By: African sustainability matters

South Africa has commissioned the 273-megawatt Grootfontein solar project in the Western Cape, a major addition to its power system. Developed by Norway's Scatec ASA with local partners, it is the first facility to become fully operational from the country's fifth round of its renewable energy procurement program (REIPPPP).

Located 150 kilometers northeast of Cape Town, Grootfontein is now the largest co-located solar plant in the Western Cape. Its completion is a significant milestone for South Africa, which continues to face severe electricity shortages and an urgent need to diversify away from coal. The project is expected to generate around 700 gigawatt-hours of electricity annually—enough to power over 180,000 homes—and will reduce carbon emissions by approximately 630,000 tonnes each year.

The project's structure reflects the REIPPPP's emphasis on local participation and economic inclusion. Scatec holds a 51% stake, while South African Black Economic Empowerment firm H1 Holdings owns 46.5%, and a local community trust holds the remaining 2.5%. Power is sold to state utility Eskom under a 20-year agreement, providing stable revenue.

Despite its success, Grootfontein highlights ongoing challenges, particularly grid constraints. South Africa's transmission network requires massive upgrades—estimated at R400 billion—to integrate new renewable capacity from high-resource areas like the Western Cape.

The project reinforces South Africa's role as a benchmark for renewable energy development in Africa, demonstrating that large-scale solar remains a cost-effective solution even amid global supply chain pressures. While not a singular fix for the country's power crisis, each new renewable facility reduces reliance on unstable coal plants and paves the way for a more resilient, low-carbon energy future.