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< Blog 10May_2016
Blog 13May_2016 >

South Africa's Electricity Production, ESKOM vs IPP's

Category: Electricity and ESKOM 
Date:12 May 2016 

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A short while ago South Africa's president stated that South Africa will not see loadshedding again. Question is whether this is due to ESKOM producing more, consumers and businesses saving more electricity by becoming more electricity efficient, or is it due to lagging demand for electricity?
  • South Africa's Trade Data Page
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chart created with amCharts | amCharts
The line graph above shows total electricity produced by ESKOM and Other power producers since January 2000. ESKOM produced it's most kilowatt hours in July 2007 (22 738), while Other power producers only produced 1 063 kilowatt hours that same month (or roughly about 4.7% of what ESKOM was producing at the time).

Since July 2007,  power produced by ESKOM has declined substantially. With power produced by ESKOM sitting at 19 287 kilowatt hours for March 2016 (thats down 15.2% from the highs reached in July 2007), while Other power producers are currently producing 1 379 kilowatt hours for March 2016 (or about 7.2% of what ESKOM is producing). This reflects an increase of 29.7% in the amount of kilowatt hours produced by Other power producers since July 2007 while ESKOM's power produced has dropped by 15.2%



While demand for electricity has dropped off since the recession caused by the sub prime crisis in the US, with smelters at mines not running at full tilt, and businesses and households becoming more energy efficient (think LED lights, greater use of timers for geysers, swimming pool pumps, switching off office lights etc), Other power producers have started to fill the void left by ESKOM's inefficiencies. While the president might have proclaimed there will be no further loadshedding, the cause of this is obviously not because of a more efficient and bigger power producing ESKOM, but rather more energy efficient businesses and households and Other energy producers that is filling the gap that ESKOM seemingly cant. 

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