South Africa’s Electricity System Still at Risk Despite 120 Days Without Load Shedding

While South Africa has enjoyed 120 days without load shedding, President Cyril Ramaphosa warns it’s too early to declare victory.

“Our electricity system is still vulnerable, and we cannot yet rule out a possibility of further load shedding,” President Ramaphosa stated on Tuesday. He made these remarks during the presentation of the 2024/25 Presidency Budget Vote in Parliament.

Electricity Crisis and Economic Growth

President Ramaphosa addressed Members of Parliament (MPs), emphasizing that one of the greatest barriers to economic growth has been the ongoing electricity crisis. He highlighted the crucial role the Presidency has played in tackling this issue.

The National Energy Crisis Committee, established in 2022, oversees the implementation of the Energy Action Plan. Chaired by the President and coordinated by the Director-General in the Presidency, this committee has been pivotal in driving improvements.

“With the support of the National Energy Crisis Committee, there has been a marked improvement in the performance of Eskom’s power stations, which produce the bulk of South Africa’s electricity,” Ramaphosa noted.

Regulatory Changes and Investments

The President also highlighted significant regulatory changes that have spurred new investments in electricity generation. The government has been collaborating closely with independent power producers (IPPs) to expedite their projects, which has greatly reduced the severity of load shedding.

“We are going to continue working with companies, financial institutions and business organisations, both South African and international, during the course of our ambitious investment drive over the last five years,” he added.

Boosting Economic Growth

Ramaphosa outlined key areas that will bolster the economy in the medium term, including:

• Alleviating load shedding
• Enhancing the performance of the logistics system
• Reducing data costs
• Improving water supply
• Attracting essential skills
• Implementing ongoing reforms

“These reforms support the repositioning of strategic State-owned enterprises by strengthening their balance sheets and improving their operational performance, while also enabling higher levels of private investment in infrastructure,” he stated.

Fighting Corruption

Addressing corruption, President Ramaphosa acknowledged the government’s progress in implementing recommendations from the State Capture Commission. This includes efforts by law enforcement to bring perpetrators to justice and recover stolen funds, as well as legislative changes to combat corruption and prevent state capture.

“The Presidency has forged a close working relationship with the SIU and law enforcement agencies to monitor the implementation of the recommendations for criminal, disciplinary, and administrative action arising from SIU investigations,” Ramaphosa emphasized.

Continued Vigilance

Despite the progress made, President Ramaphosa stressed the need for continued vigilance and effort to ensure a secure and reliable electricity supply for South Africa’s future.

“Our electricity system remains vulnerable and we cannot yet rule out the possibility of further load shedding,” he reiterated. “Rather, this milestone provides encouragement for us to do more and to work faster to ensure a secure supply of electricity now and into the future.”

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President Ramaphosa’s address underscores the delicate balance South Africa must maintain to ensure sustained progress in its energy sector while continuing to combat corruption and drive economic growth.