Johannesburg: Eskom has welcomed the launch of the Integrated Resource Plan (IRP) 2025, which seeks to balance energy security, affordability, environmental sustainability, and socio-economic considerations in South Africa’s transition from high-carbon to low-carbon energy sources. In a statement on Monday, the power utility said the IRP provides a clear investment framework for the supply of electricity needed to accelerate economic growth and inclusion in a context where overall unemployment stands at 30% and youth unemployment exceeds 50%.
According to South African Government News Agency, Eskom Group Chief Executive, Dan Marokane, stated that the IRP 2025 is not merely a policy update but a clear investment roadmap. The plan, informed by the input of over 4000 interested parties at the public consultation stage, signals to investors, regulators, and citizens that South Africa has a focused pathway to reach NetZero inclusively. It also provides an opportunity for Eskom to play its role fairly and compete in a reformed electricity supply industry. However, Marokane emphasized that the IRP 2025 requires significant investment, which will only come from rules-based regulatory reform anchored in law to enable investors to deploy capital in South Africa with confidence and certainty.
This announcement follows the unveiling by the Minister of Electricity and Energy, Dr. Kgosientsho Ramokgopa, who announced the plan at a media briefing on Sunday. The Minister revealed that the government plans to invest R2.2 trillion, approximately 30% of the nation’s gross domestic product (GDP), in a comprehensive energy transformation strategy.
Marokane noted that the power utility will conduct a thorough review of the IRP 2025 and subsequently publish a comprehensive response along with an updated strategic plan. Eskom is preparing to accelerate its contribution to the IRP 2025 through the implementation of its turnaround strategy. With load shedding largely resolved, the country once again enjoys a continuous 24/7 electricity supply, known as baseload capacity, which forms the backbone for renewable energy growth. Marokane highlighted that renewables, being variable in nature, require reliable, continuous baseload to maintain grid stability and supply. Eskom’s return to profitability for the first time in eight years reflects long-term structural operational improvements, and combined with a skilled workforce, will increase investor confidence in delivering the IRP 2025 with partners.
He further added that Eskom remains firmly committed to executing the Generation Recovery Plan, enhancing governance structures, and mitigating financial and operational risks. These efforts align with Eskom’s broader objective of ensuring long-term sustainability, securing energy supply, and contributing meaningfully to South Africa’s economy and the wider region.