Renewable Power

ELECTRICITY TRADING 

Etana Energy is a licensed energy trader focused on providing competitive, sustainable end-to-end energy solutions through connecting power generation projects to commercial and industrial users by aggregating and wheeling electricity across South Africa’s national grid.

• Etana has developed a “many generators to many offtakers” business model and is effectively building a new utility business as it looks to supply competitively priced, cleaner power to some of South Africa’s largest commercial and industrial users.
• Through this platform Etana is tapping into a wide and essential network, one that could become one of the most influential businesses in facilitating and delivering greener, competitive and sustainable energy across South Africa over the next decade.
• Over 20 long-term Power Purchase Agreements (“PPAs”) have been signed with some of the largest electricity consumers in country including Sibanye-Stillwater, Growthpoint, Autocast, Petra Diamonds, Tharisa and the V&A Waterfront and work is ongoing in signing further PPAs.
• This business connects efficient supply to end users through the trading platform but it also enables the development of new, renewable energy generation, in which the Power business is also participating.

THE MARKET OPPORTUNITY

South Africa’s energy market is the largest on the continent. It has historically been controlled by the state-owned entity Eskom and predominantly relied on coal as the main source of the country’s power. South Africa has experienced significant electricity supply issues for a long time with many instances of load shedding and power outages and there is a need for new energy to fill the gap as a number of coal-fired power stations are coming to end of life.

With a forecasted additional power requirement of 30GW needed by 2030 and to address the supply and demand gap, the Government permitted private electricity generation with a focus on renewable power as a long-term energy source. The Government also granted trading licences which allows private companies to buy and sell electricity through the national grid and sell it onto customers. This wide scale deregulation created a material market opportunity and Etana was one of the first companies to apply for and receive a trading licence from NERSA, the South African regulator.