Key Points
- Grid Africa secures R50 million 2.8 million from Rifuwo Energy Partners to expand solar energy projects in South Africa.
- The investment aims to shield businesses from rising electricity costs, as Eskom seeks a 36 tariff increase from South Africa's energy regulator.
- Grid Africas expansion into Zambia reflects its strategy to address Africas energy challenges with innovative, cost-efficient solar solutions.
Grid Africa, a Johannesburg-based solar energy firm, led by Zimbabwean-born entrepreneur Norman Moyo, has raised R50 million 2.8 million in equity funding from Rifuwo Energy Partners. The move aims to boost renewable energy projects in South Africa, as the country grapples with an increasingly strained power sector.
The investment comes at a critical juncture, with South Africa bracing for an impending increase in electricity tariffs. Eskom, the state-owned utility, has recently submitted a proposal for a 36 percent tariff hike to NERSA, raising concerns about rising energy costs that could heavily impact businesses. In response, Grid Africa is intensifying its focus on solar projects designed to alleviate the financial burden associated with escalating electricity prices.
Navigating energy costsSouth Africa's shifting energy landscape offers businesses a chance to transition to solar, cutting costs, said Grid Africa CEO Moyo. With falling prices for solar tech and lithium batteries, we can provide more energy-efficient solutions. Clients can also avoid peak grid charges with peak shaving strategies.
Rifuwo Energy Partners CEO Hope Tshepo Segone said the investment aligns with their goal of advancing a just transition to sustainability. Were excited to partner with an experienced team with a proven track record in hybrid projects across Zimbabwe, Kenya, and Ivory Coast.
