Africa Data Centres Begins Construction of 12MW Solar Farm in Free State

Africa Data Centres (ADC) has initiated the construction of a 12MW solar farming facility in the Free State region, marking a significant step towards bolstering its energy sustainability initiatives.

The facility, set to be completed within the next 12 months, will supply power to ADC’s data centres in Johannesburg and Cape Town under a 20-year power purchase agreement with Distributed Power Africa (DPA) Southern Africa, a sister company to ADC within the Cassava Technologies group.

Speaking at a press conference in Midrand, Finhai Munzara, Chief Financial Officer at ADC, outlined the company’s strategy aimed at reducing its reliance on grid power while transitioning to cleaner energy sources. The project underscores ADC’s commitment to achieving carbon neutrality, although a specific timeline was not disclosed.

Munzara emphasized the significance of partnerships with independent power producers (IPPs) to scale up renewable energy capacity, given the spatial limitations of on-site solar generation. The solar farming initiative will unfold in two phases, with the first phase catering to the Cape Town data centre and the second phase serving Johannesburg operations.

While the choice to prioritize Cape Town was driven by regulatory readiness, discussions with Johannesburg and Tshwane (Pretoria) are progressing, indicating a broader commitment to sustainable energy practices across ADC’s operations.

This move by ADC mirrors a broader trend in the data centre industry towards sourcing independently produced power, particularly amidst ongoing challenges such as load shedding. Teraco, a competitor to ADC, recently announced a similar capacity allocation deal with Eskom to facilitate the wheeling of electricity from a solar farm in the Free State to its facilities nationwide.

Nawfal El Fadil, CEO of DPA Southern Africa, highlighted the region’s suitability for solar farming, citing high-quality solar irradiation that maximizes power generation efficiency. Although proximity to Cape Town was considered, transmission constraints necessitated locating the facility in the Free State.

Looking ahead, Munzara affirmed ADC’s commitment to expanding renewable energy sources to align with data centre demand, albeit recognizing the continued reliance on grid power for night-time operations. Leveraging renewable energy not only alleviates pressure on power utilities but also enables cost savings that can be passed on to customers, he concluded.