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Tiger Brands to Source 60% of Gauteng Power via Renewable Wheeling by 2028

Tiger Brands plans to source roughly 60% of its Gauteng manufacturing electricity from renewable sources via wheeling by 2028, reducing emissions and costs.

Elena Voss/3 min/US

Business & Markets Editor

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Tiger Brands has signed a landmark electricity wheeling agreement with renewable energy supplier Apollo Africa to help reduce its scope 1 and 2 greenhouse gas (GHG) emissions, beginning with its manufacturing sites in Gauteng...

Tiger Brands has signed a landmark electricity wheeling agreement with renewable energy supplier Apollo Africa to help reduce its scope 1 and 2 greenhouse gas (GHG) emissions, beginning with its manufacturing sites in Gauteng...

Source: BizcommunityOriginal source

Tiger Brands plans to source about 60% of the electricity for its Gauteng manufacturing sites from renewable sources via wheeling by 2028. The deal with Apollo Africa will cut emissions, lower costs and support the company’s growth while delivering affordable nutrition.

Tiger Brands signed a landmark electricity wheeling agreement with renewable energy supplier Apollo Africa. The arrangement will begin in 2028 and is designed to reduce the company’s scope 1 and 2 greenhouse‑gas emissions. Wheeling allows power generated at wind or solar farms to be delivered to distant factories through the national grid, with Eskom electrons exchanged for renewable ones under a power purchase agreement.

By 2028, Tiger Brands’ Gauteng sites will receive roughly 60% of their electricity through this wheeling mechanism. Praveen Balgobind, chief manufacturing officer, said the agreement will let the business grow, maximise cost efficiency and cut its carbon footprint while still delivering affordable nutrition. Nico de Bruyn, CEO of Apollo Africa, called wheeling an effective tool for large South African energy users and noted Tiger Brands is deploying it strategically and at scale as part of its decarbonisation plan.

The move aligns with Tiger Brands’ 2030 Environmental Stewardship targets, which include a 30% cut in water and energy intensity, a 30% reduction in carbon emissions and a goal for 31% of electrical energy to come from renewables. By sourcing a majority of its Gauteng power off‑site, the company can meet those goals without being limited by the location of generation assets. Industry analysts expect the deal to lower operating expenses and improve the firm’s sustainability rating, potentially influencing other manufacturers to pursue similar wheeling contracts.

What to watch next: the rollout of the wheeling infrastructure in 2028, any expansion of the agreement to other Tiger Brands facilities, and how the initiative affects the company’s progress toward its 2030 sustainability benchmarks.

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