Mandela University Targets 80% Renewable Power by 2027

Nelson Mandela University's renewable energy push shows how South African institutions are turning to wheeling deals to cut both costs and emissions.

South Africa's Nelson Mandela University is targeting renewable sources for about 80% of its electricity needs by May 2027, backed by a new 10-year power purchase agreement with Etana Energy and a 4.4-megawatt solar rollout across its seven campuses.

Under the plan, the university expects to purchase 50% to 55% of its electricity from Etana Energy, which will supply renewable power through the national grid, while the new solar platform is expected to cover a further 25% to 30% of campus-wide electricity needs.

The solar installation comprises more than 8,500 panels being fitted across the university's campuses in the Eastern and Southern Cape.

Wheeling deal to begin supplying power in 2027

From May 2027, Etana will wheel renewable power to participating users in the Nelson Mandela Bay Metro through the Eskom grid serving the area.

Wheeling is an arrangement under which electricity generated by an independent supplier is transmitted to a buyer using the existing grid infrastructure, allowing large customers to source renewable power without building a direct private line to the generator.

The university said the grid capacity required for the arrangement has already been secured.

Combined savings expected to exceed ZAR 10 million a year

Nelson Mandela University currently spends around ZAR 60 million ($3.69 million) a year on electricity. It expects the Etana agreement to save ZAR 2 million to ZAR 2.5 million annually, while the solar platform is projected to generate a further ZAR 8 million to ZAR 10 million in annual savings, together cutting the university's electricity costs by close to a fifth.

At a renewable electricity share of 70% to 80%, the university estimates it could cut its carbon emissions by about 12,000 tonnes a year based on current consumption levels.

The rollout builds on the university's existing renewable energy capacity. A 1-megawatt solar plant at its Summerstrand South Campus has been generating electricity since June 2019, giving the university several years of operating experience with on-site solar ahead of the larger expansion now under way.