- UCT becomes the first South African public university to sign a long term renewable energy power purchase agreement with an energy trader.
- Discovery Green will supply renewable electricity covering 90% of the university’s Main and Health Sciences campuses from Q3 2027.
- Partnership also includes funding for research, scholarships and skills development to support South Africa’s energy transition.
The University of Cape Town (UCT) has signed a landmark long term renewable electricity supply agreement with Discovery Green, establishing the first power purchase agreement (PPA) between an energy trader and a public higher education institution in South Africa.
The agreement forms part of a broader strategic partnership aimed at advancing renewable energy adoption, research and skills development, while providing a model for how public institutions can participate in the country’s energy transition.
Under the deal, Discovery Green will convert 90% of the electricity consumption at UCT’s Main Campus and Health Sciences Campus to renewable energy for a period of nearly 10 years, with supply scheduled to commence in the third quarter of 2027. UCT joins more than 50 organisations whose wheeled renewable energy supply is managed by Discovery Green.
The agreement is expected to make a significant contribution to UCT’s sustainability goals by reducing Scope 2 emissions linked to electricity consumption by approximately 90%, supporting the university’s long term environmental sustainability strategy.
Professor Mosa Moshabela, UCT Vice Chancellor, said the agreement represents a major step in reducing the institution’s carbon footprint while strengthening collaboration in research and skills development.
“UCT is thrilled to have entered this groundbreaking agreement with Discovery Green to wheel renewable energy. This will support the university’s strategic plan to reduce its carbon footprint over the 10 year period,” he said.
He added that securing renewable electricity at scale would help reduce the university’s environmental impact while supporting South Africa’s broader sustainability objectives through research and skills development.
According to Andre Nepgen, energy procurement has evolved from an operational requirement into a strategic priority for large organisations facing electricity supply constraints, rising energy costs and increasing pressure to decarbonise.
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“Our platform is built for energy complexity and scale, suitable to address the university’s current challenges and offer superior long term value,” Nepgen said.
The agreement highlights the growing role of renewable energy wheeling in enabling organisations to manage energy costs, improve supply resilience and achieve sustainability targets within South Africa’s existing electricity market framework.
UCT’s Director of Environmental Sustainability, Manfred Braune, noted that the university’s extensive portfolio of heritage buildings limits the amount of rooftop solar PV that can be installed on campus.
As a result, UCT has turned to off site renewable energy procurement through wheeling arrangements. Under the agreement, renewable electricity generated by multiple solar and wind farms connected to Discovery Green’s portfolio will be injected into the national grid. While the physical electricity generated by these facilities does not flow directly to UCT campuses, the university receives financial credits reflecting the value of renewable energy supplied relative to Eskom tariffs.
Beyond energy supply, the partnership includes collaboration on research, innovation and skills development initiatives in energy, engineering and sustainability.
Discovery Green will support selected scholarships within UCT’s engineering and actuarial science faculties, helping develop the specialised skills required to drive South Africa’s energy transition.
Moshabela said the university is particularly encouraged that the partnership extends beyond renewable energy procurement to include annual funding for energy related research and undergraduate scholarships.
Author: Bryan Groenendaal
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