South Africa - ESKOM II Power project

Project Summary

Approval Date 15 Dec 2015
Signature Date 06 Jul 2016
Sovereign / Non-Sovereign Non Sovereign
Sector Power
DAC Sector Code 23220
Commitment U.A 233,340,711.09
Status Implementation

Project General Description

The project is part of a solution package provided by the African Development Bank to Eskom in response to South Africa’s request for assistance to address its energy crisis. It consists of a senior corporate loan to support Eskom’s 5-year (2015 – 2020) rolling capacity expansion program (CEP). This includes construction and refurbishment of generation and transmission capacity to meet SA’s and regional demand. Eskom Holdings SOC Ltd is a 100% South African state-owned power utility and is the country’s primary electricity supplier. Eskom is also a cornerstone partner to the Southern Africa Power Pool (SAPP), as it trades about 5% of its energy output with neighboring countries. It owns and operates 27 power stations with a net maximum generating capacity of 42 GW. The CEP will enable Eskom to increase its electricity reserve margin, thus reducing reliance on expensive diesel-fired power, while strengthening its network reliability and redundancy, thereby enabling the off-take from renewable energy IPPs. Eskom’s CEP is focused on catalyzing economic growth and job creation in South Africa and the wider region. The CEP is also aimed at restoring SA’s business competitiveness, while improving health (i.e. reducing respiratory deaths/accidents), promoting gender equality (e.g., women spending less time collecting firewood/business opportunities).

Project Objectives

The project objective is to assist Eskom to implement its capacity expansion program (CEP), to build energy security in South Africa and the larger region, thus breeding new economic competitiveness in the continent.


The main beneficiaries of the project are: the Government of South Africa (GoSA) and the Eskom Holdings SOC Limited.

Participating Organization

African Development Bank


IATI identifier 46002-P-ZA-F00-005
Last Update 26 Jan 2023


Contact Details


Geographic Location

Country South Africa
Coordinates Location Name
-25.74486 28.18783 Pretoria