SolarAfrica Secures R1.5 Billion Funding For 114 MW Suncentral 2 Solar Project In South Africa

SolarAfrica has secured financial close on R1.5 billion to develop SunCentral 2, a 114 MW utility-scale solar power plant in South Africa’s Northern Cape. The funding has been provided by FirstRand Bank Limited, through its Rand Merchant Bank division, and Investec Bank Limited, through its Corporate and Institutional Banking Division. The project is aimed at delivering reliable, affordable, and clean electricity to South African businesses, with the first power expected to be delivered in 2026.

SunCentral 2 is the second phase of SolarAfrica’s flagship SunCentral development. It follows SunCentral 1, which also has a capacity of 114 MW and reached financial close at the end of 2024. Along with the planned SunCentral 3 project, these developments make up Phase 1 of the SunCentral programme, which will total 342 MW. At full scale, the overall SunCentral project is expected to reach 1 GW, making it one of the largest solar initiatives in the country designed specifically for one-to-many, bilateral energy wheeling.

According to SolarAfrica, the project is focused on meeting the growing demand from businesses for dependable and predictable power. The company believes SunCentral will help reduce reliance on conventional utility power, which is often affected by tariff increases and supply uncertainty. By using a wheeling model, businesses can access clean energy generated at a central location without needing to invest in their own on-site solar infrastructure.

The SunCentral projects also contribute to strengthening South Africa’s national grid. A portion of the funding from each plant is allocated to the development of the project’s Main Transmission Substation. This substation is designed to handle up to 2 GW of renewable energy capacity, improving grid stability and allowing future renewable projects to connect more efficiently.

In addition to energy generation, SunCentral 2 includes community upliftment initiatives similar to those implemented under SunCentral 1. These initiatives focus on job creation, education, skills development, and local procurement. SolarAfrica aims to ensure that nearby communities benefit socially and economically from the project, working closely with its principal contractors to support local development.

SunCentral forms a key part of SolarAfrica’s broader renewable energy pipeline, which totals around 3 GW and is under development across South Africa. Through large-scale solar projects combined with flexible wheeling arrangements, the company is working to help commercial and industrial customers secure cleaner energy, manage long-term power costs, and support South Africa’s transition to a more sustainable energy system.