- Sappi Southern Africa and Enpower Trading are pleased to announce the successful achievement of reaching Financial Close on their groundbreaking 175 GWh per annum, five-year renewable energy Power Purchase Agreement (PPA).
Reaching financial close underscores the credibility and bankability of the five-year PPA, but also reflects the strong confidence shown by financial institutions in Enpower Trading and Sappi’s clean power solution. By facilitating Financial Close for SolarAfrica Energy’s utility scale SunCentral 1 PV plant (valued at R1.8 billion), Enpower Trading has played a pivotal role in driving the project forward, demonstrating its commitment to advancing renewable energy solutions.
The five-year PPA model offers a groundbreaking alternative to traditional long-term agreements. By providing tenure flexibility, this model has unlocked new opportunities for companies of all sizes to purchase wheeled energy. Enpower Trading’s leadership in this space has been pivotal in unlocking the potential for short-tenure PPAs to drive significant renewable energy investments.
“The power supplied through this agreement will reduce Sappi SA and Sappi Limited’s Scope 1 and Scope 2 emissions by 6% and 4%, respectively, aligning with Sappi’s Science-Based Target (SBTi) objectives and the broader goal of achieving net zero emissions.
The SunCentral PV project, operated by SolarAfrica Energy, is a cornerstone of South Africa’s renewable energy transition. As one of the country’s largest solar farms, it highlights the potential of private-sector-driven renewable projects to scale up clean energy solutions.
Author: Bryan Groenendaal
