Sappi to construct a new renewable energy plant in SA

Sappi facilitates SA’s renewable energy programme

Sappi and the Department of Energy agreed to build a renewable energy plant at its mill in Mpumalanga.

The fund for this project is a collective effort from Sappi, KC Africa and African Rainbow Energy and Power. A total of R1.8bn on a 25MW biomass energy unit at the company’s Ngodwana mill.

Hence, 30% of the stake in the facility goes to them, in return they would contribute to the national grid from July 2020.

Construction kicks off in August. Also the project is in line with the government’s renewable energy programme.

The programme involves 27 projects and R56bn in investments and would add about 2,300MW to the national grid over the next five years.

They already contributes to the national grid by selling surplus energy from its Ngodwana and Saiccor mills to Eskom.