RBM Signs Third PPA for an Extra 230 MW of Wind Power

RBM signs its third PPA adding 230 MW of wind power to Overberg Wind Farm, advancing South Africa's renewable energy transition.
 

RBM signs third PPA for an extra 230 MW of wind power

Richards Bay Minerals (RBM) has taken a strong step toward a greener future by signing its third Power Purchase Agreement (PPA) with Red Rocket South Africa. This deal will bring an extra 230 MW of wind power to Phase 1 of the Overberg Wind Farm, a major wind power project that will help drive South Africa’s energy transition.
Overberg Wind Farm Project

The Overberg Wind Farm is set to become one of the largest wind power projects in South Africa. RBM will build it near Swellendam in the Western Cape, with work scheduled to begin in the first half of 2025. The project will roll out in two phases, with the first energy flow planned for December 2026. RBM receives 230 MW of the project’s total export capacity of 380 MW. This contract marks a major milestone in the country’s drive to adopt cleaner energy sources.

Wind power plays a key role in reducing reliance on fossil fuels. The Overberg Wind Farm project will help cut RBM’s annual greenhouse gas emissions by about 30%, or 0.7 Mt of CO₂e. In this way, the project supports South Africa’s broader goals for a cleaner environment and more sustainable energy production. The new agreement also adds to RBM’s growing portfolio of renewable energy projects, which now totals around 500 MW of renewable energy PPAs.

Other Renewable Energy Initiatives

RBM is not relying on one project alone. In October 2022, the company signed an agreement for the Bolobedu Solar PV project. Located 120 km east of Polokwane in Limpopo, this 130 MW solar project can generate 300 GWh of energy per year. The project is well underway and will boost clean energy production.

Earlier, in June 2024, RBM also signed a PPA for the Khangela Emoyeni Wind Farm near Murraysburg. It's expected that this 140 MW wind project will produce 460 GWh of renewable energy per year. It uses a wheeling arrangement with Eskom to deliver power efficiently. Construction for Khangela Emoyeni started in July 2024 and is moving along steadily.

These initiatives together create a robust renewable energy strategy for RBM. The projects add diversity to RBM’s energy mix by incorporating both wind and solar power. They also signal a broader shift in South Africa’s energy landscape towards using cleaner and more sustainable energy sources.

Environmental Impact and Community Benefits

RBM’s renewable projects play an important role in reducing greenhouse gas emissions. The company uses about 1.8 TWh of electricity each year, which accounts for 1.6 Mt of CO₂e—roughly 80% of its total annual emissions. So, the three projects together aim to cut Scope 1 and 2 emissions by about 60% (or 1.4 Mt CO₂e) from a 2018 baseline.

The switch to wind power and other renewable sources does more than reduce emissions. It also helps improve air quality and reduce noise and water pollution. These benefits extend to local communities and enhance the quality of life for nearby residents. Clean energy projects also boost local economies by creating jobs in construction, maintenance, and operations.

A Future Powered by Clean Energy

RBM’s investments in renewable energy align with the global push to reduce climate change impacts. The Overberg Wind Farm is a standout project in this portfolio. It demonstrates a clear commitment to reducing reliance on coal and other fossil fuels. RBM has set a strong example here by aligning with the Rio Tinto Group’s goal to cut emissions by 50% by 2030 and reach net zero by 2050.

Red Rocket South Africa also sees strong potential in the Overberg Wind Farm. Its CEO, Matteo Brambilla, emphasized that the project will deliver 230 MW of clean energy to the national grid. This addition to South Africa’s energy landscape supports the country’s shift to sustainable power. The project also shows how businesses and renewable energy providers can work together to create a cleaner future.

Overall, the combined efforts in wind power and solar energy are an important step forward. The projects not only support environmental goals but also pave the way for economic benefits and improved public health. The commitment of RBM and its partners highlights how strategic investments in renewable energy can drive progress in South Africa.
 

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