R5-billion construction of massive solar farm begins

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27-06-2024
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SolarAfrica Energy has broken ground on a R5-billion development that will form phase one of a utility-scale solar project in the Northern Cape, according to energy expert Chris Yelland.

The project’s first phase will total approximately 343MW of generation capacity, with phases 2 and 3 set to increase this to 1,000MW.

Once complete, the solar farm will be the largest in South Africa. Currently, the largest solar farm in the country is Solar Capital’s De Aar compound, which has a capacity of 175.26MW split across two sites.

“Construction has begun on a R5 billion development, marking Phase 1 of a utility-scale project,” Yelland said in a post on X (formerly Twitter).

“Known as SunCentral, Phase 1 of this project will total around 342MW in generation capacity, with Phases 2 and 3 bringing the total size to 1,000MW.”

SolarAfrica Energy CEO David McDonald said a project of this magnitude wouldn’t have been possible without Eskom’s dedication to partnering with the private sector.

“Over the past decade, Eskom has found new and tangible ways of making wheeling a reality in South Africa,” said McDonald.

Eskom launched virtual wheeling in August 2023, signing its first deal with Vodacom. The power utility’s former CEO, André de Ruyter, first announced the initiative in September 2022.

“Vodacom wants to start their own green power generation for their towers, but how do they get the electricity to the towers? That is where we will come in,” said De Ruyter.

Essentially, virtual wheeling enables industrial and commercial customers connected to Eskom and municipal networks to source electricity from renewable independent power producers.

De Ruyter said Vodacom’s initiative formed part of government and Eskom’s shorter-term plans to unlock additional generation capacity from South Africa’s private sector.

Such agreements could benefit South Africa’s businesses and residents regarding electricity pricing. Virtual wheeling is expected to make pricing determinations more rational and market-driven.

At the same time, diversification and competition in electricity generation was expected to lead to more abundant and reliable electricity supply.

SolarAfrica Energy said SunCentral will provide power on a one-to-many basis, allowing businesses to access cheaper, cleaner energy through wheeling.

A lot of interest has been shown in the project’s first phase, with companies like Vantage Data Centers, Attacq, and Enpower Trading having already signed on.

“With Phases 2 and 3 in the pipeline, there will be even more opportunities for businesses to sign up,” added SolarAfrica Energy.

“SunCentral is now poised to harness this potential to its fullest extent, contributing to a sustainable energy supply for our customers, and the broader communities,” added McDonald.

The project will mark a notable step up for South Africa’s solar power generation. Once completed, it will be nearly six times larger than Solar Capital’s De Aar project — the country’s largest solar power operation.

The Solar Capital De Aar compound is split across two solar power plants — De Aar and De Aar 3 — producing 85.26MW and 90MW, respectively.

The 175MW combined generation can provide approximately 75,000 homes with electricity annually.

The first phase, Solar Capital De Aar, was completed in August 2014, and Solar Capital De Aar 3 became operational in April 2016.

Their construction took 28 months, and construction costs amounted to R4.8 billion.

While there are solar power plants in South Africa with a greater singular output than the De Aar compound, its combined generation is currently unmatched.