Mainstream Renewable Power has reached financial close on its 50 MW Ilikwa solar PV plant, which will supply private commercial and industrial customers under a “new-to-market” product the energy company calls renewable energy supply agreements.

“This new product opens up the energy market in South Africa by giving a wider range of businesses access to affordable, reliable and renewable power through shorter-term energy contracts of between five and 10 years,” says Mainstream’s General Manager for Africa Hein Reyneke.

“With a 12 GW portfolio, Mainstream has one of the largest and most advanced pipelines of projects in the country. Importantly, we have a further 180 MW of projects ready for construction in 2025.”

Investec is a project partner, providing pre-construction development finance as well as debt and equity finance for construction of the plant. Mainstream has a 70% equity stake in the project and Investec has 30%. “Investec was able to implement bespoke funding solutions to enable the project to reach financial close,” says Martin Meyer, Investec’s Head of Energy and Infrastructure Finance.

Construction of the Ilikwa solar PV plant, located in the Free State, has begun and is expected to reach commercial operation in early 2026. When fully operational, it will produce 141 GWh of electricity per year, powering the equivalent of more than 42 000 homes and avoiding annual release of approximately 100 000 tons of carbon, according to Reyneke.