- SolarAfrica’s solar development positions the business as a competitive player in the energy-wheeling space.
- This is the first step toward unleashing the merchant market, where demand is met through dynamic trade.
Enpower Trading, an energy trading and solar energy firm SolarAfrica Energy have signed a 20-year power purchase agreement (PPA) to deliver up to 100 MW of renewable power supply, having secured a licence from the National Energy Regulator of South Africa and this PPA is the company’s first. SolarAfrica has evolved from a specialist provider of rooftop photovoltaic systems to a full-service provider of capital expenditure-free green energy solutions, ranging from solar and battery storage options to wheeling to the commercial and industrial market.
SolarAfrica’s solar development positions the business as a competitive player in the energy wheeling space to facilitate power transport across the national and municipal grid networks to be consumed in other locations. David McDonald, CEO SolarAfrica said, “Having signed similar deals with end consumers, we are 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 independent power producers (IPPs) to benefit from economies of scale. It essentially provides bankability for smaller consumers to gain access to renewable energy on a larger scale.”
James Beatty, Enpower’s CEO, said, “This is the first step toward unleashing the merchant market where demand is met through dynamic trade and 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”.