Energy trader Envusa Energy last week inaugurated some of the renewable energy projects that make up its flagship 520 MW Koruson 2 (K2) Cluster in the Eastern Cape and Northern Cape, with power now being supplied to key mining players in the country.

Envusa was established as a joint venture between global miner Anglo American and French group subsidiary EDF power solutions in 2022, to develop a large-scale renewable energy ecosystem with the capacity of between 3 GW and 5 GW of renewable energy by 2030.

The K2 Cluster is the first major milestone in this journey.

Representing an investment of about R15-billion, the K2 Cluster comprises three major projects – the 240 MW Mooi Plaats solar PV facility in the Northen Cape, the 140 MW Umsobomvu wind project in the Eastern Cape and the 140 MW Hartebeesthoek wind farm in the Northern Cape. The three boast a combined generation capacity of 520 MW.

The inauguration marked Mooi Plaats and Umsobomvu going live, enabling 380 MW to be connected to the grid. These two projects are now supplying power to over ten mine sites.

The remaining 140 MW from Hartebeesthoek is scheduled to come online by June.

Envusa operates as an aggregator and trader, and through a wheeling model, renewable power is transmitted across State-owned power utility Eskom’s grid to major industrial users, including anchor offtakers De Beers Group, Kumba Iron Ore and Valterra Platinum, under 20-year agreements.

All three projects connect to the Koruson 400 kV main transmission substation, built as part of EDF Power Solutions’ Koruson 1 project cluster. It is highlighted as the largest privately built transmission substation in South Africa, designed to connect up to 1.5 GW of renewable energy to the national grid.

Speaking at the launch, Envusa and Anglo American South Africa chairperson Nolitha Fakude acclaimed that the projects will support the three anchor offtakers by reducing their single largest source of Scope 2 emissions, as it would displace coal energy sources.

She also lauded the project for being delivered on time and in budget.

Speaking to Engineering News and Mining Weekly on the sidelines of the launch, De Beers Group CEO Al Cook informed that the company would be sourcing 48 MW of power from the projects for its operations, to support its ambitions of producing diamonds by using low-carbon, low-cost energy.

“The power from this solar and wind facility will go to our Venetia operation in Limpopo province, and all the power for Venetia will now be provided by this renewable electricity,” he acclaimed.

In a statement, Kumba Iron Ore highlighted that the partnership with Envusa allows the company to decarbonise its operations while strengthening the resilience and competitiveness of its business.

“It is a practical demonstration of how renewable energy can support both mining and South Africa’s economic future,” Kumba CEO Mpumi Zikalala averred.

At  the Kolomela mine in the Northern Cape, 72% of the mine’s electricity consumption is being supplied through renewable energy, delivering cost savings of R600 000 in March alone, Kumba pointed out.

LOCAL IMPACT
During peak construction, more than 2 000 direct and indirect jobs were created, with a keen focus on local employment and skills development. About 80 small, medium-sized and microenterprises (SMMEs) from surrounding communities were contracted, contributing over R73-million into local SMMEs and socioeconomic development initiatives.

Fakude said additional initiatives would continue to be rolled out over a 20‑year period, to deepen impact.

South African independent power producer Pele Green Energy holds a 20% equity stake in the three Koruson 2 project companies.

Moreover, Fakude informed that local communities hold a direct stake in the project through a community trust, allowing them to benefit from the financial benefits generated over the 20-year operating life of each asset.

Northern Cape Premier Dr Zamani Saul welcomed the launch, citing the province as a hub for solar energy projects, and a burgeoning region for wind energy.

He pointed out that the Northern Cape and Eastern Cape account for about 45% of the country’s land mass, but only about 15% of its total population.

Therefore, Saul stressed that this underscores the potential to address structural constraints, looking at these regions for new frontiers of growth, as part of the work to de-concentrate the country’s economy.

He emphasised that the two provinces host considerable potential, with the launch of these projects reflecting private sector’s recognition of this.

Eastern Cape Premier Oscar Mabuyane agreed, commenting that the launch shows tangible outcomes of South Africa’s energy reforms, underpinned by policy certainty and institutional investment.

With the cluster traversing both provinces, a memorandum of understanding is being signed to guide community projects and manage the infrastructure.

Fakude acclaimed that the launch showcases what can be achieved through partnerships, and the combination of global and local expertise, bolstered by political goodwill.

Electricity and Energy Minister Dr Kgosientsho Ramokgopa echoed the other speakers’ sentiments, and expressed government’s support for the project, reflected in the presence of “all of government” at the event.

He acclaimed the launch as a material outcome of the commitments made by Anglo American.

With 5 GW generation potential, this would put Envusa as the second largest generator in the country after Eskom, Ramokgopa highlighted.

He also noted that the project reflects the goals of accelerating private sector investment in the country.