The City of Cape Town’s Energy Directorate demonstrates its commitment to providing a reliable energy supply and ending load-shedding through its significant capital budget spend of R1 billion in the last financial year (2022/23). This investment showcases the city’s capacity to invest in dependable services for a growing population.
Reducing Dependence on Eskom
The changing energy environment presents a great opportunity for well-run municipalities like Cape Town to reduce their dependence on Eskom for power. Through significant capital budget spend, the city administration aims to establish the groundwork for ending load-shedding over time.
Large Capital Projects
The City of Cape Town has invested in several large capital projects to ensure a reliable energy supply. These projects include the following:
- R145 million Morgen Gronde switching station in Brackenfell
- Installation of solar photovoltaic (PV) systems in municipal buildings
- LED retrofitting of streetlights
- Further investment in municipal energy efficiency
Future Plans
The city has allocated approximately R1 billion for the refurbishment and extension of the Steenbras Hydro Pumped Storage Scheme, with an additional R200 million earmarked for the maintenance of Steenbras over the next nine years, subject to due process.
Cape Town aims to add up to one gigawatt of independent power supply to end load-shedding in the city over time. The ambitious plan includes adding the first 650MW within five years, sufficient to protect against four Eskom load-shedding stages by 2026.
Energy Supply Mix
The energy supply mix could incorporate various sources, including the following:
- Embedded Independent Power Producers (IPPs) Renewable Energy (200MW)
- Dispatchable Energy (up to 500MW)
- Wheeling (up to 350MW)
- Private Small-Scale Embedded Generation (up to 100MW)
- City-Owned Small-Scale Embedded Generation (up to 20MW)
Cape Town’s Energy Directorate’s remarkable capital budget spend sends a message about its commitment to ending load-shedding and investing in a reliable, diversified energy supply. This investment benefits both residents and businesses, ensuring a sustainable and prosperous future for the city. The combination of various energy sources, including renewable energy and innovative solutions like wheeling, demonstrates Cape Town’s readiness to adapt to the changing energy landscape and to spearhead the transition towards a cleaner and more resilient energy system.