Electricity wheeling agreement targets 60% renewable power supply for Gauteng manufacturing sites

SOUTH AFRICA – Tiger Brands has signed an electricity wheeling agreement with renewable energy supplier Apollo Africa as part of its strategy to reduce greenhouse gas emissions and increase the use of renewable electricity across its manufacturing operations.
The agreement, which is scheduled to commence in 2028, will initially supply renewable electricity to Tiger Brands’ manufacturing facilities in Gauteng. Under the arrangement, approximately 60% of the electricity supplied to the company’s sites through the Ekurhuleni Municipality will come from renewable energy sources.
The agreement uses a power wheeling model, which allows electricity generated from off-site renewable energy facilities, such as wind and solar farms, to be transmitted through South Africa’s national grid.
Under a Power Purchase Agreement (PPA), Tiger Brands will replace a portion of its Eskom-supplied electricity with renewable power from Apollo Africa.
According to Praveen Balgobind, Chief Manufacturing Officer at Tiger Brands, the agreement enables the company to access clean energy regardless of where the renewable generation assets are located, providing greater flexibility while supporting long-term cost efficiency and emissions reduction.
The renewable energy agreement forms part of Tiger Brands’ 2030 Environmental Stewardship strategy, which includes targets to reduce water and energy intensity by 30%, cut carbon emissions by 30%, source 31% of its electricity from renewable energy, achieve zero waste to landfill across all sites, reduce food production waste by 50%, ensure 80% of plastic packaging is recyclable or compostable, and incorporate 25% recycled content in PET packaging.
Apollo Africa CEO Nico de Bruyn described electricity wheeling as one of the most effective tools available for large energy users in South Africa to access renewable power. He said the partnership would help Tiger Brands advance its decarbonisation goals while improving access to flexible and cost-competitive renewable energy.
The companies said the agreement represents the beginning of a long-term partnership aimed at lowering the environmental impact of Tiger Brands’ operations while supporting more sustainable food production.
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