Eskom has quietly floated an ambitious plan to erect a solar photovoltaic (PV) panel manufacturing facility capable of churning out at least 1 gigawatt (GW) of output – enough electricity to power roughly 750 000 homes across South Africa. The proposal, lodged in a procurement notice this week, signals a bold shift for the state utility, which is eyeing the conversion of under‑utilised power‑station sites into green‑energy hubs. While the exact location is still under review, the utility has earmarked its Camden power station in Ermelo, Mpumalanga, as the leading candidate for the new plant.
Eskom’s drive to embed a solar PV value chain within national borders aims to tackle three persistent challenges: the chronic shortage of locally‑made components, the loss of high‑skill jobs to overseas manufacturers, and the country’s over‑reliance on imported panels. By anchoring production at an existing Eskom site, the utility hopes to capitalise on existing grid infrastructure, transport links and an experienced workforce, while also giving the “just energy transition” (JET) a tangible, South African face.
The utility’s tender for a transaction adviser underlines the complexity of the undertaking. The chosen advisor will be tasked with a full feasibility study, a business case, engineering concepts, commercial frameworks and pre‑procurement inputs. In essence, this adviser will map out whether the solar PV plant should be built at Camden, moved to an alternative site, or even split across multiple locations. Crucially, the process is framed as competition‑neutral; participation by original equipment manufacturers (OEMs) or local producers during the study will not guarantee them a later edge in procurement.
“The facility is expected to have a minimum output of 1 GW, with potential scalability,” the tender document reads, linking the project directly to broader policy goals such as localisation, industrial capability development, supply‑chain resilience and sustainable job creation. The advisor must also explore partnership models, from joint‑ventures with foreign OEMs to equity stakes for South African manufacturers, and value any Eskom‑owned assets that could be contributed to a future partnership.
To grasp the magnitude of a 1 GW solar panel factory, compare it with the country’s current coal and nuclear fleet. The table below puts the proposed output side‑by‑side with the installed capacity of major power stations:
| Power Station | Installed Capacity (MW) | Equivalent Homes Powered |
|---|---|---|
| Koeberg Nuclear | 1 900 | ~2 380 |
| Arnot (Coal) | 2 220 | ~2 780 |
| Grootvlei (Coal) | 1 180 | ~1 480 |
| Hendrina (Coal) | 1 723 | ~2 160 |
| Camden (Coal) | 1 600 | ~2 000 |
| Proposed Solar PV Plant | 1 000 (1 GW) | 750 000 homes |
Even though a 1 GW solar panel plant does not generate electricity itself, its output translates into enough modules to power three‑quarters of a million households – a figure that dwarfs the capacity of any single existing South African generator. This scale highlights why the project has been positioned as a cornerstone of the 2025 Integrated Resources Plan, which earmarks R2.23 trillion in investments and targets an additional 11 270 MW of solar PV by 2030.
The tender also stresses the need to assess the suitability of the Camden site against alternatives. Eskom’s consultants will deliver an independent comparative assessment of other potential locations, weighing technical, commercial, scheduling, infrastructure and risk factors. Should Camden prove sub‑optimal, the adviser must recommend a fallback or non‑preferred site, ensuring the final decision rests on solid evidence rather than convenience.
From an employment perspective, the project could generate a significant number of green jobs. Industry estimates suggest that a 1 GW manufacturing line typically supports 5 000–7 000 direct positions ranging from engineering and production to logistics and quality control. When indirect employment is factored in – such as supply‑chain services, maintenance and training – the total impact could reach 10 000 jobs or more, a crucial boost for regions still dependent on coal mining.
Eskom’s leadership, under CEO Dan Marokane, has already signalled a more measured approach to coal plant retirements. After a hasty de‑commissioning of the Komati station in 2022 left workers stranded, the utility postponed the mothballing of Camden, Grootvlei and Hendrina until 2030. This cautious timeline gives the solar PV venture breathing space to mature without prematurely cutting off existing generation capacity.
The broader policy context also favours localisation. The Integrated Resources Plan envisions a diversified energy mix, with solar PV projected to dominate new additions. By fostering domestic panel production, South Africa can reduce its current imports of over 80 % of PV modules, keeping foreign exchange outflows in check and strengthening national energy security.
In summary, Eskom’s proposed solar PV panel manufacturing facility carries the potential to reshape the country’s renewable landscape. If the transaction adviser can deliver a robust, data‑driven case, the project could not only supply the raw material for a greener grid but also cement South Africa’s foothold in the global solar supply chain, delivering jobs, skills and a more resilient energy future.