Eskom aims to generate 32GW of renewable energy by 2040

Eskom aims to shift to mainly clean energy sources by 2040 from its current predominantly coal-based generation fleet, it said as it laid out its latest plans for the change.

Image credit: Reuters

Eskom aims to have 32GW of renewable energy capacity by 2040, compared to less than 1GW now, while it wants its coal capacity to shrink from 39GW to 18GW over that time, a company presentation on its energy sources to lawmakers showed.

Eskom said it would roll out renewable energy projects through a combination of 'repowering' older coal-fired power stations slated for closure and new projects.

Repowering involves replacing old power-generation equipment with newer technology. Eskom has identified several old coal plants where it will replace generating units with renewable energy or gas-fired plants.

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Eskom will have an in-house renewable energy business unit to implement projects and partner with private companies.

Among obstacles to its clean-energy goals, Eskom cited its R400bn debt burden, which it said continued to slow investment in renewable energy.

It also mentioned growing debts it owes by South African municipalities and uncertainty over regulated power tariffs, which it argues are below the level required to cover its costs.