Standard Bank has approved R2.8 billion in funding support for Seriti Green’s Ummbila Emoyeni 3 wind farm in Mpumalanga, unlocking the 155 MW second phase of a landmark private renewable-energy rollout.
The package comprises R2.45 billion in senior project finance debt and R330 million in equity, and sits within a broader R4.9 billion debt arrangement for the phase. First power is targeted for the second half of 2027. Power will be sold under a long-term offtake to Energy Exchange of Southern Africa (EXSA), the Remgro-owned, NERSA-licensed electricity trader.
Key facts
- Size & phase: 155 MW wind (second phase of Ummbila Emoyeni), taking the cluster to 310 MW installed once online.
- Finance: Standard Bank’s share totals ~R2.8 bn (R2.45 bn debt + R330 m equity), within R4.9 bn overall debt for the project.
- Offtaker: EXSA, marking its first utility-scale supply deal and a milestone for South Africa’s emerging private power market.
- Location & jobs: Mpumalanga’s energy heartland; ~800 construction jobs and youth skills training planned.
- Timeline: Commercial production expected H2 2027.
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This deal signals three shifts happening at once in South Africa’s power sector:
- Private market momentum. By anchoring a long-term sale to EXSA, the wind farm bypasses traditional utility procurement cycles and accelerates new capacity to market via wheeling. For EXSA, licensed in 2022, this is its first utility-scale generation contract, a proof point for trader-led corporate power procurement.
- Mpumalanga’s just energy transition. Situated in a coal-dependent province, the project couples local job creation and supplier opportunities with clean generation, aligning with national just transition objectives while cushioning communities tied to legacy energy industries.
- A pipeline beyond one project. Ummbila Emoyeni is the cornerstone of a multi-phase, ~900 MW wind-led complex that will be built over several years. Phase 2 doubles the installed capacity to 310 MW, with further phases planned.
What’s being built
The 155 MW second-phase wind farm, located between Bethal and Morgenzon in Mpumalanga, will expand a cluster that began construction on its initial 155 MW in 2024. At full tilt, the project is designed to deliver utility-scale, wheeled power into the grid for corporate consumers aggregated and supplied by EXSA.
Earlier disclosures around the cluster describe ~25 turbines and generation on the order of ~525 GWh per year for a 155 MW phase, indicative of the project’s scale and contribution once operational.
Follow the money
Standard Bank’s commitment combines senior debt and direct equity into the project company and shareholder facilities, typical of banked IPP structures, while co-arrangers and lenders round out the R4.9 bn debt stack. The lender positions the deal squarely within its just-transition mandate, emphasising local jobs and training in a province that must evolve beyond coal.
Who buys the power and how?
EXSA (Energy Exchange of Southern Africa) aggregates demand from blue-chip corporates and procures supply from independent generators, wheeling electricity across Eskom and participating municipal networks under trading licences and bilateral use-of-system agreements.
EXSA, majority-owned by Remgro with RMB as a strategic shareholder, is scaling as a “pure-play” private trader, and this Seriti Green PPA is a keystone in that strategy.
The broader context
Seriti Resources, one of South Africa’s largest coal producers, created Seriti Green to decarbonise its footprint and participate in new-build renewables. The first 155 MW phase of Ummbila Emoyeni reached financial close in April 2024, with financing led by RMB (with Standard Bank as co-mandated lead arranger), and is under construction. The second phase financed this week builds on that momentum and deepens a coal-to-clean transition narrative anchored in Mpumalanga.
What it could mean for load-shedding and costs
While a single 155 MW unit won’t solve load-shedding, stacking multiple private, trader-offtake projects can add meaningful energy quickly because they are not tied to public-sector procurement cycles.
At the same time, wheeled renewable power can reduce long-term energy costs for corporations relative to historical tariffs, improve price certainty, and de-risk operations, freeing Eskom capacity and investment space for grid strengthening.
Also read: Why Cape Town Faces Long Planned Power Outages And How Residents Can Prepare
Risks and watch-outs
- Grid & wheeling capacity: Delivering additional phases depends on available grid capacity and the continued refinement of wheeling frameworks across Eskom and municipalities. Eskom has flagged major grid headroom constraints in recent reports.
- Construction schedule: Civil works, turbine deliveries, and grid tie-ins will determine whether the H2 2027 production target is met.
- Market structure evolution: As private trading scales, regulatory stability and system-operator coordination will be crucial to integrate large trader-offtake portfolios without creating congestion or imbalance risks.
