Rise of Pele Green Energy: the first among equals
Landmark financial close of the company’s ambitious Sonvanger project cements its place as SA’s leading independent power producer

Fresh from successfully reaching the landmark financial close of the Sonvanger Solar Photovoltaic (PV) Power Plant in the Free State for the Glencore-Merafe Venture’s operations across SA, renewable energy group Pele Green Energy says this is a sign of things to come, with the company primed for future success on its own terms.
The financial close cements Pele Green Energy’s place as SA’s leading independent power producer (IPP) — just 15 years after the company was established. The project will power Glencore’s ferroalloys business and its joint venture, Merafe Resources.
Adhila Mayet, head of Project Development at Pele Green Energy, said the company was particularly proud of the Sonvanger deal as it was the first utility-scale project closed by a sole sponsor and single IPP in SA — showcasing the group’s ability to compete with bigger international players operating in the country in a capital intensive industry.
“The Sonvanger project is meaningful in many respects. The project is a 100MW solar (PV) project located about 4km southwest of Theunissen in the Free State,” Mayet said.
“Pele Green Energy developed it ourselves. We took it from being a piece of land to a project that was feasible. Where we are today is that we have reached financial close after signing up agreements to fund the project as well as a long-term offtake agreement with Glencore. We are beginning construction now.”
The Sonvanger Solar PV Power Plant is part of SA’s energy efforts to have a reduction in emissions and improvement of energy supply. The estimated annual avoided CO2 emissions for the 100MW solar project would be about 1.82-million tonnes.
The Sonvanger project is meaningful in many respects ... it is the only project of this nature in the country that has a single sponsor. Most of such projects are built by consortiaAdhila Mayet, head of Project Development at Pele Green Energy
“Pele Green Energy will continue as the lead sponsor of the project for at least 20 years of operation, if not longer. It is a key asset for us in the Free State. It is the first project where we own the entire value chain, from development to finance and construction management,” said Mayet, who is also one of the shareholders in the 100% black-owned group.
“It is also the only project of this nature in SA that has a single sponsor. Most of such projects are built by consortia. It is quite a feat to do as a single company because it is a very complex project, very demanding from a time, risk management and capital perspective.”
The project will come in handy for the residents of Theunissen, through the creation of much-needed green jobs, and provides Pele Green Energy with another community in which it can introduce its “theory of change” — “that capable people provided with modern infrastructure are able to participate meaningfully in society”.
The unemployment rate in Masilonyana municipality, where Theunissen is based, is 38,8%, with youth unemployment being extremely high at 49,8% for all communities combined.
Mayet said the company was proud of the socioeconomic impact its projects were having in the communities in which it operates as these facilitate the development and advancement of critical National Development Plan targets.
The Sonvanger Solar PV Power Plant project adds to Pele Green Energy’s already impressive portfolio of renewable energy projects, with a nameplate capacity of c. 2.5GW. The company has recently also announced a landmark transaction with Nedbank — known as the Sithala project — securing R2.5bn to fund its business.
The Sithala transaction with Nedbank, Norfund and the Industrial Development Corporation provides Pele Green Energy with the growth capital required to deliver on its goals.
The Sithala facility is an integral part of Pele Green Energy’s growth strategy to deliver on the next phase of growth towards its goal of 5GW of renewable energy projects by 2027.
The group’s portfolio ranges from clean energy, comprising of wind and solar utility-scale projects, to battery storage — making it the first among equals in the sector, where is it building a name for itself as an anchor company in the industry.
This article was sponsored by Pele Green Energy.
