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27 Jul 2025

South Africa Approves Six Solar Projects Totaling 1,290 MW

27 Jul 2025  by pv magazine   
The South African government has greenlit six solar projects under the seventh bid window of its Renewable Energy Independent Power Producer Procurement Programme (REIPPPP). The Department of Electricity and Energy (DEE) announced the decision, reallocating unused onshore wind capacity to solar following the initial selection of preferred bidders in December 2024.

Located in Free State province, the six solar projects collectively add 1,290 MW of capacity. Once operational, they will supply electricity under 20-year power purchase agreements, contributing to South Africa’s renewable energy goals.

Cape Town-based Red Rocket South Africa secured three projects: the 180 MW Dwaalboom 3 Solar project at ZAR 499.99 ($28.55)/MWh, the 200 MW Florida Solar Park at ZAR 506.89/MWh, and the 210 MW Virginia 4 Solar Park at ZAR 504.87/MWh. Scatec Solar Africa Pty Ltd was named the preferred bidder for the remaining three: the 240 MW Oslaagte Solar 2 and 240 MW Oslaagte Solar 3, both at ZAR 509.02/MWh, and the 220 MW Leeuwspruit Solar 1 at ZAR 514.06/MWh.

Scatec’s projects, collectively known as the Kroonstad PV cluster, have a combined capacity of 846 MW, with Oslaagte Solar 2 and 3 at 293 MW each and Leeuwspruit Solar 1 at 260 MW. The cluster’s estimated cost is ZAR 13 billion, funded by up to 90% non-recourse project debt and equity from owners. Financial close and construction are planned for 2026.

“This milestone supports our commitment to expanding renewable energy infrastructure,” said Alberto Gambacorta, Scatec’s executive VP and GM for sub-Saharan Africa. “The Kroonstad PV cluster will deliver sustainable energy and contribute to regional development.”

The DEE also identified eight additional compliant bidders for four solar and four wind projects, pending value-for-money negotiations. While bidder names remain undisclosed, these projects will further bolster South Africa’s renewable energy capacity.

In 2024, South Africa added 1.1 GW of solar capacity, following a record-breaking year for solar in 2023. The government aims to deploy at least 3 GW of renewables annually, increasing to 5 GW by 2030, supporting the nation’s transition to cleaner energy sources. These projects align with efforts to enhance energy sustainability and economic growth in the region.

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