Eskom scores R6.5 billion loan to upgrade power grid
Power utility Eskom has secured a R6.5 billion from the France Development Agency to restore, upgrade and maintain the power grid.
A multi-billion tranche loan agreement has been signed between Eskom and the AFD.
The embattled state-owned entity will receive the money in phases where R1.5 million has already been paid into Eskom’s bank account.
Spokesperson Khulu Phasiwe says some of the monies will be used to strengthen transmission lines between the Northern Cape and Western Cape.
“This is where we have a hub of renewable energy projects we are constructing there.”
Electricity trade will also be intensified between South Africa and neighbouring states.
“Some of the money will also go towards the strengthening of the lines of our neighbours, especially Botswana and Namibia.”
Eskom's relationship with the AFD is expected to run until 2020.