Issue 210, 16 March 2026

Roundup of major energy and electricity news and developments: 2 March to 15 March 2026

1. Innovative GreenCo solar trading model recognised at IJGlobal Awards.

2. Liquid fuels policy drift under Mantashe leaves South Africa dangerously exposed.

3. Eighteen years on, and South Africa still awaits a national Integrated Energy Plan.

4. World Bank funding aims to unlock billions for SA transmission and infrastructure.

5. New funding and offtake deals push major solar projects to financial close.

6. Repeated Koeberg outages raise questions over management of life-extension project.

7. Eskom moves against defaulting municipalities as arrears exceed R110-billion.

8. Urban power crisis deepens across South Africa’s major metros.

9. Toxic air across the Highveld: H₂S stench and SO₂ emissions spark renewed concern.

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1. Innovative GreenCo solar trading model recognised at IJGlobal Awards.

Regional renewable-energy trader Africa GreenCo has won the Africa Solar Deal of the Year at the prestigious IJGlobal Awards 2025, in recognition of the financing and commercial structure of the 100 MW Chisamba solar PV project in Zambia. The award, presented in London on 13 March 2026, recognises outstanding global energy and infrastructure transactions and highlights the Chisamba project as a pioneering example of innovative renewable-energy financing and power-trading structures in Africa. Located north of Lusaka, the Chisamba plant is Zambia’s largest grid-connected solar PV project and a significant addition to the country’s generation capacity at a time of ongoing power shortages linked largely to drought-related constraints on hydropower generation. The project reached financial close in May 2025 with $71.5-million in commercial debt financing from Stanbic Bank Zambia, alongside equity from the project sponsors. It is being developed by Kariba North Bank Extension Power Corporation (KNBEPC), a subsidiary of the state-owned utility, Zesco. A key innovation is the 13-year power purchase agreement between KNBEPC and GreenCo, under which GreenCo purchases the solar output and supplies electricity to regional customers through its trading and aggregation platform operating within the Southern African Power Pool (SAPP). Under associated arrangements with First Quantum Minerals, solar generation is effectively swapped with Zesco’s hydropower supply to the mining sector, enabling scarce hydropower capacity to be redirected to domestic electricity demand. The award recognises the replicable nature of the model, which combines private capital, regional power trading and innovative offtake structures to unlock renewable-energy investment without sovereign guarantees. The company operates across several Southern African markets and is backed by shareholders including InfraCo Africa and the Impact Fund Denmark, supporting its mandate to accelerate regional power-market development and renewable-energy deployment.

2. Liquid fuels policy drift under Mantashe leaves South Africa dangerously exposed.

South Africa’s liquid fuels policy is coming under increasing scrutiny as analysts warn that years of policy drift and indecision have left the country dangerously exposed to global oil market shocks. In a Business Day article, energy economist Lungile Mashele argues that South Africa’s vulnerability is largely self-inflicted, the result of “reckless, politicised and shortsighted decisions” that have eroded domestic refining capacity and strategic fuel security. Over the past decade, the country has seen most of its crude oil refineries shut down or mothballed. Domestic refining capacity has collapsed from more than 700,000 barrels per day to barely 100,000 barrels per day, forcing the country to rely increasingly on imported refined petroleum products. The closures of facilities such as SAPREF, Engen Durban and others were driven partly by the cost of upgrading ageing plants to meet cleaner fuel standards, but critics argue that government policy under Mineral Resources & Energy Minister Gwede Mantashe failed to provide a coherent transition strategy for the sector focussing on streamlined logistics for imported finished liquid fuel and gas products, neglecting investment in fuel storage and strategic reserves, and leaving the economy exposed to global supply disruptions and price volatility. While the Department of Mineral & Petroleum Resources insists there is currently no immediate risk of fuel shortages, the policy vacuum is raising broader concerns about national energy security. Unlike electricity, which is slowly diversifying through renewables, sectors like transport, industry and agriculture remain heavily dependent on liquid fuels. Analysts warn that geopolitical disruptions or shipping bottlenecks could quickly translate into fuel shortages, rationing and severe economic consequences. For critics, the lesson from South Africa’s electricity crisis is clear: failing to plan ahead on energy infrastructure can leave the country scrambling when supply shocks inevitably occur.

