The Energy Council of South Africa

A Unified Voice Of Business For The Energy Sector Transition

By Shumirai Chimombe

The Energy Council of South Africa is a CEO led initiative that brings together key public and private sector companies, industry and professional associations, and finance institutions that actively and significantly participate across the energy sector. Established in 2021 the Council plays a leading and collaborative role in the development and transition of the country’s energy sector, with its purpose being to ‘enable a thriving and sustainable energy sector supporting inclusive economic growth.’

As part of its portfolio it works to drive stakeholder and policy alignment, and assists in addressing major issues in the energy landscape in collaboration with the public and private sectors. The Energy Council supports South Africa’s commitments under the UNFCCC Paris agreement and the country’s climate legislation aimed at achieving Net Zero by 2050.

Its membership boasts a diverse and growing multi-sectoral composition of public and private sector key players across various sub-sectors crucial to South Africa’s energy ecosystem and economy. It currently has some 40 members that include Eskom, Sasol and the Industrial Development Corporation (IDC), alongside energy developers, companies and organisations in sectors including industrial and manufacturing, mining, automotive, oil and gas, infrastructure, as well as integrated energy providers and traders, and financiers.

Energise Mzansi – Lighting The Way Towards a Sustainable and Thriving Energy Future For All

In February this year, the Council launched the “Energise Mzansi” campaign which it said aims to boost energy literacy and empower South Africans to engage in the energy transition.

Through a dedicated website and coordinated communications including social media, the national campaign makes key information, data, and tools accessible in a creative and engaging way. The goal is to inspire South Africans to understand the complexities, embrace the possibilities and work collaboratively to address the challenges that stand in the way of a more sustainable, affordable and equitable energy future for all.

James Mackay, CEO of the Energy Council said that through this campaign, “we aim to connect South Africans with the factual information they need to make sense of the challenges and take advantage of the opportunities presented by the energy transition.”

The Council indicated that the campaign comes at a crucial time for South Africa’s energy sector. “While 2024 far exceeded our best expectations of an energy recovery, we have not solved our challenges as highlighted by the recent return of loadshedding. We are still facing severe and urgent risks to achieving a sustainable, affordable and reliable energy system.”

In the SONA 2025 address, President Cyril Ramaphosa emphasised the importance of the reform agenda and specifically the time pressure to accelerate delivery in 2025. The National Energy Crisis Committee (NECOM), established under the Presidency, is tasked with the implementation of the Presidential Energy Action Plan (EAP), announced by the President in July 2022. For this plan, business, Eskom and government committed to working in partnership to support the delivery of the agreed objectives.

Energise Mzansi aligns these objectives and will equip key stakeholders in society, business, and government with better knowledge and insights to drive informed, balanced discussions and decision-making.

The campaign focuses on six technical energy topics or toolkits key to understanding the energy transition:

Toolkit 1: Energy Is An Integrated System:

Highlighting the need to shift to a practical, integrated system planning and delivery approach. This means balancing the supply side (including but not limited to wind, solar, coal, gas, nuclear, and battery storage) with demand response, evolving customer needs and changing trends; the increasing importance of infrastructure and digital integration; and the critical issue of a competitive marketplace.

Toolkit 2: Reducing Carbon Emissions:

South Africa has an intensive carbon footprint and is now subject to carbon tax and carbon border adjustments from 2026 with its biggest trade partner, Europe. What is the impact of emissions, do we have practical pathways to address them and how do we align to international commitments and policies driving the country’s transition to a lower carbon future?

Toolkit 3: Coal Dependence:

Examining coal’s critical role in the country’s energy mix, which is still planned to be in operation well beyond 2026. One of the strongest arguments for decreasing this dependence on coal-fired power stations is the impact they have on the atmosphere. There is a need for cleaner, reliable and more efficient energy use, and to identify a strategic, balanced transition that will not compromise energy security and economic stability.

Toolkit 4: Bridging The Transition With Gas:

Exploring how gas could provide crucial support to South Africa’s energy system by meeting fluctuating demand, system variability and bridging the gap as renewable energy grows and large coal stations are decommissioned.

Toolkit 5: Scaling Renewables and Storage:

Evaluating the growing adoption of solar and wind energy as well as battery storage, focusing on the advantages of renewable energy, the barriers to widespread deployment, and the role of technology in making renewables a central part of South Africa’s energy future.

Toolkit 6: Reforming The Energy Market:

Understanding the critical need and benefits of a competitive wholesale electricity market to unlock investment, drive efficiency and lower prices, as well as anchor the future power sector eco-system.

“Energy literacy is more than just understanding the basics, it’s the foundation for informed decision-making, constructive collaboration, and ultimately driving investment and economic growth through gained public positive sentiment,” added the Council’s CEO.

The two key drivers of the energy reform agenda are now anchored in law: the Electricity Regulation Amendment (ERA) Act, 2004 and the Climate Change Act, 2024. According to the Council, if we manage our energy transition properly, South Africa could unlock the largest ever capital investment programme in our history: R1.8-trillion over the next 10 years. This can be leveraged to rejuvenate local manufacturing, create meaningful jobs, and stimulate innovation and skills development for young people.

“It is critical that informed responses lead the transition, ensuring collaboration across all stakeholders to create sustainable, long-term solutions for South Africa’s energy future.”

For more details on Energise Mzansi, visit their comprehensive website at www.energycouncil.org.za/mzansi or follow them on LinkedIn (Energise Mzansi) for regular updates and key messages.

Sources: Energy Council of South Africa