THE first phase of the Overberg Wind Farm project successfully reached financial close on 13 March 2025 with the renewable energy independent power producer Red Rocket. The Development Bank of Southern Africa (DBSA), along with Absa and Standard Bank, has played a pivotal role in financing the project.
Once fully operational, the Overberg Wind Farm will be South Africa’s largest privately developed single wind farm, providing a total export capacity of 380 MW. The first phase will see Richards Bay Minerals (RBM), a subsidiary of Rio Tinto Group, secure 230 MW through a long-term Power Purchase Agreement (PPA), delivering approximately 750 GWh of clean energy annually. This will significantly reduce RBM’s carbon footprint, cutting greenhouse gas (GHG) emissions by approximately 30%, equivalent to 0.7 million tonnes of CO2e per year.
Mpho Mokwele, group executive-transacting at DBSA, reaffirmed the bank’s commitment to energy security and inclusive economic growth, saying: “This is yet another step in the DBSA’s mission to ensure energy security in South Africa while advancing Africa’s prosperity. By financing transformative projects like the Overberg Wind Farm, we are not only enabling a cleaner, more resilient energy future but also ensuring that no one is left behind in the transition. Access to reliable, sustainable energy is a key driver of economic inclusion, and we remain steadfast in our commitment to supporting projects that uplift communities, namely through our additional funding support for the Red Rocket Opportunity Trust and powering Africa’s economic growth.”
Lungile Tom, head – project finance, highlighted the importance of strong financial partnerships in delivering large-scale renewable energy solutions. He said: “Overberg Wind Farm exemplifies what is possible when ambitious renewable energy goals are backed by committed financiers and industry expertise. With DBSA’s support, alongside our other financial partners, we are able to accelerate South Africa’s clean energy transition and drive impactful change in the sector.”
The Overberg Wind Farm will be located near Swellendam in the Western Cape and feature 39 Goldwind 6.2 MW turbines. With commercial operations expected to commence in early 2027, the project represents not just a step forward in renewable energy but a tangible investment in South Africa’s long-term energy security.
By providing strategic funding for transformative infrastructure projects, DBSA continues to play a vital role in enabling sustainable development and ensuring that clean energy solutions power South Africa’s future.
