ACED boosts Sasol’s green hydrogen efforts with wind power
18 Oct 2024
African Clean Energy Developments (ACED) has further strengthened its position in South Africa's renewable energy landscape with the successful commissioning of the 69MW Msenge Emoyeni Wind Farm. Located in the Eastern Cape, this project plays a key role in powering Sasol’s green hydrogen production. The development is the country's first large wind farm with a private offtake contract, with 16 4.5MW turbines delivering power through a long-term power purchase agreement.
ACED delivered Sasol’s first wind farm for green hydrogen
James Cumming, general manager of ACED, highlighted the competitive advantages of wind power over solar energy in an interview with Bizcommunity.
“Wind doesn't only blow during daylight hours, and that's the major benefit of wind over solar," Cumming said, pointing out the increasing demand for wind energy in the private sector due to its efficiency and steady supply.
A critical aspect of the Msenge Wind Farm is its design for longevity.
Although the project is initially set up for a 25-year lifespan, Cumming is optimistic that it could last significantly longer.
“We think, given the wind environment there and what we've seen on some of our operational projects, it’s likely that this project will last quite a lot longer than 25 years," he explained.
Playing the long game
Instead of decommissioning the wind farm at the end of its expected life, ACED plans to repower it, upgrading with more advanced turbines and technologies to ensure continued operation.
“The only time it would make sense to decommission that project would be if the technology was no longer efficient or the wind resource had diminished, which is highly unlikely,” Cumming added.
This forward-thinking approach to the lifespan of wind farms is one of the drivers behind the growing calls for more wind energy in South Africa's renewable energy mix.
Cumming explained that Msenge's power purchase agreement (PPA) is set for 20 years, but the possibility of extending the contract with Sasol or selling power to other entities beyond that period is strong.
Local content
Beyond the technical benefits, Cumming also sees the benefits of promoting local content in wind projects.
He says that while certain parts, such as turbine blades and nacelles, are typically imported due to lack of local manufacturing capacity, a significant portion of the materials and labour involved is sourced locally.
“We’re talking about in the 90s (percent) on local content spend,” he said, referring to aspects like civil works, grid connection, and substation installation.
"There's a lot of tower manufacture that happens in South Africa, either concrete or steel, but it should increase," Cumming said, stressing the need for more local production as market demand grows.
Upskilling communities
Renewables companies like ACED also play an essential role in helping South Africans enter the renewable energy sector, with skills development programmes aimed at training local technicians.
"On our operations plant, we’ve been taking wind turbine technicians through training and education, and that’s been pretty successful," Cumming noted.
However, he mentioned the challenge of retaining talent, as many skilled technicians often emigrate to countries like Australia and in Europe due to high demand in their renewable energy sectors.
Looking forward, ACED remains confident in the future of wind energy in South Africa, despite the current challenges with grid infrastructure.
“We’ve got to invest in transmission grid upgrades,” says Cumming.
What makes wind exciting is that it blows throughout various hours of the day, and by pairing wind with PV and some gas, you can really get up to baseload-like generation profiles.
As South Africa’s energy transition accelerates, ACED’s Msenge Emoyeni Wind Farm serves as a leading example of how private sector initiatives can drive both sustainability and local economic empowerment, ensuring the benefits of green energy reach communities across the country.
