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PV Transact

Ramaphosa to visit Kusile Power Station

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  • President to assess progress on restoring energy security and expanding generation capacity.
  • Project faces scrutiny over costs exceeding R160 billion and prolonged delays.

President Cyril Ramaphosa is set to visit Eskom’s Kusile Power Station, accompanied by Minister of Electricity and Energy Dr Kgosientsho Ramokgopa and senior Eskom management, as government intensifies efforts to stabilise South Africa’s energy supply.

The Presidency said the visit will provide the President with a comprehensive operational briefing from Eskom’s leadership and technical teams, focusing on measurable progress in improving generation capacity and strengthening national energy security.

Kusile reached a key milestone in September last year when Unit 6 entered commercial operation, contributing about 800 MW to the grid. This development marked the completion of Eskom’s large scale build programme, which also includes the Medupi Power Station.

Government has positioned the combined output of Kusile and Medupi at 9600 MW as a major boost to baseload supply, reinforcing South Africa’s energy capacity on the continent. The Department of Electricity and Energy previously described the completion of Kusile as evidence of overcoming complex engineering and construction challenges in one of the country’s most ambitious infrastructure projects.

Despite these gains, Kusile continues to face significant scrutiny due to its financial and operational challenges. The project’s cost has escalated sharply from an initial estimate of about R81 billion to more than R160 billion, placing it among the most expensive power stations globally. Combined overrun costs with Medupi have exceeded R300 billion.

Delays of more than 11 years have further inflated costs, while technical failures such as the 2022 flue gas duct collapse have underscored ongoing engineering risks. Investigations have pointed to design defects, poor site management, inaccurate material estimation and weak project oversight as contributing factors.

Labour instability and structural management issues have also played a role in slowing construction progress and increasing overall expenditure.

Given the scale of cost overruns, Kusile is not expected to generate a traditional financial profit. However, Eskom maintains that the facility remains a critical national asset, essential for ensuring long term electricity supply and supporting economic recovery.

Eskom Group Chief Executive Dan Marokane said both Kusile and Medupi will remain central to the country’s electricity mix, with an expected operational lifespan of around 50 years. He added that Eskom is simultaneously accelerating investment in renewable energy to complement baseload generation and reduce emissions as part of a broader grid repowering strategy.

Ramaphosa’s visit is expected to highlight both the progress achieved in stabilising generation capacity and the ongoing challenges facing South Africa’s power sector as it balances reliability, cost and transition objectives.

Author: Bryan Groenendaal

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