Eskom Remains Backbone of South Africa's Economic Recovery
On April 10, 2026, President Cyril Ramaphosa marked the completion of Eskom’s Kusile power station, emphasizing coal-fired power as the backbone of South Africa’s electricity supply. Alongside the Medupi station, these facilities provide critical baseload energy essential for large-scale manufacturing and job creation. Recognizing the fragility of the mineral beneficiation sector, Eskom introduced flexible, tailored tariffs for ferroalloys and steel industries, including Samancor Chrome and Glencore-Merafe, to prevent further shutdowns and retrenchments. This strategic shift aims to restore competitiveness in sectors heavily impacted by previous load-shedding and rising costs. Historical data indicates that between 2014 and 2024, unstable energy supplies led to the closure of ten smelting plants and significant job losses. The article argues that maintaining Eskom’s capacity through modernization, rather than premature coal plant closures, is vital for national economic stability. By supporting continuous power needs for smelters, Eskom not only aids industrial survival but also secures its own operational viability, highlighting the indispensable link between reliable energy infrastructure and South Africa’s industrial recovery.
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Eskom Remains Backbone of South Africa's Economic Recovery
On April 10, 2026, President Cyril Ramaphosa marked the completion of Eskom’s Kusile power station, emphasizing coal-fired power as the backbone of South Africa’s electricity supply. Alongside the Medupi station, these facilities provide critical baseload energy essential for large-scale manufacturing and job creation. Recognizing the fragility of the mineral beneficiation sector, Eskom introduced flexible, tailored tariffs for ferroalloys and steel industries, including Samancor Chrome and Glencore-Merafe, to prevent further shutdowns and retrenchments. This strategic shift aims to restore competitiveness in sectors heavily impacted by previous load-shedding and rising costs. Historical data indicates that between 2014 and 2024, unstable energy supplies led to the closure of ten smelting plants and significant job losses. The article argues that maintaining Eskom’s capacity through modernization, rather than premature coal plant closures, is vital for national economic stability. By supporting continuous power needs for smelters, Eskom not only aids industrial survival but also secures its own operational viability, highlighting the indispensable link between reliable energy infrastructure and South Africa’s industrial recovery.
The Mail & Guardian