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Electricity generation in South Africa fell 8.1% in June compared with the same month in 2025, representing the 13th consecutive year-on-year decline, data showed on Thursday.Seasonally adjusted electricity production also decreased by 0.7% between May and June, after a month-on-month increase of 0.8% the previous month and a dip of 1.8% the one before, Stats SA said. Generation dropped 2.5% in the second quarter of 2026 compared with the first quarter.Electricity inflows into the country jumped 31.7% year on year in June, while outflows slumped 62.3%.The volume of electricity delivered to provinces recorded a decline of 3.1% over the period, with eight registering a decrease, while the Eastern Cape was the outlier with an increase in deliveries.Electricity distribution (consumption) fell 2.8% on an annual basis in June and was down 0.9% month on month, after increasing 1.8% in May and easing 1.5% in April. Seasonally adjusted electricity distribution was up 0.8% from the first to the second quarters of the year.Electricity generation has improved significantly with the addition of independent capacity to buoy supply from state utility Eskom, which has traditionally produced about 86% of the country’s needs and 20% of the electricity generated on the African continent.In April the utility said its ability to generate electricity had improved significantly over the past two years.Independent power producers now contribute 10%-15% of electricity to South Africa’s national grid after the launch of the renewable energy independent power producer procurement programme in 2011.The country also imports electricity through the Southern African Power Pool, most of which comes from Mozambique, specifically from the Cahora Bassa hydroelectric power plant, and Zambia.Depending on domestic supply conditions, it also exports to neighbouring countries, including Botswana, Namibia, Lesotho, Eswatini and Zimbabwe.Despite improved supply, electricity has become increasingly too expensive for many households and businesses in the country, with the National Energy Regulator of South Africa (Nersa) approving an average tariff increase of 8.76% this year for Eskom.Nersa said the decision balanced the financial sustainability of the power utility with affordability for customers.A recent study by BloombergNEF lists South Africa among Sub-Saharan countries where increasingly expensive grid electricity tariffs are encouraging greater investment in solar energy. It says the region is expected to install 29 gigawatts (GW) of solar, wind and battery capacity by 2030 from 13GW in 2025, with clean energy demand in the region important for global solar growth.South Africa had 67GW of installed energy capacity in 2025, dominated by about 45GW of coal. The country’s 2025 integrated resource plan (IRP) sought to retire 8GW of coal capacity while adding 6GW of gas and 14GW of renewables before 2030, but due to delays with gas power procurement, old coal-fired plants could run for longer.In his weekly newsletter on Monday, President Cyril Ramaphosa said South Africa’s just energy transition is gaining momentum, with rising clean energy investment helping the country meet its climate commitments.He said the use of rooftop solar by households and businesses has surpassed expectations, with the number of households installing solar panels rising by 86% over the past three years to 675,000 in 2025.Business Day