3. Eighteen years on, and South Africa still awaits a national Integrated Energy Plan.

South Africa’s long-awaited national Integrated Energy Plan (IEP) remains outstanding nearly two decades after the requirement to publish it annually it was written into law, raising growing concern about the absence of a coherent national framework for energy planning. Section 6 of the National Energy Act of 2008 requires the Minister to develop, publish and annually review an Integrated Energy Plan intended to provide a planning framework covering the entire energy value chain – including supply, transformation, transport, storage and demand for energy across all primary energy sources and technologies. The IEP must take into account issues such as energy security, affordability, environmental impacts, socio-economic development, and South Africa’s international commitments, with a planning horizon of at least 20 years. However, although the Act was promulgated in 2008, the provisions of Section 6 were held in abeyance and only came into effect on 1 April 2024. However, even since then, the Department of Electricity & Energy (DEE) has yet to start work on the legally required plan. In recent parliamentary briefings, the DEE attributed current delays to contractual and technical disputes with an external Spanish entity providing grant funding and technical assistance, prompting criticism that a critical national planning instrument should not depend on foreign handouts and expertise. While still without the modelling and energy data platform needed to underpin the IEP, DEE officials indicate that data gathering and analysis is continuing with assistance from institutions such as SANEDI and the University of Cape Town. Critics argue that the ongoing delays leaves South Africa making major energy policy and procurement decisions – including nuclear and gas initiatives – without the overarching national plan required by law. Until the IEP is finalised, analysts warn that important policy decisions continue to rely on fragmented sector plans rather than a comprehensive national strategy.

4. World Bank funding aims to unlock billions for SA transmission and infrastructure.

South Africa’s infrastructure investment programme has received a boost following the approval of $350-million (about R5.8-billion) in financing from the World Bank to help mobilise large-scale private funding for strategic infrastructure projects. The funding, approved by the World Bank’s International Bank for Reconstruction & Development, will capitalise a new Credit Guarantee Vehicle (CGV) aimed at reducing investor risk and the need for government guarantees. The initiative forms part of the South Africa Blended Finance Platform for Resilient Infrastructure Programme, which is designed to unlock private investment in public infrastructure projects where capital constraints and perceived risk have slowed development. Government expects the CGV to catalyse about R160-billion in infrastructure investment over the next decade by leveraging funding from private investors, commercial lenders and institutional financiers. A key focus will be the expansion of South Africa’s electricity transmission network, which is widely viewed as one of the most critical constraints to scaling up renewable-energy projects and improving energy security. Finance Minister Enoch Godongwana said the credit guarantee facility would support “massive investments in transmission infrastructure”, and would be incorporated as a company in the coming months with participation expected from development finance institutions and other partners. The Development Bank of Southern Africa (DBSA) is expected to host the vehicle, which will target an initial capitalisation of about $500-million as additional partners come on board. The World Bank said the programme supports South Africa’s broader economic reform agenda, aimed at addressing long-standing infrastructure bottlenecks in electricity, logistics and water services that have constrained economic growth and investment. By reducing risk and crowding in private capital, the new facility is intended to accelerate infrastructure rollout, strengthen energy security and help unlock new economic growth opportunities in South Africa.

