Company says it’s a pivotal step in accelerating the country’s decarbonisation agenda
PIC approves landmark gas strategy to power South Africa’s energy transition
27 November 2025
The Public Investment Corporation (PIC) has approved a landmark Strategy on Natural Gas, marking a pivotal step towards bolstering South Africa’s energy security and accelerating the country’s decarbonisation agenda. The strategy is engineered to help secure a stable gas supply, directly supporting South Africa’s critical transition towards cleaner energy sources. Crucially, this initiative aligns with the National Development Plan (NDP), the Draft Gas Masterplan, and the Integrated Resource Plan (IRP), all of which advocate for significant investment in natural gas.
The PIC strategy provides for direct and indirect investments into midstream and downstream regional gas projects. Each investment will be rigorously assessed on a project-by-project and risk-adjusted basis, ensuring sustainable financial returns for client investment portfolios.
The strategy is built upon five core components:
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Investment in Gas Infrastructure: The strategy outlines significant potential investments in gas infrastructure to support South Africa’s transition towards cleaner energy sources. The PIC believes targeted investment in gas will further unlock other opportunities for developing renewable energy. Moreover, substantial investments will be crucial for achieving economies of scale in anticipation of the Department of Electricity and Energy’s stated objective to procure gas at a load factor of 50%.
