Mining company Exxaro is developing a 70MW solar project, which will supply renewable energy to its coal operations at the Grootegeluk complex in Limpopo.
Exxaro, which is executing the project through its renewable energy subsidiary Cennergi, says this is part of its strategy of powering a clean world and wanting to lead SA’s mining sector in the energy transition to a low-carbon economy.
According to Exxaro CEO Mxolisi Mgojo, it has been the company’s vision to become a renewable energy pioneer in SA from as far back as 2009.
“As a business, we take pride in our ability to provide innovative and sustainable solutions to challenges that society and our stakeholders face. One of these challenges is climate change, a global problem which is currently disrupting livelihoods and has the potential to impact negatively on future generations,” he notes.
“We have long understood the need to balance the country’s social and economic development, which relies on coal-generated power, with the need to support the transition towards a low-carbon economy to reduce carbon emissions and the harmful impacts of climate change.”
The project, Exxaro says, will also have long-term sustainable benefits for Grootegeluk, including security of clean electricity supply, significant energy cost savings and a carbon footprint reduction.
“We are pleased to announce Exxaro Coal and Cennergi have concluded a term sheet setting out material terms upon which the power purchase agreement will be concluded,” comments Roland Tatnall, Exxaro MD for energy.
“This is a significant strategy development milestone, which constitutes a major step towards implementing Exxaro’s decarbonisation plans and progress in the Just Transition journey, as well as positively contributing to its environmental, social and governance goals.
“Through Cennergi, we not only serve an expanding renewable energy market, but we also strive to build real value for our people, the environment, economy and our shareholders.”
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