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South Africa unveils $127 billion energy plan to end power crisis and add 105,000 MW by 2039

New Integrated Resource Plan aims to diversify energy mix, boost renewables and nuclear power, and cut emissions by 2050

Madhumita Paul

  • IRP 2025 targets 105,000 MW of new power capacity by 2039

  • 2.2 trillion Rand investment to end electricity shortages

  • Renewables and nuclear at the core of South Africa’s energy mix

  • Emissions reduction target set at 168 million tonnes CO₂ equivalent by 2050

  • Skills development partnerships launched with universities and TVET colleges

South Africa has unveiled a new Integrated Resource Plan (IRP 2025) to end its prolonged electricity crisis and secure the country’s energy future. The plan, announced by Minister of Electricity and Energy Kgosientsho Ramokgopa on October 19, 2025, aims to add 105,000 megawatts (MW) of new generation capacity by 2039 through a mix of renewable, nuclear, gas, and distributed energy sources.

The government will invest 2.2 trillion Rand ($127.5 billion) to stabilise power supply and revive the economy. Ramokgopa described the IRP as a “policy of government” rather than a “wish list”, adding that it would be a “living plan” subject to regular review in line with changing national and global conditions.

“This is what is going to drive the electricity agenda in the country for the period that we are going to define,” said Ramokgopa. “We’re going to ensure that we achieve a number of elements going forward.”

Under the plan, new generation capacity will include 25,000 MW of solar PV, 34,000 MW of wind, 5,200 MW of nuclear, 16,000 MW of gas, 8,500 MW of energy storage, and 16,000 MW of distributed generation.

At present, around 58 per cent of South Africa’s installed capacity comes from coal, with renewables, including rooftop and grid-connected solar and wind, making up about 28 per cent, and 3 per cent from nuclear power. The plan seeks to ensure secure, affordable and environmentally responsible electricity supply by balancing generation with demand.

The IRP also outlines a nuclear industrialisation plan, aiming to develop 10,000 MW of new nuclear capacity while boosting domestic industrial capability and creating skilled jobs. The minister acknowledged that the country currently faces a skills shortage in the sector and said the government is working with universities and TVET colleges to build expertise in engineering and nuclear disciplines. The government will meet with industry players to determine how they can increase their capacity to meet the demands of this programme, he added.

The plan commits to major emission reductions, targeting 168 million tonnes of carbon dioxide equivalent by 2050, compared to the country’s current Nationally Determined Contribution (NDC) of 145 million tonnes. 

Ramokgopa noted that progress was already visible, with Eskom’s energy availability factor improving from 48 per cent during peak load shedding to around 70 per cent, providing a stronger base for transformation.

With over 20 countries committing to expand nuclear energy at the 2023 United Nations Climate Change Conference, also known as COP28, South Africa views this as a strategic opportunity to strengthen both its economic growth and energy security.