Teraco has started construction of its 120MW utility-scale solar photovoltaic (PV) power plant in the Free State, the company announced in a statement today.
The vendor-neutral data centre provider revealed earlier this year that it will spend about R2 billion to complete the solar PV project.
In the statement, Teraco says it will own the 120MW solar PV plant and wheel the renewable energy to its data centres, with the plan to create its own sustainable energy source.
The plant is expected to come online in late 2026, according to the firm.
Teraco CEO Jan Hnizdo comments: “Driving renewable energy infrastructure investment at a time when computing applications, such as artificial intelligence, are using increased power is an industry imperative. The need is even more acute in South Africa, given its electricity generation constraints and current levels of renewable energy penetration.
“This is a significant step toward meeting our renewable energy ambitions and those of our clients. It is also only the first phase of our longer-term renewable energy commitment, with the construction commencement marking an important milestone in what has been a long journey over the last several years, and we are now looking forward to driving the project to completion.”
Teraco secured its first grid capacity allocation from Eskom for the solar plant in February. Since then, it has been finalising plant design and the wheeling arrangements between Eskom and the municipalities of Ekurhuleni and Cape Town.
The power generated will be wheeled across Eskom and municipal power networks to Teraco’s facilities across SA.
Bryce Allan, head of sustainability at Teraco, adds: “Teraco considers this project essential to achieving its renewable energy ambitions and believes it will pave the way for other municipality renewable energy wheeling projects. This will ultimately assist municipalities in attracting new investments and remaining competitive, as local and international companies become increasingly sensitive to the carbon intensity of their electricity supply.”
Teraco has partnered withJuwi Renewable Energies South Africa and Subsolar to develop the 120MW solar PV plant, with Juwi appointed to design and manage the procurement, construction and commissioning.
“Our strategy is to control our own solar project, and together with our partners, directly drive its development. This project delivers on our commitments to clients and shareholders,” notes Allan.
Teraco says when fully operational, the 120MW solar PV plant is expected to produce more than 354 000MWh annually.
Share