- Eskom is exploring Bitcoin mining, AI, and data centers as new revenue sources to offset declining electricity sales and rising competition from renewable energy in South Africa.
- Facing mounting debt and potential load shedding, the utility aims to repurpose its excess baseload to support energy-intensive technologies.
South Africa’s national power utility, Eskom, is exploring new opportunities in Bitcoin mining, artificial intelligence (AI), and data centers as part of a strategy to secure its financial future. With traditional electricity sales declining and debt levels climbing, the utility is turning to energy-intensive technologies to make better use of its existing capacity.
Eskom’s Strategy: Embracing Bitcoin Mining and AI
Speaking at the BizNews Conference, Eskom CEO Dan Marokane revealed that Bitcoin mining and data centers are creating strong demand for electricity in global markets, especially in the United States. Eskom hopes to tap into this trend as South Africa sees more households and businesses adopt independent renewable energy solutions. This shift has led to a 4% drop in Eskom’s electricity sales last year, with continued decline expected for the next three to five years.
By embracing energy-hungry technologies like Bitcoin mining, Eskom aims to boost usage of its baseload power—output that would otherwise go unused—as more customers disconnect from the national grid.
Bitcoin Mining: A High-Power Opportunity
Bitcoin mining operates on a proof-of-work system that requires solving complex algorithms using massive computing power, making it highly energy-intensive. Cheap and stable electricity is a critical factor for miners, which is why regions like Texas have seen rising electricity demand from both data centers and crypto mining firms.
Marokane believes Eskom can use its existing infrastructure to attract similar operations, helping offset revenue losses and service mounting debt. Currently, Eskom owes ZAR403 billion ($22.7 billion), while municipal debts total another ZAR90 billion ($5.1 billion). Projections show that total debt could rise to ZAR3.1 trillion ($174.5 billion) by 2050 if no major changes are made.
Ongoing Power Challenges in South Africa
Despite planning for a future with lower grid demand, Eskom still faces a fragile power system. From June 13 to 19, 2025, the utility reported average unplanned outages of over 15,000 MW. This crosses the threshold that could trigger Stage 2 load shedding for up to 21 days—meaning power cuts of 2 to 4 hours a day.
Eskom’s plan to integrate Bitcoin mining in South Africa may help turn the tide by utilizing excess electricity while addressing long-term financial sustainability. However, with the national grid under constant pressure, balancing innovation with reliability will be key.
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