taking Nersa to the High Court. Photographer Ayanda Ndamane/ Independent Newspapers

Eskom is also taking Nersa to the High Court. Photographer Ayanda Ndamane/ Independent Newspapers

Published Nov 1, 2024

Share

Eskom said that South Africa has enough generation capacity for the next five years, according to a new report by the utility.

Eskom said that it has taken into account the possibility that the economy could grow by 2.6% over this period and can say that the country has enough generation capacity to meet the requirements this growth would entail.

The report noted that Eskom’s power stations need to have an average Energy Availability Factor (EAF) of about 63% in order to keep the lights on for the next five years.

The utility said in its medium-term system adequacy outlook that if South Africa’s EAF was in decline and headed towards the 50% mark, the country would face load shedding.

Eskom versus Nersa

Earlier this week, Eskom came out guns blazing against the recent decision by the National Energy Regulator of South Africa (Nersa) to issue multiple electricity trading licenses within Eskom’s service area.

The utility said that the move by Nersa violated regulatory guidelines.

Eskom said it would seek a high court review.

This development adds to an ongoing dispute about opening South Africa's power market, as Eskom contends that Nersa’s approval of additional trading licenses breaches rules designed to maintain regulated boundaries for providers.

Nersa has granted four new trading licenses to Africa GreenCo, Green Electron Market, CBI Electric Apollo and Discovery Green. An import/export licence was also issued to GreenCo Power Services.

There are currently six trading licences: PowerX, EnPower Trading, Neura Trading, Energy Exchange of Southern Africa, Envusa Trading and Eskom Holdings’ National Transmission Company South Africa.

IOL BUSINESS