R360m Springs Fresh Produce Market solar energy project takes off

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The 25.6 megawatt-peak (MWp) development will transform the market’s roof and surrounding unused land into a power-generating asset, supplying renewable electricity to the city under a 20-year power purchase agreement.

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Public and private collab

The project shows how public- and private-sector collaboration can unlock investment in municipal infrastructure, strengthen energy security, and create local employment.

The Minister of Electricity and Energy, Dr Kgosientsho Ramokgopa, and Ekurhuleni Mayor Nkosindiphile Xhakaza led the sod-turning ceremony, signalling construction under the Ekurhuleni Independent Power Producer Programme.

Once operational, the plant is expected to generate about 40 gigawatt-hours of clean electricity annually, enough to power around 6,000 average households and avoid an estimated 36,000 tonnes of carbon dioxide emissions each year.

It will connect to the Springs Bulk Substation, adding a local renewable generation source to the municipal electricity network.

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Investment and employment

The independent power producer will fund approximately R360m in capital investment, enabling development without an upfront municipal capital contribution.

The city will purchase the plant’s generated electricity over the agreement term.

The construction phase is expected to create more than 100 jobs, with permanent operations and maintenance roles supporting the plant over its operating life.

The development will bring investment and employment to Springs while making productive use of municipal property.

The project follows the National Energy Regulator of South Africa’s (Nersa) granting of a multi-year energy trading licence to BluEnergy Trading earlier this year.

For Ekurhuleni, the development will diversify electricity procurement, reduce dependence on a single supply source, and build resilience against future supply constraints.

It forms part of the city’s wider programme to bring independent power producers into its energy mix.