globeleq and African Rainbow Energy finalize the financing of the largest autonomous battery energy storage project in Africa, mobilizing ZAR 5.4 billion ($300 million) from Absa and Standard Bank in South Africa.

The agreements were signed with Energy Minister Dr. Kgosientsho Ramokgopa and the National Transmission Company South Africa (NTCSA), on the sidelines of the Africa Energy Forum. Absa and Standard Bank provided approximately $300 million in financing. China Energy Engineering Corporation will lead the engineering and procurement, while Sungrow will provide the technology and provide maintenance. Nearly 250 jobs are expected during construction and 80 during operation, with priority given to local labour.

The site, which will cover five hectares, will supply the national grid under a 15-year power purchase agreement with the NTCSA. Improvements will be made to the latter's infrastructures as well as those of Eskom, the public operator, to reduce network congestion

Jonathan Hoffman, the CEO of Globeleq, commented: “The financial closure of Red Sands BESS is a crucial step in the realization of the largest autonomous battery storage project in Africa. With the strong support of Absa and Standard Bank, and the support of our public and private partners, we are advancing a more resilient and low-carbon electricity system