South Africa Unveils R2.2 Trillion Plan to Transform Energy Sector and Drive Growth

South Africa’s Minister of Electricity and Energy, Dr Kgosientsho Ramokgopa, has launched the Integrated Resource Plan (IRP) 2025, a bold R2.2 trillion strategy—equivalent to about 30% of the country’s GDP—designed to end the nation’s power crisis and revitalise economic growth.
Speaking at a media briefing on Sunday, Ramokgopa said that unreliable electricity had long been a structural barrier to development, stifling industrialisation and employment. With load shedding now easing, he described the new plan as a “catalyst for growth,” targeting a 3% GDP expansion by 2030 and a diversified energy mix that will, for the first time, see clean energy sources like solar, wind, nuclear, and hydro surpass coal. By 2039, the government aims to add 105,000 megawatts of new generation capacity, effectively making Eskom “two and a half times” its current size.
The plan sets ambitious targets, including 11,270 MW of solar power, 7,340 MW of wind energy, 6,000 MW of gas-to-power, and 5,200 MW of nuclear capacity by 2030, while cutting carbon emissions from 160 million tonnes in 2030 to 142 million tonnes by 2035. Ramokgopa acknowledged challenges such as limited technical skills and a weakened construction sector but emphasised the government’s commitment to energy security, affordability, and universal access.
The Minister underscored that the IRP is more than a power project—it is an economic blueprint to reignite growth, attract investment, and restore industrial capacity. “We are constructing a story about how to get the South African economy back on its feet,” he affirmed, highlighting recent progress as Eskom’s energy availability factor improved from 48% during peak load shedding to around 70%.