South African utility Eskom has launched a qualification process to select strategic partners for up to 6 GW of renewable energy and storage projects. The portfolio will include at least 2 GW of solar and 1 GW/4 GWh of battery storage, with selected developers joining a five-year co-development and investment framework.
South Africa’s state-owned power utility Eskom has launched a request for qualification (RFQ) process to select renewable energy developers for the first phase of a program aimed at deploying up to 6 GW of utility-scale renewable energy and energy storage projects.
“The Eskom Phase 1 Programme is an initial portfolio of up to 6 GW of utility-scale renewable energy projects, spanning solar photovoltaic (PV), battery energy storage systems (BESS), wind and other renewable technologies,” the company said in a statement. “Eskom will contribute projects comprising at least 2GW of solar PV and 1GW / 4GWh of BESS, which may be complemented by projects owned or originated by the selected strategic partners. The strategic partners will form a panel of pre-qualified co-development and co-investment partners for development, financing and implementation for a period of five years.”
Qualified developers will be invited to participate in subsequent competitive procurement rounds through one or more requests for proposals (RFPs).
The planned portfolio includes Eskom-originated projects on utility-owned land and at existing generation sites, alongside projects owned or originated by strategic partners that could be developed, acquired or implemented in partnership with Eskom or its Eskom Green subsidiary.
Each project is expected to be structured through a dedicated, ring-fenced special purpose vehicle (SPV), with financing primarily arranged on a limited-recourse or non-recourse project finance basis.
Eskom launched Eskom Green in July as part of its broader restructuring strategy, which includes the unbundling process initiated in 2023.
Despite these developments, Eskom remains under financial pressure. The utility continues to rely on coal-fired generation and diesel-fired peaking plants. Diesel expenditure remains in the hundreds of millions of South African rand, although it has declined significantly from the previous year.
Meanwhile, South Africa is advancing electricity market reforms, including plans to establish a wholesale electricity market that could reshape Eskom’s role in the power sector. Analysts have warned that regulatory provisions favoring Eskom’s coal-fired assets could discourage private investment and undermine efficiency gains, potentially increasing long-term electricity costs for consumers.
South Africa’s cumulative installed solar capacity has exceeded 10 GW, following the addition of 1.6 GW in 2025.
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