Terra Firma Launches R1.3bn solar PV programme in South Africa

Renewable energy company Terra Firma has unveiled an ambitious large-scale solar energy programme aimed at providing customers with wheeled energy starting in August 2026. This R1.3 billion initiative will deliver a total of 110 MW of wheeled energy services upon completion.

CEO Grant Berndsen emphasized that the project is designed to offer the lowest-cost electricity in light of rising tariffs from Eskom, which are projected to increase significantly. The initiative aims to provide commercial and industrial clients—particularly in sectors like manufacturing, mining, and digital infrastructure—cost-effective renewable energy via Eskom's grid.

Berndsen noted, “Wheeling will be essential for South Africa's evolving energy sector, delivering significant benefits that align with national energy and sustainability objectives.”

Terra Firma is concurrently developing two solar PV projects in Gauteng: the 87 MW Hammanskraal and 23 MW Rietfontein plants. These wheeling projects will connect to Eskom's distribution network, allowing clients with power purchase agreements (PPAs) to enhance their low-carbon energy supply through flexible off-site solutions.

Eskom is currently contemplating a 35.15% price hike for direct customers and 43.55% for municipal clients by mid-2025. Berndsen indicated that the wheeling projects could offer customers discounts of up to 40% on their current energy expenses.

The company is in discussions with clients to create long-term energy strategies that combine embedded solar and battery storage with wheeled energy for their daytime operations. Berndsen remarked, “We will leverage our experience in commercial solar projects and our smart metering platform to provide a top-tier energy wheeling service.”

Energy wheeling allows energy producers to deliver electricity generated at one site to consumers located elsewhere. As part of this offering, Terra Firma plans to implement smart metering systems at both customer sites and generation facilities. The energy produced will be reconciled against the monthly utility tariffs, ensuring significant savings for customers.

With investments in advanced metering solutions, the company aims to enhance energy management visibility and control. Berndsen added that this data-driven approach would empower customers to make informed decisions and integrate innovative technologies for improved operational efficiency.

Terra Firma anticipates reaching financial close by the second quarter of 2025, followed by an 18-month construction phase. Berndsen confirmed that customers will enjoy both cost savings and carbon credits for opting for renewable energy through this programme.

The company is offering flexible PPAs ranging from five to twenty years, positioning itself as a knowledgeable partner for businesses navigating the complexities of energy supply in South Africa.