Global diversified miner Anglo American has signed a memorandum of understanding with energy group EDF Renewables, part of its plan to power all its SA operations with renewable energy by 2030.
The agreement is expected to result in the implementation of between 3GW and 5GW and solar and wind power over the next decade, Anglo American said, stimulating local production and adding to SA’s energy resilience.
SA miners have been moving to take advantage of a relaxation of rules for power generation, eyeing the benefits of their own supply in a country that has experienced rolling blackouts for more than a decade.
The Mineral Council SA said in February that its members have reported plans for 3.9GW of renewable energy projects worth about R60bn, which, if built, would relieve pressure on Eskom and go a long way towards meeting the industry’s commitment to achieving net-zero carbon emissions by 2050.
The licence-free concession for embedded generation of up to 100MW was a major factor in this increase and it is probably the government’s biggest structural reform in two decades, Council CEO Roger Baxter said in late 2021.
EDF Renewables has a total gross installed capacity of 15.6GW in renewable energy worldwide, mainly operating in Europe and North America, but is growing in emerging regions such as Brazil, China, India, SA, Australia and the Middle East.
Since 2011, EDF Renewables has established itself as a independent power producer in SA, with its subsidiary in the country operating 142MW of wind farms, also being awarded more than 800MW in new projects in 2021.
Anglo American has about 45,000 employees in SA, with interests in iron ore, platinum group metals (PGMs) and diamonds, at 26 sites.
“We are targeting carbon neutrality across our operations by 2040 and we are making good progress,” Anglo American CEO Mark Cutifani said in a statement.
“Today’s announcement is a further major step towards addressing our on-site energy requirements — the largest source of our operational emissions,” he said.
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