• Discovery Green signed a 20-year deal to supply Glencore with 290 GWh of renewable power yearly.
• The wheeling system lets companies access clean energy through Eskom’s grid.
• More South African firms are adopting this model to cut emissions and stabilize costs.

Discovery Green, the renewable energy arm of Discovery Group, signed a 20-year agreement on Monday, October 6, with mining operator Glencore to supply electricity to four of its sites near eMalahleni, in South Africa’s Mpumalanga province. Starting in 2027, about 290 GWh of renewable power will be delivered each year through the network of public utility Eskom.

The deal aims to replace a significant share of fossil fuel consumption at Glencore’s facilities. It is based on the wheeling model, a system that allows energy to be transmitted to end users through a third-party grid. This mechanism enables companies to lower emissions, stabilize costs, and choose their energy sources. In a country still heavily reliant on coal, wheeling is emerging as a practical tool to decarbonize industrial activity.

The Glencore agreement comes just days after another 20-year contract between Discovery Green and independent power producer Red Rocket. That deal involves the 331 MWp Tournee solar park, expected to generate around 720 GWh per year starting in 2027. Together, the two agreements reflect Discovery Green’s strategy to build long-term partnerships with major power producers and large industrial consumers across South Africa.

More and more companies, including Sasol, Implats, Fortress REIT, and Southern Sun, are adopting the wheeling model. By linking mines, factories, and even service sectors such as hospitality to large solar and wind plants, wheeling is helping to drive South Africa’s energy transition—an evolution led primarily by the private sector.