The projects include two 100 MW power plants that are set to begin construction soon. The construction timetable is 14 months, with the projects expected to be operational by the end of 2023. SOLA Group also formed a joint venture with Wilson Bayley Holmes-Ovcon (WBHO) for the asset design and construction.
SOLA Group, a South African renewables company, reached financial close on the projects earlier this month, nearly 6 months after finalising a corporate power purchase agreement with Tronox Mineral Sands. SOLA received $233 million in financing from Absa, a financial services provider, and African Rainbow Energy, a shareholder in SOLA. The projects are South Africa's largest renewable energy power plants backed by a corporate power purchase agreement, with most projects in the country receiving a government-subsidized tariff awarded through a competitive tendering process.
The projects were greenlit in May 2022, following a regulatory change under the national Electricity Regulation Act in Aug’21 that permits private energy generation of up to 100 MW to proceed without a license.
The above analysis is proprietary to Enerdatics’ energy analytics team, based on the current understanding of the available data. The information is subject to change and should not be taken to constitute professional advice or a recommendation.
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