SolarAfrica Secures Funding for 342MW SunCentral Solar Phase

SolarAfrica has secured financing for the final 114-megawatt (MW) facility in the first phase of its 1-gigawatt SunCentral solar project, clearing the way for the full 342MW first phase to move towards delivery.

The commercial and industrial renewable-energy company said it had reached financial close on SunCentral 3, with funding provided by RMB and Investec Bank.

The latest close completes the financing and development arrangements for the first three facilities, each with a capacity of 114MW. Together, they will provide 342MW of solar generation to be wheeled through South Africa's national electricity grid.

SolarAfrica expects the first 114MW facility to begin commercial operations in the second half of 2026.

The development comes as South African businesses increasingly turn to privately developed renewable generation to improve energy security, manage electricity costs and reduce exposure to carbon-intensive power.

SunCentral strengthens private power supply through grid wheeling

SunCentral is located between Hanover and De Aar in the Northern Cape and is being developed as a utility-scale solar PV project serving multiple customers through a one-to-many wheeling model.

SolarAfrica has already completed a R1.35-billion main transmission substation that will connect electricity generated by the project to the national grid.

The substation is expected to be handed over to the state-owned National Transmission Company South Africa and will form part of the infrastructure needed to connect additional renewable generation to the grid.

SolarAfrica CEO David McDonald said the completion of financial close for Phase 1 puts the company closer to supplying businesses with large volumes of renewable electricity.

The company added that demand for such projects is being driven by businesses seeking greater certainty over their electricity supply and costs while reducing their carbon footprint.

The first phase is also significant for the wider development of South Africa's wheeling market, which allows electricity generated at one location to be delivered to customers elsewhere through the national grid.

SolarAfrica moves toward storage-backed expansion

With financing secured for SunCentral 1, 2 and 3 over the past 18 months, SolarAfrica has already started work on the project's second phase.

Development activities are under way for SunCentral 4, with future phases expected to increasingly combine solar generation with battery energy storage systems.

The addition of batteries would allow electricity generated during periods of strong sunlight to be stored and supplied later, including during periods when demand and electricity prices are higher.

McDonald stated that the hybrid approach could increase the share of renewable electricity available to customers while also reducing the concentration of solar generation around the middle of the day.

The expansion of SunCentral forms part of a broader generation pipeline aimed at serving commercial and industrial customers across sectors including mining, manufacturing, automotive, data centres, retail and corporate parks for SolarAfrica.