The energy development in South Africa is undergoing a transformation, including diversification of the energy structure, clean energy transition, reform of the power market, and deepening of international cooperation.

| Energy Transition: From Coal to Clean Diversification

South Africa has long relied on coal for power generation, with coal accounting for over 50% of its energy supply. According to the relevant plan, coal’s share in power generation will drop to 27% by 2039, while the proportions of wind energy, solar energy, and gas will continue to increase.

The goal is to achieve a balanced mix of coal and clean energy to ensure security and reduce emissions.

| Power Market Reforms: Privatization and Competition

After the amendment of the Electricity Regulation Act, private enterprises are permitted to engage in electricity trading, which aims to enhance the stability of power supply.

The government encourages private investment in power grid infrastructure to resolve bottlenecks.