
PPC and Yellow Door Energy sign a 24.5 MWp solar PPA, advancing renewable energy and sustainability in South Africa. (Image source: Yellow Door Energy)
PPC Ltd, a leading cement and related products supplier in Southern Africa, has partnered with Yellow Door Energy (YDE), a renewable energy independent power producer (IPP) in the Middle East and Africa, to sign a 24.5 MWp (20 MWac) solar power purchase agreement (PPA)
Under a solar wheeling arrangement, YDE’s solar facility in Leeudoringstad, North West Province, will supply clean electricity to four PPC operations through the Eskom grid. These facilities include PPC Slurry in North West, PPC Dwaalboom in Limpopo, and PPC De Hoek and PPC Riebeek in the Western Cape. The project will deploy more than 20,000 solar panels, generating 57.5 million kilowatt-hours (kWh) of renewable electricity in its first year and reducing carbon emissions by 59,800 metric tons.
“We are excited to announce the signing of a solar power purchase agreement with YDE, marking the beginning of a long-term partnership. This agreement is our second partnership to secure renewable energy which further demonstrates PPC’s commitment to reducing reliance on traditional energy sources. The project is another step towards achieving our strategic objectives to rebuild a profitable and sustainable company,” said Ernesto Acosta, chief operating officer at PPC.
Forbes Padayachee, CEO of YDE South Africa, said, “We are proud to sign this monumental long-term power purchase agreement with PPC. Through this solar wheeling arrangement, PPC is able to secure access to clean, affordable and reliable electricity without further physical constraints on their premises. At YDE, we remain dedicated to advancing renewable energy solutions for commercial and industrial entities, creating local jobs and contributing to South Africa’s energy security and Just Energy Transition.”
A 43 km overhead power line will be installed to link the solar park to an Eskom substation, strengthening the grid and increasing accessibility to clean energy.
As the independent power producer, YDE will handle the financing, design, construction, commissioning, operation, and maintenance of the Naledi Ya YDE Solar Park for the duration of the PPA. The power purchase agreement model is gaining popularity among businesses seeking to transition to solar energy, allowing companies to reduce energy costs without upfront capital investment or operational risks, while maintaining their focus on core activities and benefiting from reliable, cost-effective clean electricity.