As wind energy gains momentum, lack of grid infrastructure remains a bottleneck

INTEREST in wind energy has gained significant momentum in South Africa, driven by recent policy reforms and growing private sector demand, opening up new opportunities for investment.

- VIREN SOOKHUN

Private sector projects like Discovery Green in the Western Cape, Seriti Green in Mpumalanga, and Red Rocket in the Overberg are set to add nearly 700 MW of privately financed, wheeled wind power to South Africa's energy mix, which will significantly bolster the country's renewable energy capacity. However, the lack of grid infrastructure could prove to be a stumbling block in unlocking this potential, as there is a current shortage of transmission capacity to connect these new wind projects to the national grid.

Unlocking opportunity

Wind power was under-represented in the latest government procurement rounds, as they focused heavily on solar. However, there remains a massive opportunity for wind power to contribute meaningfully to South Africa's energy mix and large-scale, privately financed projects are emerging to take advantage.

Among them is the Overberg wind farm, developed by Red Rocket in the Western Cape.

With a planned capacity of 380 MW and the first 242 MW phase reaching financial close in early 2025, it will be South Africa's largest privately driven wind project once complete. The project is backed by a 20-year power purchase agreement with Richards Bay Minerals and will deliver power through a wheeling arrangement on Eskom's grid.