Energea Acquires Residential Solar-Plus-Battery Microgrid Project in South Africa

Acquisition expands Solarize Africa portfolio with innovative rooftop solar and battery storage system, generating immediate revenue and 13.88% projected IRR

SANDTON, South Africa--(BUSINESS WIRE)--Energea, a global renewable energy developer and operator, announced its acquisition of the YO Residence Solar Project, a fully operational 281.82 kW DC rooftop solar microgrid with a 700 kWh battery energy storage system (BESS) located in Sandton, South Africa. The approximately $462,000 USD investment strengthens Energea's Solarize Africa portfolio with immediate cash flow generation and a projected 13.88% internal rate of return (IRR).

“YO Residence is the first microgrid in our Solarize Africa portfolio and a compelling acquisition, as it immediately begins contributing cash flow while expanding our geographic footprint into South Africa's dynamic renewable energy market,” said Mike Silvestrini, Co-Founder and Managing Partner at Energea. “This project exemplifies our commitment to identifying strategic, de-risked investments that deliver immediate value to our investors. By acquiring a fully operational facility with proven performance history and innovative battery storage capabilities, we're able to grow our portfolio with enhanced stability and predictable cash flows while advancing clean energy adoption in Africa.”

The YO Residence Project represents Energea's first microgrid acquisition, featuring a sophisticated 700 kWh Freedom Won BESS that provides essential backup power during South Africa's frequent load-shedding events. Located in Sandton, one of South Africa's most affluent and economically dynamic urban areas, the project serves a 101-unit residential complex with demonstrated strong energy consumption patterns.

“We forecast the project will produce over 423 megawatt hours (MWh) annually, providing stable, inflation-linked revenue through a 20-year solar lease agreement with the YO Residence Body Corporate, while the integrated battery system delivers critical protection against grid outages valued at R40,000 monthly,” added Silvestrini.

The project's revenue structure includes both energy generation payments at a fixed R2.66/kWh and monthly battery service fees, creating multiple revenue streams with annual CPI-linked escalations. Conservative modeling shows the project remains viable even at 50% occupancy rates, demonstrating robust downside protection.

Strategic Location and Superior Technology

The YO Residence Project benefits from Sandton's position as South Africa's premier financial and commercial hub, offering economic resilience and strong investment fundamentals. The facility utilizes premium Tier-1 components, including 462 JA Solar JAM72S30-610/MR modules and Megarivo MPS 0250kW inverters, mounted on LUMAX racking systems.

The project is interconnected to the City Power of Johannesburg distribution network and benefits from comprehensive equipment warranties that transfer with the acquisition, ensuring long-term performance protection. The locally manufactured Freedom Won battery system provides additional operational advantages with established South African support infrastructure.

Energea will manage the facility through Hooray Power's operations and maintenance services, providing comprehensive monitoring, preventative maintenance programs, and safety protocols aligned with South African regulatory standards.

“This project started with a very practical problem,” said Silvestrini. “You had a high-quality residential community where people were being left without power for reasons completely outside their control. The solution wasn’t more diesel generators or dozens of disconnected systems, it was a properly designed microgrid that actually reflects how people live.”

The YO Residence system combines rooftop solar generation with a large on-site battery, connected behind the meter and optimized to maximize on-site energy use. During normal conditions, the system reduces reliance on the grid. During outages, it keeps essential services running – quietly and automatically. For residents, the impact is immediate and tangible.

“For the people who live here, this isn’t about kilowatt-hours or technology,” Silvestrini added. “It’s about whether the lights stay on, security systems keep working, and daily life continues uninterrupted – even when the grid fails.”

About Energea

Energea is a U.S.-based renewable energy investment platform that connects individual investors with solar projects worldwide. Since launching in 2020, Energea has raised over $450 million and generated a 12% realized IRR for investors. By combining financial returns with measurable environmental and social impact, Energea enables people to participate in the global energy transition. Learn more at energea.com.