Eskom of South Africa wants to mostly use clean energy sources by 2040
Eskom, the state-owned power company in South Africa, announced its most recent plans for the transition on Wednesday. The company wants to transition from its existing fleet of primarily coal-based generators to mostly sustainable energy sources by 2040.
According to a business presentation on its energy sources to MPs, Eskom wants to reduce its coal capacity from 39 GW to 18 GW by 2040 while increasing its renewable energy capacity from less than 1 GW to 32 GW.
Eskom announced that it would implement renewable energy projects by “repowering” aging coal-fired power plants that were scheduled to close as well as by starting new ones.
Repowering entails swapping out outdated power-generating machinery for more modern models. Eskom has determined which outdated coal facilities would have their generating units replaced by gas-fired or renewable energy projects.
In order to carry out initiatives and collaborate with private businesses, Eskom will establish an internal renewable energy business unit.
Eskom listed its 400 billion rand ($22.31 billion) debt load as one of the barriers to its clean energy objectives, claiming that it still hinders investment in renewable energy.
Additionally, it discussed the mounting debts it owes South African towns and the ambiguity around regulated power pricing, which it claims fall short of what is necessary to pay its expenses.
