South Africa's Power Crisis Demands Overhaul; Ramaphosa Vows Affordable Electricity for Mi

CAPE TOWN BULLETIN

President Ramaphosa Reaffirms Energy Reform Push, Seeks Affordable and Reliable Power for All South Africans

South Africa’s grid is now being fundamentally restructured, and President Cyril Ramaphosa has made clear he intends to see that overhaul through. At a meeting with Eskom Board Chairperson Mteto Nyati on Thursday, 27 August 2026, Ramaphosa restated the government’s core commitment: affordable, reliable and sustainable electricity for every South African.

The centrepiece of the reform is a fully independent Transmission System Operator, or TSO, that will own and control the country’s transmission assets. A statement released by The Presidency confirmed that this separation is designed to create genuine competition in the electricity market and draw new investment into a sector that has faced years of strain. The TSO will remain under state ownership, functioning as a strategic national asset in the public interest rather than for private gain.

Implementing the changes falls to the Eskom Restructuring Task Team (ERTT), a coordinating body that brings together officials from The Presidency, National Treasury, the Department of Electricity and Energy, Eskom itself, and the National Transmission Company South Africa (NTCSA). The multi-agency structure reflects the complexity of overhauling one of the country’s most critical infrastructure systems without destabilising the power supply that millions depend on daily.

Nyati confirmed that the Eskom Board stands firmly behind the government’s policy direction and pledged to maintain alignment with the shareholder throughout implementation. The meeting addressed concerns he had raised directly with the President. Ramaphosa responded by reiterating the government’s intention to work closely with Eskom, the NTCSA and other stakeholders to protect Eskom’s financial health, enable the TSO to invest in expanding and strengthening the transmission network, and handle engagement with lenders and funders with both transparency and responsibility.

Meanwhile, the meeting formed part of a broader consultation effort. It followed recent discussions between Ramaphosa and the leadership of the National Union of Mineworkers, signalling the President’s intention to keep dialogue open with all parties affected by the restructuring. The electricity sector touches virtually every aspect of economic and social life in South Africa, making stakeholder engagement a practical necessity, not merely a political gesture.

The reform programme addresses a longstanding tension in South Africa’s energy landscape: balancing immediate reliability and affordability against long-term sustainability and investment. By separating transmission operations from generation and distribution, the government aims to create space for new players to enter the market and for existing operators to compete on more equal terms.

How effectively the ERTT coordinates across government agencies and with Eskom during implementation will ultimately determine whether ordinary South Africans see the affordable, reliable power the President has promised.