- Grid Africa has secured an equity investment of R50 million ( $2.8 million) from Rifuwo Energy Partners to accelerate the development of renewable energy projects across South Africa as the country faces rising energy costs.
- This development is unavoidable due to South Africa’s electricity crisis and Eskom’s proposed tariff increases of up to 43.55% by mid-2025. Eskom introduced a 13% electricity price hike in April 2024. Grid Africa intends to develop solar energy solutions to help mitigate these rising costs.
- Per Norman Moyo, CEO of Grid Africa, the “recent changes in energy security in South Africa present a unique opportunity for businesses to deploy more solar energy projects, providing a buffer against escalating energy prices.”
He stated that with the falling costs of solar technology and lithium batteries, the company can improve energy efficiency and provide peak shaving to clients, allowing them to avoid peak charges from the electrical grid.
Founded in 2015, Grid Africa is involved in solar energy solutions to advance the adoption of renewable energy across Africa. The company aims to drive a sustainable future by providing innovative solar technologies that enhance energy efficiency and reduce costs.
Grid Africa has successfully developed and maintained hybrid energy projects in countries such as Zimbabwe, Kenya, and Ivory Coast, showing its ability to operate in challenging environments.
Grid Africa recently expanded its operations into Zambia, a country experiencing frequent load shedding. This expansion underscores its commitment to providing reliable energy solutions across the region.
Recently, there have been developments and efforts toward improving renewable energy in South Africa. In October 2024, The National Transmission Company South Africa (NTCSA) committed R112 billion ($6.3 billion) to overhaul the country’s transmission grid through its ambitious Transmission Development Programme (TDP).
NTCSA plans to unlock the potential of wind, solar, and other green energy projects by investing in 30,000 MW of renewable energy capacity, which will be connected by 2029.
Terra Firma, a South African renewable energy company, announced a R1.3 billion ($73.8 million) solar project to mitigate rising electricity costs. This large-scale initiative will deliver a combined 110 MW of solar energy, leveraging the state utility Eskom’s grid via a financial model called “energy wheeling.”
This project aims to provide significant cost savings and sustainability benefits to the country’s commercial and industrial sectors, including manufacturing, extractive, and digital infrastructure industries.
Hohm Energy, a South African climate startup helping individuals and businesses transition to solar, also raised $8 million in seed funding to scale the adoption of rooftop solar in the country
