Scatec ASA, a leading renewable energy solutions provider, today announced it has been awarded preferred bidder status for the Haru battery energy storage system (BESS) project in South Africa. The project, totaling 123 MW/492 MWh, was selected in the third bid window of the Battery Energy Storage Independent Power Producer Procurement Programme by the Department of Mineral Resources and Energy.
Under a 15-year agreement, Scatec will receive payments for making the storage capacity available to the National Transmission Company of South Africa (NTCSA), which will utilize the system to enhance grid stability and balance. This significant award reinforces Scatec’s commitment to supporting South Africa’s energy transition and addressing the nation’s growing energy demands.
The estimated total capital expenditure (CAPEX) for the Haru BESS project is ZAR 2.2 billion (approximately US$120 million). Scatec’s Engineering, Procurement, and Construction (EPC) contracts are expected to account for approximately 80% of this total. The project will be financed with 90% non-recourse project debt, with the remaining equity contributed by the project owners.
Terje Pilskog, CEO of Scatec, commented on the award: “This achievement reaffirms our strong position as a key renewable energy player in South Africa. We commend the South African government’s unwavering commitment to its renewable energy procurement programs. Battery energy storage systems will continue to be pivotal in the global energy transition, and we are dedicated to remaining at the forefront across our core markets.”
Building on its extensive experience from the hybrid solar and battery storage projects at Kenhardt, and the ongoing construction of the Mogobe BESS, Scatec is poised to further contribute to grid stabilization in South Africa. Alberto Gambacorta, General Manager and Executive Vice President Sub-Saharan Africa at Scatec, added: “Dispatchable energy and robust grid infrastructure are now more crucial than ever in unlocking the sustainability of South Africa’s current and future energy system.”
Scatec will hold a 50.01% equity stake in the project, with Stanlib’s Greenstreet and Redstreet Funds owning 44.99%, and a Community Trust holding the remaining 5%. Scatec will also provide comprehensive EPC, operations and maintenance, and asset management services for the project.
Commercial close for the Haru BESS project, located in the Free State Province, is anticipated by the end of the first quarter of 2026, as confirmed by the Department of Mineral Resources and Energy.
