Several solar and wind projects in South Africa will receive €400 million through a joint initiative between the European Investment Bank (EIB) and South Africa’s FirstRand Bank. The investment, with each party contributing €200 million, aims to enhance private sector energy generation, boost energy security, and mitigate power cuts.
The funding aligns with Europe’s Global Gateway strategy, which targets €100 billion in sustainable infrastructure investments by 2027. This initiative supports South Africa’s net-zero target for 2050 and comes after €25 million from the EU for hydrogen projects earlier in September. South Africa’s solar and wind markets are expected to see rapid growth, with compound annual growth rates of 12% and 13% by 2035. The country’s abundant sunshine makes it an ideal location for solar energy, including the 12,000 MW JER South Africa Hydrogen solar PV project.