Eskom has received millions from the United States Trade and Development Agency (USA).
A statement from the agency yesterday, said the amount is to allow the power utility (Eskom) “to explore innovative technologies that can transform the delivery of power.”
This comes after the Minister of Electricity, Kgosientsho Ramokgopa, told the media two days ago, that the transmission side of electricity needs urgent attention and investment. He also said if there was ever a risk for a grid shutdown, it would be on the transmission side of the power process.
With Eskom’s announcement of a new bid window last week, calling for more renewable energy projects, USTDA, said the goal of the grant is to “increase capacity of the grid to allow it to absorb new, resources of energy generation.”
U.S. Ambassador to South Africa, Reuben Brigety II, said: “Supporting Eskom’s transmission grid is one of the key priorities of the South African government in the Just Energy Transition Investment Plan, and today the U.S. government is here to deliver on that priority. The U.S. Mission in South Africa is committed to building stronger ties between South Africa and the United States. U.S. agencies like USTDA help promote increased trade that leads to prosperity for both of our nations.”
Speaking about financing a newly revised transmission plan, back in October 2022, Eskom’s Managing Director for Transmission, Segomoco Scheppers, said, “if requirements to deliver an adequate network capacity by 2027 are to be met, a significant investment of R72.2 billion, will be required to expand and strengthen the transmission grid over the next five years.”
About R50.8 billion of the total required amount, is required for new capacity expansion projects, to meet the reliability requirements, connection of new generation capacity and loads, as well as to acquire servitudes.
A further R21.4 billion is required to refurbish the existing asset base and procurement of production equipment.”