5. New funding and offtake deals push major solar projects to financial close.

A series of funding announcements and project milestones over the past two weeks highlights the continuing momentum of privately financed renewable-energy projects in South Africa. Development finance institution Norfund and the Mahlako Energy Fund have acquired a strategic shareholding in independent power producer Anthem Holdings, in a transaction reportedly valued at about R1.4-billion. The investment is intended to support Anthem’s rapidly expanding portfolio of renewable-energy and transmission infrastructure projects, particularly in the Northern Cape and Free State, and reflects growing investor confidence in South Africa’s evolving private electricity market. Meanwhile, Vantage Capital has invested R635-million in SolarAfrica Energy through its mezzanine financing platform, enabling the company to acquire full ownership of Commercial Energy South Africa (CESA). The transaction strengthens SolarAfrica’s commercial and industrial renewable-energy platform, which supplies embedded solar generation to large corporate and industrial customers through long-term power purchase agreements. Several large projects have also advanced to financial close. Anthem has confirmed financial close on the 475 MW Notsi Solar project in the Free State, one of the largest privately contracted solar photovoltaic developments in South Africa to date. The project is underpinned by long-term offtake agreements with electricity traders Discovery Green and NOA Group, reflecting the growing role of licensed traders in structuring private power supply arrangements between generators and corporate buyers. In the Eastern Cape, Natura Energy has achieved financial close on a 31 MW solar PV project in Nelson Mandela Bay, with funding supported by electricity trader, PowerX. The project will supply renewable electricity to commercial and industrial customers in the region. The announcements illustrate how private capital, electricity traders and long-term corporate offtake agreements are increasingly driving new renewable-energy capacity outside the traditional government procurement programmes, helping diversify South Africa’s electricity supply.

6. Repeated Koeberg outages raise questions over management of life-extension project.

After only a year of service by the 970 MW Unit 2 at Eskom’s 1940 MW Koeberg nuclear power plant in the Western Cape province of South Africa, the nuclear reactor is scheduled for a further major shutdown commencing 21 April 2026. This latest outage is for refuelling, maintenance, containment building overpressure leak testing and inspection of three new steam generators. The new steam generators for Unit 2 were installed during a 14-month shutdown from 7 November 2023 to 30 December 2024, as part of its Koeberg’s life-extension project. Significant time overruns were experienced during a similar refuelling, maintenance and testing shutdown of Unit 1 for ten months in 2025, after eddy-current inspections – a non-destructive testing method used to detect cracks, corrosion and wear in the metal tubes of steam generators – identified defects in the tubing of two of the three the new steam generators. These defects required advanced repair processes supported by specialised international teams working alongside local experts. This highlights the risks and challenges faced by the life-extension programme at Koeberg to allow the station’s two 970 MW reactors to operate for a further 20 years beyond their original 40-year design life. The project had already experienced significant delays in the procurement of the six new steam generators, with earlier outages also running substantially longer than planned. Procurement and manufacturing delays and installation time overruns repeatedly pushed back completion timelines for many years, and the extended outages and technical issues illustrate the complexity and risks associated with refurbishing ageing nuclear infrastructure. With both units having experienced lengthy outages as part of the life-extension programme, the reliability and scheduling of Koeberg’s maintenance cycle will remain an important factor in South Africa’s electricity supply outlook over the coming years.

7. Eskom moves against defaulting municipalities as arrears exceed R110-billion.

Eskom has launched a formal legal and consultation process that could lead to electricity supply power cuts to municipalities with persistently unpaid power bills, as municipal arrears to the national electricity utility exceed R110-billion. Eskom confirmed in early March that it had initiated processes in terms of the Promotion of Administrative Justice Act (PAJA), giving affected municipalities and stakeholders an opportunity to make representations before Eskom implements potential credit-control measures. The move targets 14 municipalities identified as posing a significant financial risk, either because they have failed to settle their Eskom accounts for at least 18 months or have not complied with conditions of the National Treasury municipal debt-relief programme. If the consultation process fails to yield viable payment arrangements, Eskom has warned that it may interrupt electricity supply at scheduled times or limit supply to levels commensurate with payments received. Acting group executive for distribution, Agnes Mlambo, said the utility had exhausted engagement mechanisms under the Intergovernmental Relations Framework Act and now had little choice but to escalate the matter to protect Eskom’s financial stability and operational turnaround. The issue has already triggered tensions between Eskom, municipalities and organised local government, with the South African Local Government Association (SALGA) warning that supply interruptions could harm residents and local economies. Meanwhile, some municipalities are seeking negotiated settlements. The City of Ekurhuleni recently reached a payment arrangement with Eskom to avoid supply cuts linked to arrears reportedly exceeding R3-billion. The utility has repeatedly warned that non-payment undermines its finances because municipalities collect electricity revenue from customers but often fail to remit those funds to Eskom. Eskom has also cautioned that the escalating debt burden could complicate ongoing electricity-sector reforms, including progress towards reform and restructuring of the country’s electricity distribution industry.

