Red Sands battery project to start construction in Northern Cape

Construction is set to begin on Africa’s largest standalone battery energy storage system (BESS) following financial close on the 153 MW Red Sands project in the Northern Cape.

Developed by Globeleq and African Rainbow Energy, the project is the largest transaction awarded under South Africa’s Battery Energy Storage Independent Power Producer Procurement Programme Bid Window 1. Funding of approximately R5,4 billion has been secured from Absa and Standard Bank.

The facility, located near Upington, will span five hectares and connect to the grid via the Garona substation. A 15-year power purchase agreement has been signed with the National Transmission Company South Africa (NTCSA), which will procure energy storage and ancillary services from the project.

“This will enable the NTCSA to unlock additional capacity in the constrained Northern Cape supply area. The addition of the 153 MW facility will ensure that power, generated primarily by solar PV plants in the area, will charge the batteries during off-peak periods. The batteries will then discharge during peak periods, thereby reducing the pressure on the grid,” said Segomoco Scheppers, Eskom’s interim CEO of the NTCSA. Battery technology will support dispatchable load and grid stability, he added.

The BESS will use Sungrow’s PowerTitan 2.0 liquid-cooled energy storage system. China Energy Engineering Corporation is the engineering, procurement and construction contractor. Sungrow will provide operations and maintenance services for 15 years under contract with Globeleq.

The facility is scheduled to begin operating in 2027.