The City of Cape Town has allocated more than R1,1 billion over the next three years to upgrading the Steenbras hydroelectric plant – a key asset in shielding residents from load shedding, the city says.
This is part of its R71,2 billion draft energy budget for 2025/26, which also limits municipal electricity tariff increases to just 2% despite Eskom’s approved 11,32% hike.
Major investments help to reduce tariff cost impacts when Eskom prices are at the highest while helping to protect customers against two stages of load shedding where possible, said Cape Town’s Mayoral Committee Member for Energy Xanthea Limberg. “Plans to offer protection of up to four stages, where feasible, are well underway.”
The Steenbras plant is used to supplement supply during periods of high demand or constrained Eskom generation.
The city plans to allocate capital expenditure of R4,5 billion over the medium term and R1,3 billion in 2025/26. Key allocations include:
- R75,5 million for LED street light upgrades, increasing to R87,5 million in 2026/27.
- R25,7 million over two years for electrification in informal settlements and backyard dwellings.
- Continued investment in own-build solar photovoltaic and distributed generation programmes.
“Our draft energy budget, totalling more than R71,2 billion over the next three years, speaks to our efforts to invest in street lighting, to curb energy theft and vandalism, and to plan for the growing energy needs of Cape Town in a more affordable and sustainable manner,” said Limberg.
The draft budget is open for public comment until May 2.
