Mpumalanga Premier Mandla Ndlovu has reaffirmed that coal remains the backbone of the province’s economy, despite a growing emphasis on renewable energy.
Ndlovu was delivering his State of the Province Address (SOPA) on Friday 28 February.
He acknowledged the importance of the Just Energy Transition (JET) but insisted that coal will continue to drive economic growth and job creation.
“Mpumalanga depends heavily on coal as a source of economic value, employment, and energy,” Ndlovu stated.
The province produces 80% of South Africa’s coal, supplying 70% of Eskom’s operating capacity.
With 11 of the country’s 14 coal-fired power stations located in Mpumalanga, the Premier stressed that a sudden shift away from coal could have catastrophic economic consequences.
Coal Remains Key to Economic Stability
While the national government has committed to reducing carbon emissions, Ndlovu made it clear that Mpumalanga’s economic survival depends on maintaining coal production while exploring alternative energy sources.
“While we support the JET, we also support research on carbon capture, which is being explored as a viable way to mitigate carbon emissions in the region,” he said.
The province is calling on mining companies to fund carbon capture initiatives. This is to ensure that coal remains a viable energy source but with a reduced environmental impact.
He said the mining sector’s contribution to provincial GDP has declined from 23.2% to 19.9%. This is partly due to logistical challenges and delays at South Africa’s harbours.
However, Ndlovu expressed confidence that ongoing improvements in transport and logistics, including Operation Vulindlela, will help revive the sector.
Balancing energy transition with economic growth
The JET framework, driven by the national government and international partners, aims to reduce South Africa’s reliance on fossil fuels.
However, Ndlovu emphasised that the transition must not come at the cost of jobs and economic stability.
“Coal is critical in our strategy to drive both economic growth and development in our province, and in achieving our economic growth target of 3%,” he said.
To prevent job losses, the provincial government is engaging Eskom and private sector partners to ensure that coal-powered industries continue to operate efficiently.
The province is also prioritising investment in coal beneficiation projects to extract maximum economic value from coal before exports or energy production.
Exploring renewables without abandoning coal
Despite its commitment to coal, Mpumalanga is also positioning itself as a future hub for renewable energy. The province is attracting investments in solar farms and independent power projects as part of a dual-track energy strategy.
“Mpumalanga is well positioned and suitable for investment in solar farms and solar plants. We must exploit our competitive advantage in this sector,” Ndlovu said.
He invited private investors to fund large-scale renewable projects. This will ensure that Mpumalanga remains an energy leader even as the world shifts to green energy.
Future of Mpumalanga’s energy economy
The province’s energy future now rests on striking a balance between maintaining coal production, investing in cleaner coal technologies, and expanding renewable energy sources.
“We are going to remove the red tape and unnecessary government bureaucracy and make it easy for investors to do business with our province,” Ndlovu promised.
By keeping coal at the centre of its economy while gradually integrating renewables, Mpumalanga is crafting a pragmatic energy strategy that prioritises economic survival without ignoring global climate commitments.
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