Cape Town signs its first power purchase agreements with independent solar producers, aiming to expand local electricity supply and reduce dependence on Eskom. The city secures about 70MW of solar generation from facilities in Atlantis and Philippi under contracts spanning 20 years.
The city frames the deals as cost-competitive, with pricing expected to be lower than Eskom’s rates, and one report says the electricity is projected to be up to 21% cheaper. The outlets describe the arrangement as long-term procurement rather than direct ownership of the plants, with payment linked to delivered power. While the reports focus on the expected tariff advantage and the two locations supplying power, they broadly agree on the scale of the capacity secured and the 20-year contract term.
