President Cyril Ramaphosa has announced that government is working to eliminate load reduction by 2027 as part of broader reforms to modernise the country’s energy sector.
Delivering the State of the Nation Address on Thursday, the President said efforts would be intensified across provinces to tackle transformer overloading, illegal connections and equipment failures that often trigger load reduction. The measure, implemented by Eskom, affects specific areas where electricity supply is available but infrastructure is at risk of overload.
Ramaphosa reaffirmed government’s commitment to restructuring the power sector, including the establishment of an independent state owned transmission company. The new entity will assume ownership and control of transmission assets and operate the electricity market. A dedicated task team under the National Energy Crisis Committee has been set up to oversee the restructuring process and will report to the President within three months.
The government also plans to launch the first round of independent transmission projects this year to attract private investment into expanding the national grid.
Highlighting the need for long term energy security, Ramaphosa said past challenges including state capture, mismanagement and inadequate maintenance had driven up electricity costs. However, he expressed confidence that ongoing reforms and the country’s strong solar and wind potential would help reduce costs.
He noted that the Electricity Regulation Amendment Act 38 of 2024 has opened the sector to greater competition and investment. By 2030, more than 40 percent of South Africa’s energy supply is expected to come from renewable sources, reducing reliance on a single supplier and strengthening the country’s energy resilience.