Eskom Achieves Five-Year High in Reserve Capacity, Bolstering South Africa's Power Stability

Significant Boost to National Grid

South Africa's state-owned power utility, Eskom, has announced a substantial increase in its reserve electricity capacity, reaching its highest level in five years. The utility has added an impressive 4,400MW of capacity to the national grid compared to the previous year, signaling a notable improvement in the country's power system stability. This achievement means South Africa entered 2026 with its most stable and predictable electricity supply in half a decade.

Generation Recovery Plan Yields Results

The positive development is largely attributed to Eskom's Generation Recovery Plan, which commenced in April 2023. The plan has focused on enhancing the structural integrity and performance of the generation fleet. Key performance indicators demonstrate this progress:

• The Energy Availability Factor (EAF) has climbed from 56.03% in April 2023 to 64.55% at the beginning of 2026.
• The generation fleet has met or exceeded the 70% EAF benchmark on 55 days since April 1, 2025.
• Unplanned outages (UCLF) have sharply decreased from 31.92% to 16.02%.
• Planned maintenance (PCLF), after peaking at 12.76% in the 2025 financial year, has now eased to 9.32%, moving closer to global best practices.

Eskom Group Chief Executive Dan Marokane stated that the utility has transitioned 'from a heavily constrained power system to an increasingly stable one that can reliably deliver baseload power,' describing the recovery as 'short-term pain for long-term gain.'

Economic and Operational Benefits

The improved operational reliability has also translated into significant financial savings. Eskom reduced its diesel spending by approximately R16 billion in the 2025 financial year, owing to decreased reliance on expensive open-cycle gas turbines. Diesel costs are projected to continue declining in the current financial year. This enhanced reliability has positively impacted investor confidence, contributing to South Africa's first credit rating upgrade in two decades and a reduction in the risk rating on Eskom's 2033 bonds.

Furthermore, the Eskom Debt Relief Act, passed in 2023, provided R254 billion in debt relief, which facilitated crucial investments and maintenance efforts. The utility has also committed to greater transparency, publishing real-time system data and detailed weekly power system updates since May 2024.

Outlook on Load Shedding

As of January 12, 2026, South Africa has experienced 241 consecutive days without load shedding. While national load shedding has been suspended, Eskom continues to implement targeted load reduction measures in specific areas to manage strain on the electrical grid and protect distribution infrastructure.