NERSA-licensed electricity trader Etana one step closer to becoming SA's first green utility

John Perlman interviews Evan Rice, CEO of Etana Energy.

Listen below.

NERSA-licensed electricity trader Etana is one step closer to becoming South Africa's premier green utility, procuring electricity from numerous independent power producers (IPPs) and distributing it to diverse end users.

Autocast, an automotive component manufacturer located in Gqeberha in the Eastern Cape, has inked a power purchase agreement with Etana, securing between 50% and 70% of its electricity requirements.

This marks the initial phase of their journey toward green utility status, akin to a scaled-down Eskom, catering to multiple clients while exclusively dealing in renewable energy.

Etana will procure the energy and transmit it via the Eskom or municipal grid to the purchaser at rates competitive with Eskom and municipal retail tariffs.

According to reports from Moneyweb, Etana's tariffs will undergo only annual adjustments in line with CPI, in contrast to the often steep tariff hikes imposed by Eskom and municipalities, which typically surpass the inflation rate.

Rice says that their primary challenge moving forward lies in determining optimal locations for constructing new plants to guarantee seamless grid connectivity.

"We're focused on delivering clean energy, through the grid, to business customers."

- Evan Rice, CEO – Etana Energy

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