South Africa’s state-owned energy company, Eskom, has announced that the World Bank, a key strategic creditor of Eskom, has granted consent for the proposed legal separation of its transmission division from Eskom to the National Transmission Company South Africa (NTCSA).
This move, a part of Eskom’s turnaround plan aligned with the Department of Public Enterprises’ (DPE) roadmap, aims to address the country’s energy crisis sustainably. NTCSA has already obtained licenses for transmission facility operation, electricity trading, and import/export from the National Energy Regulator of South Africa (Nersa). However, securing consents from the remaining financial creditors remains a final prerequisite for the legal separation of the transmission division. Eskom emphasises that this separation is integral to its strategic objectives, facilitating improved grid access and incentivising investments in the generation sector. The ultimate goal is to enhance the country’s energy security by promoting a robust supply system.