< Go Back

Largest wheeling project in South Africa is officially commissioned

July 30, 2024

Selemela Solar Park, the largest wheeling project in South Africa, was officially commissioned in Lichtenburg, North West, on 16 July 2024.

The project consists of two recently completed solar energy plants outside the town of Lichtenburg, generating 126MWp and 130MWp, respectively.

The solar PV plants comprise over 390,073 bifacial solar modules on single-axis trackers, covering a total area of 430 hectares, and generating 593,721MWh of renewable energy annually.

This is enough to power over 80,000 households with electricity. The project will see over 420,760 tons of carbon dioxide emissions being avoided annually.

The country’s only operational utility-scale renewable wheeling plant, totalling 268MWp, with an additional 325MWp currently under construction. Photo: Supplied

The projects will provide clean energy to mines in Kwa-Zulu Natal and the Western Cape through a wheeling agreement with the Eskom Transmission Network.

Delivering more than 200MW of renewable energy, the project will likely inject at least R200 million into the South African economy and create hundreds of job opportunities.

The projects are also among the first renewable energy wheeling facilities to deliver power to the network, and they are the largest in South Africa.

Wheeling projects bring opportunity to hundreds

The renewable energy wheeling project began construction in September 2023.

Wheeling is the transfer of electrical power between grid or network service areas. It allows businesses to purchase private, clean power while supporting state utility Eskom.

This is one of the first major solar projects built outside the Northern Cape province, a traditionally preferred location due to grid capacity issues necessitating the search for alternative locations.

Speaking at the official opening, SOLA Group MD Commercial Jonathan Skeen said that the project symbolised a significant milestone for energy delivery in South Africa.

These are the first projects of this size that have been commissioned since the licensing cap was lifted. It also symbolises an example of public-private partnerships working in unison to deliver results that benefit all of South Africa.

Delegates from Eskom, SAPVIA, various governmental departments, and financial institutions like Nedbank, ABSA, and Standard Bank attended the ribbon-cutting ceremony.

Simon Haw, SOLA Group Executive Head of Business Development and Jennifer Guenther, Tronox Chief Sustainability Officer, Head of Investor Relations & External Affairs, cut the ribbon for the official opening of the Selemela Solar Park. Photo: Penelope Masilela

Managing Director of SOLA Asset Katherine Persson said the next best province to consider was the North West, as it benefits from good solar irradiation, suitable land, and the grid connection needed for a project of this size.

“When selecting a site, we also identified that there was real benefit that could be transferred to the community in this region,” Persson said.

This project in Lichtenburg has generated value for the North West community by creating 789 temporary jobs, employing 147 workers through SMMEs, bringing 700 contractors, spending over R200 million and offering 305 education opportunities.

Potential breakthrough for future wheeling projects in South Africa

The North West provincial economy is drawing enormous benefits from solar projects planned for the province. In another such project, construction of a neighbouring R1.9bn project is well underway.

The provincial government in the North West implemented a renewable energy strategy in 2012 to enhance the environment, reduce climate change impact, alleviate energy poverty, promote economic growth and create jobs in the green economy.

The project will see over 420,760 tons of carbon dioxide emissions being avoided annually. Photo: Penelope Masilela

The implementing company also established a stakeholder engagement structure with the local community to ensure long-term project sustainability and success by facilitating effective communication with key stakeholders.

This project has been seen as a potential breakthrough for the private energy market and it has paved the way for more projects like it.

The project’s purpose is to fulfil the obligations of a bilateral electricity sales agreement between SOLA Group and Tronox Mineral Sands, which is highly energy intensive.

EPC work was executed by WBHO and SOLA Build Joint Venture. SOLA Build performed the design, engineering, procurement, and commissioning services, and WBHO performed the construction.

Wheeling in South Africa – FAQs

What is wheeling?

Wheeling is the transportation of electric energy from within an electrical grid to an electrical load outside the grid boundaries.

How does wheeling work in South Africa?

Eskom delivers energy from a generator to an end-user located in another area through the use of its Eskom distribution or transmission networks.

What is a wheeling charge?

Wheeling charges are standard tariff charges raised to all parties that use the grid.

What are the benefits of wheeling?

Wheeling allows you to buy clean, private power while still supporting state utility.

About the author

ESI Africa
Content Team
ESI Africa is the global leader in disseminating African utility, energy, power, mobility and water market news and insights. We provide over 50,000 professionals with renowned high quality and insightful editorial, equipping them with essential information to drive their own businesses.
Contact Us

Want to Generate Opportunities?

VUKA is the trusted media partner to key professionals, policy makers, suppliers and
manufacturers. We provide unparalleled opportunities for industry-wide connection.