Nelson Mandela University (NMU), based in Gqeberha, in the Eastern Cape, has announced that it is on track to source some 80% of its energy from renewable electricity generation by May next year. The remaining 20% or so will be drawn from Eskom, while the university will also strengthen its backup power generation capacity to cover any outages.

This switch to predominantly renewable-energy sources was made possible by a ten-year renewable-energy agreement signed with licensed electricity trader Etana, which would supply the power through the national grid, and by NMU’s roll-out of its own 8 500-plus panel 4.4 MW solar PV power project across all seven of its campuses. The university will source between 50% and 55% of its renewable energy from Etana while its own solar PV project would contribute another 25% to 30%.

The university’s experience with solar PV power go back to 2019 when it commissioned a 1 MW capacity facility at its Summerstrand South campus. Etana, which has secured the grid capacity necessary to supply NMU, was chosen through a competitive bid process run by the Nelson Mandela Bay Business Chamber electricity task team - of which NMU was a member - which acts on behalf of Chamber members which are large energy users.

“The decision to significantly boost our renewable electricity generation capacity came on the back of the major loadshedding we experienced, which peaked in 2023 when the university was without Eskom-supplied electricity for what amounted to a third of the year,” explained NMU Infrastructure Services and Space Optimisation Directorate senior director Melvin Syce. “We had to resolve the issue as a matter of urgency, for both operational and financial reasons. During the outages, for example, we were using 6 000 litres of diesel per day in our generators at a cost of about R150 000 per day, which was not sustainable.”

Currently, NMU spends some R60-million a year on electricity. The agreement with Etana would save the university between R2-million a year and R2.5-million a year, with annual changes in the price linked to the Consumer Price Index and not the forecast higher-than-inflation Eskom price increases. NMU’s own new solar capacity will save it another R8-million to R10-million a year. These initiatives will also cut its carbon emissions by some 12 000 t/y.

“Large electricity users have typically meant mines and heavy industry, but this agreement shows that large public-interest institutions like universities can play just as critical a role in underpinning investment in new clean energy generation capacity,” highlighted Etana CEO Evan Rice. “By committing to long-term offtake, [NMU] is helping to bring new renewable projects onto the grid, while securing cost certainty and reducing its carbon footprint.”