Scatec Secures Preferred Bidder Status for 846 MW Solar Project in South Africa

Scatec ASA has been awarded preferred bidder status for an 846 MW solar power cluster under South Africa’s seventh bid window of the Renewable Energy Independent Power Producer Procurement Programme (REIPPPP). The award, announced by the Department of Electricity and Energy (DEE), follows the reallocation of capacity from onshore wind to solar PV within the current round.

Known as the Kroonstad PV cluster, the project is located in the Free State province and comprises three large-scale solar farms: Oslaagte Solar 2 (293 MW), Oslaagte Solar 3 (293 MW), and Leeuwspruit Solar (260 MW). Once operational, the projects will deliver clean and reliable electricity through 20-year Power Purchase Agreements (PPAs).

The estimated total investment for the cluster is approximately ZAR 13 billion (USD 735 million). Up to 90% of the financing will be secured through non-recourse project debt, with the remainder covered by equity contributions from the project owners.
“It excites me to announce another important milestone for Scatec in South Africa and for the country’s renewable energy transition. The Kroonstad PV Cluster represents a significant addition to Scatec’s growing renewable energy footprint in Sub-Saharan Africa. Being selected once again under the REIPPPP reaffirms our role as a trusted partner and a leading developer in the region. We commend the government’s continued commitment to enabling clean, secure, and affordable energy,” says Scatec CEO Terje Pilskog.

“I am proud to announce Scatec’s largest megawatt award to date in South Africa, which is a testament of our organisation’s strong track record, capabilities and competitive edge. South Africa is one of our core markets and we are dedicated to continuing to grow our renewables capacity in the country in alignment with the nation’s energy transition agenda. 

We are now looking forward to reaching financial close and start construction of the PV cluster during 2026,” says Alberto Gambacorta, EVP and GM for Sub-Saharan Africa.