The City of Cape Town is looking at waste to reduce its reliance on national electricity utility Eskom.

The metro municipality is calling for tenders (closing on 29 May) from waste-to-energy independent  power producers (IPPs) to provide the city with at least 5 MWac through power purchase agreements (PPAs) of up to 20 years, according to a report in Engineering News.

The City says multiple PPAs may be awarded depending on technical and financial feasibility.

The IPPs must provide their own feedstock and can use new-build or existing power plants that employ proven utility-scale waste-to-energy technology.

The plant need not be located in the metro but the IPPs must cover all applicable connection and wheeling costs, and they must adhere to all grid connection standards.

‘As it is our single largest input cost, it is vital that we identify ways to reduce how much Eskom affects electricity prices, to protect residents and businesses from rising electricity costs and the overall cost of living,’ says Xanthea Limberg, the City’s mayoral committee member in charge of energy.

The City spends roughly 70% of its tariff income to buy bulk energy from Eskom.

The municipality switched on its new R93 million-plus Coastal Park Landfill gas-to-energy plant in November last year.

14 April 2026
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