Midrand, 07 April 2025 – The first phase of the Overberg Wind Farm project successfully reached financial close on 13 March 2025 with Red Rocket a leading renewable energy independent power producer. This landmark project underscores South Africa’s transition to clean energy.
The Development Bank of Southern Africa (DBSA), alongside Absa Bank and Standard Bank, has played a pivotal role in financing this milestone project, reinforcing its commitment to accelerating infrastructure development that drives sustainable economic growth.
Once fully operational, the Overberg Wind Farm will be South Africa’s largest privately developed single wind farm, providing a total export capacity of 380MW. The first phase will see Richards Bay Minerals (RBM), a subsidiary of Rio Tinto Group, secure 230MW through a long-term Power Purchase Agreement (PPA), delivering approximately 750GWh 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, "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, "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, it will feature 39 Goldwind 6.2MW 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.
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About the Development Bank of Southern Africa
The Development Bank of Southern Africa (DBSA) is a leading development finance institution committed to promoting economic growth, regional integration, and infrastructure development in Africa. Through its research and investment initiatives, the DBSA drives sustainable development and fosters socio-economic transformation across the continent.
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