South Africa Secures $122bn Chinese Investment for Energy Revamp

South Africa has secured a Chinese-backed programme worth roughly R2.2 trillion (about $122 billion) to overhaul its energy sector and revive industrial output. The plan, anchored in the Integrated Resource Plan 2025, targets the addition of about 105 GW of new generation capacity by 2039 and the construction of roughly 14,500 km of new transmission lines, requiring an estimated N$440 billion in investment.

Minister of Electricity and Energy Kgosientsho Ramokgopa said the government wants to move beyond a buyer‑supplier relationship, urging Chinese firms to invest jointly in local manufacturing, technology transfer and skills development. “Our proposition to China is not simply: come and sell to South Africa. It is: come and build with South Africa,” he said. The programme also aims to stimulate demand for engineering services, advanced energy technologies and new industries such as battery manufacturing, green hydrogen and nuclear power, leveraging South Africa’s special economic zones and access to the African Continental Free Trade Area.