News Finances

South Africa’s New Renewable Giant Faces Land Questions as 11 GW Project Unfolds

South Africa’s New Renewable Giant Faces Land Questions as 11 GW Project Unfolds
Monday, 29 September 2025 11:12

• Anthem targets 11 GW renewables in South Africa but faces tough land-use and ownership questions.
• Kenya, Morocco, and Egypt show land strategy makes or breaks renewable projects.
• Without clear land policies, Anthem risks delays and community backlash in South Africa.

South Africa’s renewable energy sector gained a new heavyweight in September 2025 with the launch of Anthem, a platform backed by Norway’s Climate Investment Fund and pension giant KLP, which has committed NOK 850 million (USD 86 million). The company begins with 2.7 GW of operating and pipeline projects and has set a target of 11 GW in solar and wind power.

The scale of development, however, raises a critical issue: land use. Large-scale solar and wind projects require thousands of hectares in a country where land ownership remains politically contested. Anthem lists “land acquisition and permitting” among its services, yet neither the company nor its investors have explained how land will be acquired, leased, or compensated. With South Africa’s land reform unresolved, the lack of clarity leaves open questions about who will gain or lose from the clean energy transition.

The land footprint of renewables is substantial. While coal plants themselves require only 100–200 hectares per 1 GW of capacity, coal’s broader footprint, including mining and waste disposal, spreads across vast areas. In contrast, a 1 GW solar project can demand 2,000–3,000 hectares, making careful land planning indispensable.

“This is the kind of contribution needed to accelerate the transition to renewable energy in countries like South Africa, which today is dependent on coal power,” said Åsmund Aukrust, Norway’s Minister of International Development, in a Norfund press release. James Cumming, Anthem’s CEO, added: “Access to capital on competitive terms is crucial for us to realise our ambitious plans for renewable energy development in South Africa, and we are therefore very pleased to have Norfund and The Climate Investment Fund on board,” as reported by Empower Africa.

Anthem is formed from the merger of African Clean Energy Developments (ACED) and EIMS Africa, with Mahlako Energy Fund, a Black women-owned South African firm, joining as an investor. The platform already controls 17 operational wind and solar projects, four under construction, and three in financing.

Other African countries provide useful lessons on how land can shape the fate of renewable projects. In Kenya, the Lake Turkana Wind Power project, the continent’s largest wind farm, became a landmark but also a cautionary tale. Courts later found irregularities in land acquisition on community territory, fueling years of legal disputes and mistrust. The fallout prompted Kenya to strengthen requirements for community benefit-sharing agreements and transparent compensation. The lesson is clear: without inclusive land-use practices from the outset, projects risk backlash and costly delays.

Morocco’s approach has been smoother. Projects such as the Noor Ouarzazate solar complex were largely sited on state-owned desert land, reducing conflicts over ownership. Through its agency MASEN, the government not only coordinates land use but also invests in territorial development programs to ensure host communities benefit. This model shows how centralised planning and the use of under-utilised public land can help minimise disputes and provide a clear framework for both investors and local populations.

Egypt offers yet another model with the Benban Solar Park near Aswan. This 1.8 GW hub, spread over 37 square kilometres, bundled more than 30 projects into one zone pre-allocated by the state. Developers received uniform 25-year usufruct leases, which reduced land negotiation conflicts and provided predictable terms. While grievances still emerged, they were managed through a formal dispute-resolution process that closed in mid-2025. By pre-clearing and standardising access to large renewable zones, Egypt demonstrated how consistency in land arrangements can accelerate deployment while addressing community concerns in a structured way.

South Africa has its own framework under the Renewable Energy Independent Power Producer Procurement Programme (REIPPPP), which requires local community equity and socio-economic development within project host areas. The results, however, have been mixed: in some cases, community trusts have delivered tangible benefits, while in others, rushed consultation has undermined legitimacy. Anthem’s scale means that the land dimension is no longer secondary. Without transparent acquisition strategies, clear compensation terms, and credible grievance redress systems, South Africa’s renewable rollout could stumble on the very terrain it seeks to transform.

Cynthia Ebot Takang

 

On the same topic
IFC considers €75.25 million investment in cocoa processor Guan Chong Funds to expand cocoa processing plant in Côte d’Ivoire Project...
Membership grants access to project finance, equity, and risk tools Move supports Horizon 2035 plan to diversify beyond hydrocarbons Equatorial...
Belife Insurance joins Gozem’s Series B round to grow its digital footprint Partnership aims to deliver simple, accessible insurance through...
World Bank opens first resident representation in Malabo, led by economist Juan Diego Alonso. Mandate focuses on inclusive growth, private-sector...
Most Read
01

Omer-Decugis & Cie acquired 100% of Côte d’Ivoire–based Vergers du Bandama. Vergers du Band...

Omer-Decugis & Cie Expands Mango Operations in West Africa
02

Eritrea faces some of the Horn of Africa’s deepest infrastructure and climate-resilience gaps, lim...

AfDB Re-engages Eritrea With Strategy Focused on Infrastructure, Climate Resilience and Regional Integration
03

Huaxin's $100M Balaka plant localizes clinker production, saving Malawi $50M yearly in f...

Malawi: New $100M Cement Plant Targets Forex Crisis but Faces Energy Reality
04

Nigeria seeks Boeing-Cranfield partnership to build national aircraft MRO centre Project aims t...

Nigeria Pursues Boeing, Cranfield Partnership to Establish Aircraft Maintenance Center
05

Benin says a coup attempt was foiled, crediting an army that “refused to betray its oath.” ...

Benin Government Says Attempted Coup Against President Talon Has Been Foiled
Enter your email to receive our newsletter

Ecofin Agency provides daily coverage of nine key African economic sectors: public management, finance, telecoms, agribusiness, mining, energy, transport, communication, and education.
It also designs and manages specialized media, both online and print, for African institutions and publishers.

SALES & ADVERTISING

regie@agenceecofin.com 
Tél: +41 22 301 96 11 
Mob: +41 78 699 13 72


EDITORIAL
redaction@agenceecofin.com

More information
Team
Publisher

ECOFIN AGENCY

Mediamania Sarl
Rue du Léman, 6
1201 Geneva
Switzerland

 

Ecofin Agency is a sector-focused economic news agency, founded in December 2010. Its web platform was launched in June 2011. ©Mediamania.

 
 

Please publish modules in offcanvas position.