PICS: eThekwini makes history as first SA metro approved to generate its own electricity
In a groundbreaking development for South African municipalities, eThekwini Municipality has made history by becoming the first metro in the country to receive approval for generating its own electricity from renewable energy sources. This significant milestone follows the announcement by the Minister of Electricity and Energy, Dr Kgosientsho Ramokgopa, regarding a Section 34 Ministerial Determination that empowers the municipality to procure new generation capacity to address its increasing energy demands.
Dr Ramokgopa, speaking at a joint media briefing, praised eThekwini’s determination and strategic vision, noting that this approval represents a pivotal advancement in municipal energy autonomy and long-term financial viability. “This initiative is about more than just energy; it’s about economic growth, industrial stimulation, and future-proofing our city,” stated Ramokgopa.
The approved programme allows eThekwini to procure an impressive 400 megawatts (MW) of new generation capacity, composed of 100 MW of solar photovoltaic (PV) energy and 300 MW of gas-to-power (GTP). This focus on reliable and low-carbon energy technologies is designed to enhance the city’s resilience against power shortages and bolster its overall energy security.
Mayor Councillor Cyril Xaba heralded this announcement as a historic milestone within eThekwini’s energy strategy.
“This is a game-changer for our city. It enhances energy security, reduces dependence on the national grid, and positions eThekwini as a leader in sustainable urban development,” said Xaba.
He also highlighted that the programme is projected to save the Municipality R5 billion over the duration of the Power Purchase Agreements (PPAs), translating to approximately R250 million in annual savings.
Furthermore, the implementation of this programme is expected to unlock R8.5 billion in private investment and create about 2,200 jobs during both the construction and operational phases.
Upon completion, it is anticipated that eThekwini’s reliance on the national electricity grid will decrease by 18% – a remarkable feat for any municipality in South Africa.
The procurement process will be executed in phases, with the Request for Proposals (RFP) for the solar PV to be issued in December 2025, followed by construction slated to begin in September 2027.
Details about the Gas-to-Power RFP will be released in due course, kicking off in 2026.
As such, eThekwini’s innovative move sets a precedent for other cities to emulate, marking a bold step towards achieving renewable energy goals across the nation.
IOL News