eskom

Eskom Holdings SOC Ltd is a South African state-owned electricity utility responsible for the majority of the country’s electricity generation and for transmitting electricity across the national grid. It operates the central high-voltage transmission system and owns or operates most of the large power stations that supply municipalities, industries, and other electricity distributors. Eskom is the major component of South Africa’s electricity sector and works alongside provincial and municipal providers.

Eskom’s origins trace to the Electricity Supply Commission, established in 1923. It was reorganized and renamed Eskom in 1987 as the country expanded and modernized its electricity system. The company remains government-owned and reports to national authorities, with strategic oversight and policy direction provided by the government and the Department of Mineral Resources and Energy.

The generation mix of Eskom includes coal-fired plants that constitute the largest portion of capacity, supplemented by Koeberg Nuclear Power Station near Cape Town, plus hydroelectric and various renewable energy facilities. The transmission network, capable of supporting interregional power flows, forms the backbone of South Africa’s electricity grid and connects Eskom’s generation fleet with municipalities and large-scale users.

In recent years Eskom has faced challenges related to aging infrastructure, maintenance shortfalls, and financial pressures. These factors contributed to frequent load shedding and reliability concerns, prompting government intervention, capital-raising efforts, and discussions about restructuring or unbundling parts of Eskom to improve efficiency, governance, and the pace of investment in new capacity.