18 September 2025

Eskom's Gas Power Plant Plans Halted by Supreme Court Over Community Inclusion Failure

The Supreme Court of Appeal (SCA) has set aside the environmental authorization for Eskom's proposed 3,000MW Combined Cycle Gas Power Plant in KwaZulu-Natal, dealing a significant blow to the utility's gas strategy that forms part of its energy transition plan.

The court ruled that Eskom failed to meaningfully include isiZulu-speaking communities directly affected by the project in the public participation process, breaching constitutional and statutory requirements for transparency, inclusivity, and fairness in environmental decision-making.

Critical Infrastructure Delayed

The proposed gas plant, which was planned for the uMhlathuze Local Municipality in KwaZulu-Natal, is considered by Eskom to be a critical component of its strategy to balance renewable energy integration and maintain grid stability. The nullification of the Environmental Authorisation means the project faces significant delays as Eskom reconsiders its approach.

According to Alfred Seema, Eskom Group Executive for Strategy Delivery, "Gas plays a critical role in South Africa's energy future. It acts as a backbone for renewable energy integration due to its flexibility and fast-response capability."

Why Gas Matters for Grid Stability

Eskom maintains that gas power is essential to its energy security strategy for several reasons:

• It provides dispatchable generation (power that can be turned on/off on demand) to offset the variability of renewable energy sources
• It offers fast-response capability needed to maintain grid stability
• It helps compensate for declining baseload coal generation
• It addresses the evening peak demand when solar generation drops

Seema emphasized that "with declining baseload coal, increased variable renewable energy, and more behind-the-meter solar that doesn't generate at night, having gas available on demand is essential to maintain grid stability."

What Went Wrong?

At the heart of the court's decision was the failure of proper community consultation. The SCA found that isiZulu-speaking communities directly affected by the project were not meaningfully included in the public participation process. This oversight breached both constitutional requirements and environmental regulations that demand transparency and inclusivity in decision-making processes.

This judgment highlights the importance of comprehensive stakeholder engagement in major infrastructure projects, especially those with environmental implications.

Outlook

Eskom states it is still studying the judgment and considering its next steps. The utility has confirmed it remains committed to advancing its gas strategy, which it views as "the key enabler of energy security, economic growth, and the transition to cleaner energy."

However, this setback could potentially impact the timeline for South Africa's energy transition plans. With loadshedding currently suspended for over 300 days, projects like this gas plant are seen as critical to maintaining that stability while the country transitions away from coal dependency.

Any significant delays in building new dispatchable generation capacity could create vulnerability in the grid, especially as more variable renewable energy comes online and aging coal plants are decommissioned.

Key Terms Explained

Combined Cycle Gas Power Plant (CCGPP): A power plant that uses both gas and steam turbines to produce up to 50% more electricity from the same fuel than a traditional simple-cycle plant. The waste heat from the gas turbine is routed to the nearby steam turbine, which generates extra power.

Environmental Authorisation (EA): A legal document issued by environmental authorities that permits a development to proceed after assessing its environmental impacts.

Dispatchable Generation: Power sources that can be turned on and off on demand, or adjusted according to electricity needs. Unlike solar or wind, which depend on weather conditions, dispatchable sources can reliably provide power when needed.

Baseload: The minimum level of electricity demand required over a period of 24 hours. Traditionally provided by coal or nuclear plants that run continuously.

Behind-the-meter solar: Solar panels installed by homes and businesses that generate electricity primarily for their own use, reducing their draw from the national grid.