DEALS Enabling the Just Energy Transition through captive power generation Absa | Corporate and Investment Banking > Insights and Events > Enabling the Just Energy Transition through captive power generation SHARE As a leading Pan-African bank, Absa continues to prioritise financing of renewable energy projects, helping our clients transition to a low-carbon economy and achieve their sustainability goals. Our innovative investments in the renewable sector demonstrate our commitment to shaping Africa’s growth and sustainability, and the development of its people. We are proud to have provided financing and corporate banking services to SOLA Group (‘SOLA’) for their third utility-scale renewable energy captive power project. Absa CIB acted as a Mandated Lead Arranger, Lender, Account Bank and Hedge Provider in the recently concluded renewable energy project to finance a 100MW Solar photovoltaic (PV) power plant located in the North-West Province, South Africa, at an estimated project cost of approximately R2.5bn. SOLA is a 100% South African vertically integrated Independent Power Producer (IPP) founded in 2008. They have developed and operated competitive renewable energy projects across various technologies including utility-scale and C&I solar PV, micro-grid and Battery Energy Storage Systems in South Africa. The power generated by the power plant will be supplied to African Rainbow Minerals Platinum (‘ARM Platinum’) under a 20-year power purchase agreement (‘PPA’). Once operational, the project will be able to supply electricity through a wheeling arrangement with Eskom to three of their mining sites located in Limpopo. This will account for about a third of the division’s energy requirement. This private offtake agreement will reduce electricity costs for ARM Platinum whilst simultaneously reducing its carbon footprint, resulting in economic, social and environmental gains. Contact: Xoli Nene Or Shaun Moodley https://cib.absa.africa/wp-content/uploads/2020/07/file_example_MP3_700KB.mp3 Related Articles DEALS Economic growth that supports local communities We are pleased to have acted as a Joint Mandated Lead Arranger, Coordinator, Account Bank, Facility Agent and Security Agent for a USD 80m Borrowing Base Facility to Volcafe, the coffee division of the global ED&F Man Group, to finance their East Africa coffee operations. Read more DEALS Supporting Sustainable Commercial Property Finance Solutions We are pleased to have acted as Lender and Sustainability Coordinator for Vukile Property Fund Limited’s R1.1 Billion green and sustainability-linked loans. Read more DEALS Supporting Growth in Global Fashion Retailing We are pleased to have acted as Joint Mandated Lead Arranger and original lender for TFG Brands (London) Limited’s £90m revolving credit facility. Read more