Long-Term Energy Partnerships For A Stronger South Africa 

Enpower Trading and SolarAfrica Energy have signed an offtake agreement that will deliver up to 100MW of renewable power supply – the equivalent energy consumption of about 60 000 households or 240 000 people. 

Being the first energy trader to secure a licence from the National Energy Regulator (NERSA) in over a decade, Enpower Trading alongside SolarAfrica, will play a critical role in accelerating private investment through new generation capacity, putting the power back in the hands of South African consumers. 

SolarAfrica, market leaders in state-of-the-art energy solutions, has evolved from a specialist provider of rooftop photovoltaic systems, to a full-service provider of Capex-free green energy solutions ranging from solar and battery storage options through to wheeling to the C&I market. 

SolarAfrica’s latest solar development further positions the business as a competitive player in the newly enabled wheeling space – which facilitates the transport of power across the national and municipal grid networks to be consumed in another location.

“Having signed similar deals with end consumers, we’re excited about the dynamic that trading brings to our business and the market. Trading entities are a new market for us; the value of aggregation allows IPPs to benefit from economies of scale and essentially provides bankability for smaller consumers to gain access to renewable energy on a larger scale. We look forward to signing more agreements of this nature as the market expands” says SolarAfrica CEO, David McDonald. 

The 20-year power purchase agreement (PPA) is the first contract secured for Enpower Trading to provide access to cleaner, more affordable power for all. 

Not only will the PPA assist Enpower Trading to deliver a utility-scale green energy solution, but will alleviate the generation shortfall in South Africa and reduce the need for loadshedding over time; it also exemplifies the trading model which facilitates the transportation of electricity on behalf of Independent Power Producers (IPPs) to multiple off-takers. A business model premised on ensuring municipalities that operate on the local distribution grids remain revenue-neutral while providing customers with reduced energy tariffs. 

“This is the first step toward unleashing the merchant market where demand is met through dynamic trade. We are excited to demonstrate the risk reduction that the trading model brings to SolarAfrica as an IPP, by providing a diversified customer pool, alongside energy contracts that are more flexible and affordable for the South African market” says Enpower CEO, James Beatty. 

Enpower Trading is committed to creating long-term, mutually beneficial partnerships that drives both local economic development and improves the livelihood of South Africans. Enpower Trading and SolarAfrica in partnership, set out to provide unique and innovative energy supply solutions for a more sustainable South Africa.