SOLA Group, a South African independent power producer (IPP), linked to Africa’s pioneering Black billionaire, Patrice Motsepe, is set to build a R2.5 billion ($132 million) solar facility in the North West Province of South Africa. This ambitious project marks a significant step forward in Africa’s renewable energy landscape.
Through African Rainbow Energy, Motsepe, who notably became the first Black African billionaire on Forbes’ list in 2008, owns an indirect 40-percent stake in SOLA Group. This reflects his commitment to advancing sustainable energy solutions.
In a move aimed at expediting the project, which stands as SOLA Group’s third-largest renewable energy endeavor in the past six months, adding up to a total of 390MW under construction, equivalent to a staggering 588,000 solar panels sprawled across 750 hectares, the company has successfully secured agreements with prominent banks to finance the construction of the substantial 132MWp solar project.
This solar project, jointly owned by SOLA Group and African Rainbow Energy, with lending support from financial institutions including Absa, Standard Bank, Development Bank of Southern Africa, and Nedbank, will play a pivotal role in providing energy to platinum mining operations overseen by Patrice Motsepe’s African Rainbow Minerals (ARM).
The project will be executed through a long-term power purchase agreement, utilizing the national grid to efficiently channel power to various mining sites.
This latest venture, accompanied by two additional projects currently underway in the North West Province, has injected R6.4 billion ($337.5 million) of investments into the region. This notable influx of capital underscores African Rainbow Energy’s commitment to renewable energy, now boasting investments in one gigawatt of renewable energy projects.
Simultaneously, Motsepe is fortifying his presence in the renewable energy sector through strategic investments made by his investment holding company. The recent acquisition of a minority stake in GoSolr, a Johannesburg-based residential solar energy company, signifies a milestone for Motsepe, his company African Rainbow Capital (ARC) and GoSolr.
The acquisition, finalized for an undisclosed sum, aligns with ARC’s steadfast commitment to fostering sustainable energy solutions across the African continent.
