- Energy trader POWERX and Yellow Door Energy have signed 24.5MW solar power purchase agreement (“PPA”).
The project, situated in Leeudoringstad, North West Province, will supply renewable energy under the PPA to POWERX who in turn will supply this electricity to its customers via the national grid. More than 40 000 solar panels will be installed, generating 57.5GWh of renewable energy in the first year of operation, offsetting 59 800 metric tons of carbon emissions.
The project will see the installation of a 43km overhead electrical line to connect the solar park to an Eskom substation, enhancing grid infrastructure and facilitating access to green electricity in the North West Province. Over 500 jobs will be created through numerous contractors, suppliers and manufacturers, with significant contribution to social and community development. Construction will begin by mid 2025, with commissioning expected in 2026.
As the independent power producer (“IPP”), Yellow Door Energy is responsible for financing, designing, constructing, commissioning, operating, and maintaining the Naledi Ya YDE Solar Park throughout the term of the PPA. Businesses are increasingly opting for the PPA model rather than investing their own capital in alternative energy solutions. This model enables companies to significantly reduce energy costs without their own upfront investment or operational risks, while focusing on their core operations and benefiting from green, reliable and cost-competitive electricity.
Author: Bryan Groenendaal
