The Public Investment Corporation (PIC), which is managing assets of the Government Employees Pension Fund, Africa's largest pension fund, has invested ZAR1bn ($81m) to acquire stakes in two solar power projects in South Africa.

The state-owned PIC said it has acquired 20% stakes in the Ilanga and Xina power stations in the Northern Cape province.

PIC said that the projects are worth a total of ZAR22bn ($1.82bn).

These projects are expected to generate 200MW of power, which will be connected to the national grid.

PIC will also allow lend ZAR600m ($49.57m) for the Ilanga project.

“Electricity remains an important contributor to South Africa's economic development and, for this reason, we believe that investment in the renewable energy sector is critical," PIC CEO Daniel Matjila told Bloomberg.

South Africa is looking for alternative means to meet its power requirements, which explains its investments into the renewable sector.

This investment comes at a time when the country is suffering rolling blackouts and power outages.

Up to 95% of South Africa’s electricity is currently generated by Eskom’s coal-fired power stations, according to government figures.

Eskom is facing problems, including poor performance of power stations, delays in bringing in the new Medupi station, and cash flow problems.

Last week, Public Enterprises Minister Lynne Brown suspended four senior Eskom executives, including its CEO Tshediso Matona.

Though Eskom is rushing to turn new plants operational in order to meet South Africa's growing power demands, the coal fired facilities are expected to take a longer time for construction.

South Africa’s government continues to express concern about the “disruptive effect” power outages are having on households and businesses.

“The lack of sufficient capacity to meet the country’s energy needs remains a challenge and all attempts are being made to ensure that we overcome the tight energy situation,” the government said.

As of November 2013, South Africa was rated as the twelfth most attractive investment destination for renewable energy, according to the South African government.