South Africa’s power utility company, Eskom, has launched its first Renewable Energy Offtake Programme by issuing a Request for Proposal (RFP), inviting large power users to procure 291 MW of Solar Photovoltaic (PV) capacity through long-term Power Purchase Agreements (PPAs) from its 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 enable businesses to align with global sustainability standards, reduce carbon footprints, and green their supply chains, enhancing competitiveness.
The RFP offers tailored solutions that meet operational requirements while contributing to South Africa’s decarbonisation goals. According to Eskom, successful bidders will enter PPAs ranging from 5 to 25 years, with renewable energy delivered in phases from multiple 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, we are not only focused on ending load shedding but are also pivoting Eskom into a sustainable and competitive company while ensuring security of supply through a customer-centric approach,” said Eskom Group Chief Executive, Dan Marokane.
“This programme demonstrates Eskom’s commitment to innovation and building a cleaner, more resilient energy future. 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,” said Eskom Distribution Acting Group Executive, Agnes Mlambo.
“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,” added Mlambo.
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.
Eskom is inviting service providers to review the RFP and submit proposals via the Eskom Tender Bulletin by 19 September 2025. Eskom is targeting deployment of 2 GW of renewable energy projects by 2026 and scaling up to 32 GW, including Green Hydrogen, by 2040.
Source: https://energynewsafrica.com
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