Solar energy company SolarAfrica has entered into an agreement to acquire the Nyakallo solar project, in Limpopo, South Africa, from green energy developer Norsk Renewables.

With financial close anticipated within the next 12 months, the project is expected to begin evacuating power by the second half of 2028, offering commercial and industrial businesses earlier access to new renewable capacity at scale.

The project is a utility-scale solar and battery storage project that is expected to deliver grid-connected renewable power to South African businesses from the second half of 2028. Together, SolarAfrica and Norsk will progress the project toward financial close and construction.

The project will include a battery energy storage system (BESS) component, allowing energy generated during the day to be stored and used outside of solar production hours. This supports a more balanced and reliable energy supply and forms part of SolarAfrica’s broader approach of combining utility-scale generation, storage, wheeling and trading to deliver a holistic energy solution to customers.

“Nyakallo is a highly attractive project that aligns well with SolarAfrica’s strategy of building a diversified portfolio of utility-scale renewable-energy assets across South Africa. Its strong grid position and advanced development status make it an important addition to our pipeline as we continue expanding renewable-energy supply to the commercial and industrial market.

“The project will follow a similar offtake structure to SolarAfrica’s broader portfolio, with a combination of large anchor customers and energy traders expected to buy capacity.

“This model enables greater flexibility in how businesses procure electricity, extending access beyond traditional long-term power purchase agreements and opening the market to a wider range of C&I users,” says SolarAfrica CEO David McDonald.

This transaction further strengthens SolarAfrica’s growing portfolio of utility-scale projects, with about 1.5 GW already in advanced development. Additionally, it also demonstrates Norsk Renewables’ strategy of originating and developing high-quality renewable-energy assets and partnering with long-term owners to bring them through financial close and into construction.

“Nyakallo is a highly strategic project, both in terms of its location and its role in South Africa’s evolving energy landscape. We are proud to have advanced the project through key development milestones and look forward to continuing to work alongside SolarAfrica as the project progresses.

By partnering with a highly capable long-term owner and funding partner, we are helping ensure the project is positioned for successful delivery. In a market where timelines continue to slip, projects with this level of certainty are increasingly hard to come by,” says Norsk Renewables CEO Torbjørn E Kirkeby-Garstad.

Given that Limpopo is a province historically associated with coal-based generation, SolarAfrica highlights that the Nyakallo solar project will also contribute to South Africa’s ongoing just energy transition through the addition of new renewable-energy capacity.

“We are building for a future where businesses have far more choice in how they access and manage energy. Projects like Nyakallo are a key part of this – not just adding capacity, but enabling a more flexible, resilient and competitive energy market,” McDonald concludes.