Editor: Before you read, on consider this – we are all ‘gatvol’ of the ever increasing costs of electricity. If Eskom can reliably demonstrate that the building of nuclear plants will put a stop to rising electricity costs then this time around this initiative will probably succeed. Read this – What it Costs Eskom to Produce and Deliver Electricity – to get a better understanding of where I am coming from. And scroll down to the bottom for a synopsis of why Thyspunt 3.0!
The Coega Development Corporation (Coega) and Eskom Holdings SOC Ltd, today, formally signed a Memorandum of Understanding (MoU) establishing a strategic framework for cooperation in support of South Africa’s Nuclear New Build Programme (NNBP). The MoU sets out the basis for collaboration between the two state-owned entities across key focus areas, including infrastructure development, industrialisation and localisation, regulatory and site readiness, skills and supplier development, logistics coordination, and socio-economic investment initiatives.
All cooperation will be undertaken within a comprehensive legal and regulatory framework that prioritises safety, environmental integrity, and fiscal accountability.
Eskom, as South Africa’s designated owner and operator of nuclear generation assets, plays a central role in the implementation of the NNBP. Through this MoU, Coega will act as a catalytic enabler by leveraging its expertise in large-scale infrastructure development, investment facilitation, Special Economic Zone (SEZ) management, skills development, and enterprise and supplier development to support nuclear deployment objectives.
Speaking at the signing ceremony, the Chief Nuclear Officer of Eskom, Mr. Velaphi Ntuli, said the partnership marks an important milestone in strengthening institutional collaboration in support of long-term energy security.
“The signing of this MoU between Eskom and the Coega Development Corporation is not merely a formal agreement but a statement of shared intent and signals an alignment between two strategic state entities unifying around a strategic priority. It signifies our unified approach in dealing with socio-economic issues under a sound regulatory framework.
The Nuclear New Build Programme is about more than megawatts; it is about industrialisation, organisation, skills development, but most importantly, inclusive economic growth executed safely, transparently and within the rule of law. We believe that Coega brings proven capability in infrastructure development and investment facilitation, as a catalytic enabler of the Nuclear New Build Programme. Let’s ensure that the agreement moves us from vision to tangible outcomes for the people of South Africa,” Mr. Ntuli said.
The MoU recognises Coega’s proven track record in executing complex infrastructure projects, facilitating industrial development, and enabling localisation and supplier participation. Through this collaboration, the parties will work jointly to advance site readiness initiatives, logistics and laydown area development, documentation and configuration management, environmental compliance, spatial planning, and the development of a competitive domestic nuclear value chain.
The Chief Executive Officer of the Coega Development Corporation, Mr. Themba Koza, said the agreement positions Coega as a key strategic partner in supporting South Africa’s nuclear ambitions.
“This MoU affirms Coega’s catalytic role in enabling strategic national programmes. By aligning our infrastructure development capabilities, SEZ platform, project management expertise, and socio-economic development mandate with Eskom’s nuclear programme, we aim to ensure that the Nuclear New Build Programme delivers inclusive growth, localisation, skills development, and sustainable economic participation, particularly for communities in the Eastern Cape,” Mr. Koza said.
Key areas of cooperation under the MoU include coordinated stakeholder engagement processes; localisation and skills development initiatives aligned with national nuclear competency requirements; development of project labour management frameworks; supplier and SMME development; mobilisation of development finance; environmental management and compliance; and the implementation of targeted social investment programmes, including education, work readiness, and life skills development initiatives.
To support effective implementation, the parties have agreed to establish a Joint Steering Committee that will provide strategic oversight, approve joint work programmes, monitor progress, and facilitate alignment on regulatory, operational, and strategic matters. The agreement will be effective for a period of three years from the date of signature and is governed by the laws of the Republic of South Africa.
Eskom has made three major formal attempts to secure the go-ahead for a nuclear power station at Thyspunt, a process that has spanned nearly two decades of environmental and regulatory hurdles.
Despite being repeatedly identified by specialists as the “preferred site” due to its superior seismic stability and geological characteristics, it has faced constant legal and political setbacks.
The Three Major Attempts
1. The “Nuclear-1” Project (2007–2017)
The most extensive attempt began in 2007 with the “Nuclear-1” Environmental Impact Assessment (EIA).
The Goal: A 4,000 MW conventional pressurized water reactor (PWR) plant.
The Outcome: After a decade-long study, the EIA team recommended Thyspunt as the superior site. However, in October 2017, the Department of Environmental Affairs (now DFFE) granted authorization to Duynefontein (next to Koeberg) instead.
The Twist: The 2017 authorization was almost immediately challenged by legal appeals. These appeals remained in a “legal limbo” for years, which effectively prevented any ground-breaking at either site.
2. The Site Licence Application (2016–2021)
While the EIA was being debated, Eskom launched a separate track through the National Nuclear Regulator (NNR) to obtain a “Nuclear Installation Site Licence” (NISL).
The Focus: This was a technical safety justification to prove the Thyspunt land was fit for a nuclear build, regardless of which specific technology was chosen.
The Outcome: Public hearings were held as recently as August 2021 in St Francis Bay and Jeffreys Bay. The NNR eventually granted the site license for Thyspunt in early 2022, which legally “banked” the land for future nuclear use, even though the actual construction was not yet authorized.
3. The Current “5.2 GW New Build” (2024–Present)
The latest attempt is currently unfolding under the new Integrated Resource Plan (IRP) 2025 and the 2026 MOU you are attending today.
The New Goal: A significantly larger 5,200 MW programme (which could include Small Modular Reactors or large-scale plants).
The Action: In March 2026, Eskom (via consultants WSP) initiated a fresh Scoping and Environmental Impact Reporting (S&EIR) process. Because the previous 2017 EIA is considered outdated and only authorized Duynefontein, Eskom is starting from scratch to get Thyspunt formally authorized for this new, larger capacity.
Summary of the “Thyspunt Paradox”
| Attempt | Year | Status | Result |
| Attempt 1 | 2007–2017 | Environmental | Recommended by experts, but Duynefontein was authorized instead. |
| Attempt 2 | 2016–2021 | Site Safety | SUCCESS. Site licence granted; the land is now officially “Nuclear-Ready.” |
| Attempt 3 | 2024–2026 | New Build | ONGOING. Fresh EIA launched to authorize the specific 5.2 GW project. |
Why Thyspunt remains Eskom’s preferred site:
- Thyspunt’s optimal geological characteristics: solid foundations, high seismic stability, and access to deep-sea water for cooling, which are critical for the safety and efficiency of modern pressurized water reactors (PWRs) or potential Small Modular Reactors (SMRs) within the 5.2 GW new-build programme.
- The mandatory fynbos dune isolation zone, which separates the facility from the ocean and creates a large ‘nuclear exclusion’ perimeter to ensure public safety and minimize impact on the local coastal ecosystem.
- Critically, Eskom secured a ‘Nuclear Installation Site Licence’, a vital milestone Eskom achieved from the National Nuclear Regulator (NNR) in 2022. This legally ‘banked’ the land for nuclear use, even though ground-breaking and the main environmental authorization for the current 5,200 MW project are still in process.
- The site has close proximity to key areas like St Francis Bay and Gqeberha, positioning it close to industrial load centers without being in a densely populated area.
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