• Growthpoint buys 30% of Boston Hydro as private green power expands
• Private producers add over 4,100 MW in early 2025, up 208 % year on year
• New rules allow companies to trade power directly through PPAs and wheeling

South Africa’s decarbonization is advancing even before reforms of the public system. Faced with chronic load shedding and the dominance of coal in the energy mix, major companies are building a parallel market for green electricity. The acquisition on Friday, November 7, by property group Growthpoint Properties of 30 % of the Boston Hydro power plant reflects this trend.

Since mandatory licenses for private producers were lifted in late 2022, confirmed by the Department of Mineral Resources and Energy (DMRE), renewable projects, especially solar and wind, have multiplied across the country.

According to the National Energy Regulator of South Africa (NERSA), more than 4,100 MW of new private capacity was registered in the first half of 2025, an increase of 208 % year on year. For example, rooftop solar capacity now exceeds 7.3 GW, slightly more than the 7.17 GW connected under the public REIPPPP program, according to the South African Photovoltaic Industry Association (SAPVIA) and the DMRE. These installations are owned by industrial companies, malls, banks, and real estate firms seeking to secure power supply while reducing emissions.

The legal framework has evolved with this shift. The Electricity Regulation Amendment Act, enacted in August 2024, formalized the creation of a competitive electricity market. Companies can now buy or sell electricity directly through Power Purchase Agreements (PPAs) and through wheeling, which allows private electricity to be delivered via Eskom’s public grid for fees set by NERSA.

In this new environment, some players are turning their buildings into decarbonization labs. Growthpoint Properties, the country’s largest listed real estate company, buys about 195 GWh of renewable electricity each year from Etana Energy, drawn from hydro, wind, and solar sources. The energy flows through the public grid, but its green share is certified through I-REC certificates, which Growthpoint sells to its tenants such as Nedbank, which now powers 26 branches with certified electricity integrated into its carbon accounting.

According to Eskom, the drop in the energy shortfall in 2025, from 13.2 TWh to 0.4 TWh of energy not supplied, is due to both increased grid maintenance and the rapid growth of private capacity.