Sturdee Energy, a leading Southern African Independent Power Producer (IPP), is proud to announce the financial close of two 10 MW solar projects that will sell renewable energy to PPC Cement. This significant milestone means that all necessary permits, contracts and funding have been secured so that construction can commence at the Dwaalboom Solar Park in Limpopo and the Slurry Solar Park in the North West province.

A Key Step Forward for Sturdee and PPC Cement

The successful financial close cements Sturdee’s position as a prominent player in South Africa’s renewable energy landscape and also supports PPC Cement’s ongoing strategy to drive out operational costs and meet its long-term climate goals. By integrating renewable energy into its operations, PPC is demonstrating its leadership in reducing energy costs and carbon footprint—a vital move in the cement industry, which is one of the largest contributors to global carbon emissions.

Strategic and Environmental Design Considerations

The two solar parks will be constructed on PPC-owned land adjacent to their cement plants in Dwaalboom and Slurry. These ground-mounted, grid-tied solar parks will feature Array STI Norland’s latest single-axis tracking systems paired with bifacial solar panels from JA Solar. These solar panels optimise the project’s design, by capturing sunlight from both sides, improving overall energy yield while reducing the project footprint.

In a unique approach, Sturdee developed and designed the projects to perform under PPC’s specific operational and environmental constraints. A detailed dust fallout analysis was conducted in conjunction with prevailing wind directions to determine the dust fall-out from the operational cement plants. The solar parks are strategically positioned to minimise dust fallout, ensuring that cement-related debris will not interfere with the operation or efficiency of the solar installations through soiling. This demonstrates Sturdee’s ability to integrate utility-scale renewable energy solutions into their customers’ specific business.

Project Highlights

• Greenfield Developer, Sponsor, and Equity Shareholder: Sturdee Energy
• Off-Taker: PPC Cement
• Location: PPC Dwaalboom, Limpopo and PPC Slurry, North West
• Power Purchase Agreements: 20-year offtake agreements for each solar project
• Technology: Single-axis tracking, bifacial solar panels, embedded grid connection
• Equipment: Tier 1 equipment across all key components, Array STI Norland trackers, JA Solar panels, and both Sungrow and Huawei string inverters
• Constructor & O&M Contractor: Aurex Constructors, a South African company specialising in EPC projects
• Debt Finance: Rand Merchant Bank (RMB) under a non-recourse project finance structure
• Grid Connection: Eskom, securing grid capacity allocation under the Interim Grid Capacity Allocation Rules (IGCAR) and ensuring seamless integration to the national grid

Environmental and Economic Benefits

The Dwaalboom and Slurry Solar Projects will collectively generate 56 500 megawatt-hours (MWh) of clean energy annually, with an estimated annual carbon offset of approximately 54 million metric tons. These projects demonstrate the viability of embedded renewable energy projects in South Africa and show how the private sector can contribute to South Africa’s renewable energy goals. Beyond the cost and environmental benefits, the projects will create local employment opportunities, boost the South African economy, and position both PPC and Sturdee as key players in the nation’s transition to a sustainable future.

Sturdee Energy’s Executive Director, James White remarked, “The financial close of these two projects demonstrates a concrete step in Sturdee Energy’s journey as a homegrown IPP. Our team skillfully navigated fluctuating exchange rates, moving interest rates, and volatile equipment pricing, to deliver a result that provides long-term predictable savings to PPC.” 

Sturdee Energy’s Executive Director, Andrew Johnson said, “We are also very thankful to all stakeholders, including Eskom, that supported Sturdee and the projects from conception to achieving this milestone. These projects cement our position in the private renewable energy generation market.”

Looking Ahead

With the financial close completed, construction of the Dwaalboom and Slurry solar parks is set to begin, with the first power expected by late 2025. Sturdee continues to work closely with Eskom and other partners to ensure the timely delivery of another successful project.