Recently US$ 102M was acquired for the construction of the Scatec combined solar-battery project in South Africa’s Northern Cape province. Scatec, a Norwegian renewable energy company, with operations in South Africa acquired the monies.
Export Finance Norway (Eksfin) supplied the US$ 102M. Eksfin is a government financial enterprise. It was established to ensure that Norwegian export industries are financially competitive abroad. Because of Eksfin’s financial risk package, Scatec will now be able to obtain loans from Standard Bank as well as British International Investment.
Scatec intends to use the funds to build a 540 MW of solar power capacity facility. The facility will be equipped with 225 MW of battery storage capacity. Scatec’s plan to integrate solar and storage is not by accident. It will ensure that energy generated during peak periods can be used to meet demand during periods when production is low.
According to a press statement, the Scatec combined solar-battery project in South Africa will be Scatec’s biggest investment. Additionally, it will be one of the world’s largest solar-battery hybrid projects.
Remarks on the funding and the Scatec combined solar-battery project in South Africa
Scatec’s CEO, Terje Pilskog noted that the world is at a crossroads amid the green revolution and the energy crisis. Moreover, the CEO said that Norway is ideally placed as an energy nation to play a key part in the development of renewable energy. In addition, it can help with the realization of global climate goals.
Scatec will be able to support its expansion plans across the renewable energy sector in South Africa thanks to the funding. Consequently, it will enable the country to accelerate the adoption of renewable energy resources. This is especially in the effort to alleviate an impending energy crisis.
Also Read: Permit obtained for 260MW Magnora solar in South Africa
Tone Lunde Bakker on the other hand stated that they are honored to work with Scatec. Bakker is the Managing Director of Eksfin. According to him, Scatec is one of the many sustainable energy companies that the financial enterprise has funded. Furthermore, Bakker said that supporting solar energy projects is crucial, especially at a time when the world desperately needs more renewable energy.
Scatec has already delivered six large power plants to South Africa. The power plants have a total capacity of 448 MW.
