President Cyril Ramaphosa has commended the joint efforts of government departments and Eskom staff for the state power utility’s improving financial and operational performance. He said the turnaround reflects the success of the National Energy Action Plan introduced in 2022, which aimed to stabilize South Africa’s energy supply and restore investor confidence.
Eskom recently reported an Energy Availability Factor (EAF) exceeding 70%, indicating improved plant reliability and fewer unplanned outages. The utility said this progress is essential for strengthening grid stability and supporting economic growth. Ramaphosa highlighted that Eskom’s recovery has reduced its reliance on diesel and allowed for renewed investment in infrastructure, with plans to allocate over R320 billion for expansion and maintenance projects.
Despite the positive momentum, the president noted ongoing challenges with municipal debt, which has risen by 27% over the past year. He reaffirmed the government’s commitment to working with municipalities to resolve arrears and ensure Eskom’s long-term financial sustainability.
Ramaphosa emphasized that the government remains focused on expanding energy generation capacity, encouraging private investment, and implementing structural reforms to transform South Africa’s power sector while driving inclusive economic growth.