Eskom seeking partners to set up independent renewables unit

Eskom seeking partners to set up independent renewables unit

Eskom seeking partners to set up independent renewables unit

Eskom has issued a tender for partners to help launch a standalone renewables division, in a bid to speed up clean energy development in South Africa. The utility says it will evaluate bids based on sector experience, financial expertise, and project delivery record.


Eskom Holdings has launched a tender for external partners to help accelerate the establishment of a separate renewable energy business, as part of its plans to fast-track clean energy deployment and expand its role in South Africa’s energy transition.

The state-owned utility said it will assess bidders based on their track record in launching renewable energy businesses, experience in structuring public-private partnerships (PPPs) and special purpose vehicles (SPVs), financial and technical expertise, and sector knowledge. Submissions are due by May 7, 2025, according to the tender posted on Eskom’s official website. The contract period will span 12 months.

The new subsidiary will operate independently from Eskom’s core business, enabling more agile governance, stronger market competitiveness, and deeper collaboration with the private sector.

“Agility and efficiency is at the heart of preparing for a competitive marketplace and ensuring we serve our current and future customers with the electricity supply solutions they require,” said Eskom Group Chief Executive Dan Marokane. “We are now a year into our turnaround strategy and we are not just focused on ending loadshedding, at the same time we are pivoting Eskom into a sustainable and competitive company while ensuring security of supply.”

Marokane added that bringing in external expertise from the outset would enhance Eskom’s execution capacity. “To make a meaningful impact in the renewables space we recognised that the most cost-effective way to do this is to bring in at the start some new skills, thinking and expertise to set our Eskom teams up for success in the business, so through knowledge transfer we can execute strategic initiatives in a competitive market faster and more efficiently.”

He noted that the renewable energy unit will support Eskom’s broader goal of cutting carbon emissions and other air pollutants, aligning with domestic and international climate objectives.

Eskom’s current clean energy pipeline includes at least 2 GW of executable projects by 2026, and more than 20 GW in longer-term development, aimed at diversifying its energy mix. The utility said it remains committed to a balanced portfolio that includes coal, nuclear, gas, renewables, battery energy storage systems (BESS), and pumped hydro.

Eskom confirmed that it plans to update the market on the subsidiary’s progress throughout 2025.

In February, Eskom urged all South African customers with grid-tied rooftop solar systems to register their installations, waiving related fees until March 2026. The utility said registration is essential for safety, compliance, and access to net billing, while off-grid generators must prove they operate independently.

In November 2024, Eskom secured licenses for 125 MW of solar and launched a separate tender for a 72 MW of PV capacity at its Komati Power Station. The developments are part of the utility’s broader strategy to add renewables at existing coal sites and address South Africa’s power shortages.

South Africa had about 6.17 GW of cumulative installed PV capacity at the end of 2024, according to the International Renewable Energy Agency (IRENA).

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Source: https://www.pv-magazine.com/2025/04/16/eskom-seeking-partners-to-set-up-independent-renewables-unit/

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