8. Urban power crisis deepens across South Africa’s major metros.

Electricity distribution in several of South Africa’s largest metropolitan municipalities is under growing financial and operational strain, with deep structural weaknesses in local electricity governance and infrastructure management. In Gauteng, the cities of Tshwane and Ekurhuleni are grappling with billions of rand in “lost” electricity revenue arising from non-technical losses, illegal connections and billing inefficiencies. New revenue-assurance initiatives are being explored to recover a portion of the missing revenue and improve billing and collection systems. City Power Johannesburg faces an even more acute financial crisis, reporting a year-to-date loss of about R2.84-billion in the current financial year – about R15.6-million per day – and has warned that it is technically insolvent based on key indicators. At the same time, City Power cautioned Johannesburg residents to expect increased planned outages and maintenance interruptions as it attempts to stabilise ageing infrastructure and address operational backlogs across the city’s electricity network. Nelson Mandela Bay Metro has suffered repeated large-scale outages following the collapse of ageing transmission pylons on the 132 kV Chelsea–Summerstrand-Arlington line. The most recent collapse – the seventh in recent years – triggered widespread blackouts and renewed warnings that key electricity infrastructure in the metro has deteriorated after years of under-investment and delayed maintenance. Collectively, these developments underline the growing fragility of municipal electricity systems across major urban centres. Financial losses, infrastructure neglect, cable theft and electricity theft are combining to erode the viability of municipal distribution utilities that play a critical role in delivering power to millions of South African households and businesses. Unless governance, maintenance and revenue collection improve significantly, analysts warn that electricity distribution at municipal level could become one of the weakest links in South Africa’s evolving electricity supply industry.

"Broken land". Picture courtesy Daylin Paul.

9. Toxic air across the Highveld: H₂S stench and SO₂ emissions spark renewed concern.

A widespread sulphurous “rotten egg” smell experienced across parts of Gauteng in early March has renewed attention on chronic air-pollution problems in South Africa’s Highveld Priority Area (HPA), one of the most polluted industrial regions in the world. The Department of Forestry, Fisheries & Environment (DFFE) said the odour was caused by hydrogen sulphide (H₂S) emissions originating in Mpumalanga and transported westwards by prevailing winds. H₂S is typically associated with coal-processing operations, petrochemical facilities and certain industrial processes on the Highveld, where dense clusters of coal mines, power stations, refineries and chemical plants operate. While hydrogen sulphide is mainly responsible for the pungent smell detectable at extremely low concentrations, sulphur dioxide (SO₂) from coal-fired power stations and heavy industry remains a far more significant long-term public-health risk in the region. Both pollutants contribute to respiratory illness and degraded air quality affecting millions of residents in Mpumalanga, Gauteng and surrounding provinces. The episode has again drawn attention to delayed pollution-control measures at Eskom’s Medupi power station. The utility has confirmed that a long-awaited report on the installation of flue-gas desulphurisation (FGD) technology at Medupi will only be submitted to the Minister of Forestry, Fisheries and the Environment in early April 2026. FGD systems, commonly known as “scrubbers”, remove SO₂ from power-station exhaust gases. Medupi was originally designed to include such equipment, but installation was deferred because of the high cost and the country’s electricity-supply constraints. Environmental groups argue that continued delays undermine efforts to bring the HPA into compliance with national ambient air-quality standards. The latest noxious odour incident serves as a reminder that Highveld air pollution remains both a persistent environmental hazard and a major unresolved public-health challenge.

Independent Energy Pool (IEP Global)

Independent Energy Pool (IEP Global) is a business-to-business energy pool, allowing energy users and energy traders to buy and sell electricity. IEP's ecosystem allows transacting of electricity in a balanced and standardised environment. The pool incorporates the ability to trade renewable energy certificates, as well as the tracking and reporting of ESG criteria.

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EE Business Intelligence strives to be a positive formative influence on policy, economic, social, regulatory, standardisation, training and business development in the energy, electricity sectors of Africa. Its activities and services include thought leadership, analysis, research, consulting, special assignments, business intelligence, strategic event facilitation and management, and public, corporate and media speaking engagements and commentary.