Teraco Signs Wind Energy Deal in South Africa

February 27, 2025 • Estimated Reading Time: 2 minutes

Key Figures & Findings: South African data center provider Teraco, a subsidiary of Digital Realty, has signed a Power Purchase Agreement (PPA) with energy aggregator NOA to supply wind energy to its facilities. This complements Teraco’s existing 120MW solar plant under construction in the Free State, reinforcing its commitment to renewable energy. NOA will wheel wind power from multiple projects, ensuring a steady energy supply that balances daytime solar generation.

Statistics & Insights: The agreement allows Teraco to ramp up renewable energy adoption, with the first wind power expected to be delivered by 2026. The company operates eight data centers in Cape Town, Durban, and Johannesburg, with an additional 40MW facility under development at its Isando Campus.

Future Implications: If successful, this model could set a precedent for large-scale renewable energy wheeling agreements in South Africa’s data center sector. As energy-intensive industries seek carbon-neutral solutions, similar partnerships may accelerate South Africa’s clean energy transition, reducing dependence on fossil fuels by 2027 and beyond.