Teraco has announced the start of construction on a groundbreaking 120MW solar PV power plant in South Africa’s Free State province, marking a world first for data center operators. With this ambitious project, Teraco aims to establish its own renewable energy source to power its data centers and support the next generation of cloud and AI computing applications. This initiative represents a major step in sustainable energy and positions Teraco at the forefront of renewable energy efforts within the data center industry.
Expected to be operational by late 2026, the solar plant will provide a substantial 354,000 MWh of power annually, helping to offset the increased energy demands driven by AI and cloud computing technologies. Teraco’s commitment to sustainability, combined with South Africa’s unique solar power potential, makes this initiative highly strategic, ensuring a reliable energy source in a country currently facing significant electricity generation constraints.
Through a successful partnership with JUWI and Subsolar, Teraco has secured key components of the project. JUWI, an established global player in renewable energy, will design, procure, construct, and commission the plant, working alongside Teraco to ensure timely delivery and the highest standards of renewable energy infrastructure.
The project also represents a significant milestone in energy management and distribution, with Teraco securing grid capacity from Eskom and arranging renewable energy “wheeling” across multiple municipalities, including Ekurhuleni and Cape Town. This wheeling agreement allows Teraco to transfer renewable power from rural production areas to urban data centers, maximizing generation efficiency and further supporting South Africa’s transition to a low-carbon economy.
As the largest data center provider in South Africa, Teraco’s decision to invest in renewable infrastructure underscores its long-term vision of powering digital transformation across Africa with sustainable energy solutions. This initiative not only advances Teraco’s renewable energy goals but sets a precedent for renewable wheeling projects across municipalities, a model that will benefit local economies and attract further investment.
Bryce Allan, Head of Sustainability at Teraco, emphasized the project’s broader impact, noting that it paves the way for future municipality-level renewable energy projects that can enhance South Africa’s competitiveness as both domestic and international companies look for low-carbon energy options. With this pioneering solar plant, Teraco is creating a more sustainable path for data centers and the technology sector across the continent.
Teraco #RenewableEnergy #DataCenters #Sustainability #SolarPower #AI #DigitalTransformation #SouthAfrica #Wheeling
