By Lehlohonolo Lehana.
The National Energy Regulator of South Africa (NERSA) has awarded Investec an energy trading licence, enabling the bank to roll out new specialised energy products and supply its headquarters with privately sourced power.
Investec will focus on delivering tailored, client-centric solutions that address rising tariffs and sustainability goals, while improving financial performance and operational resilience.
“This licence is more than a regulatory milestone landmark – it’s about unlocking competitive advantage for our clients,” said Mpho Modise, Head of Renewable Energy Trading at Investec.
“As South Africa navigates rising energy costs and ongoing supply challenges, we are focused on providing innovative, cost-effective solutions that not only future-proof businesses but also accelerate the shift to renewable energy.”
The newly awarded licence enables Investec to broaden its energy solution portfolio, providing energy users with flexible, capital-free access to clean and renewable power.
At the same time, the licence positions the company as a credible partner for Independent Power Producers (IPPs), facilitating funding, offtake and wheeling which partnerships.
Recent regulatory changes have opened South Africa’s energy sector to new entrants and innovations, with energy trading increasingly recognised as a critical enabler of the transition to sustainable power.
By combining advanced technology, market access, and renewable energy partnerships, Investec said it is uniquely positioned to deliver measurable impact for clients.
Investec’s first power procurement project is currently under construction and is expected to come online in Q2 2026.
The bank will purchase solar power from the Ilikwa Solar PV Facility in the Free State, which has a generation capacity of 50 MW. Mainstream Renewable Power is leading the project, and Investec holds a 30% equity stake.
Investec first lodged its application for an electricity trading licence with Nersa in early May 2025.
Meanwhile it remains to be seen whether Investec’s trading licence will also be challenged by Eskom, which has taken Nersa to court over the awarding of five trading licences.
The power utility wants the licences withdrawn, arguing that they represented a radical and unconsulted “new policy” that would “upend the entire landscape of electricity provision.”
Eskom is concerned the licences will allow private companies to “cherry-pick” the most valuable customers in its areas of distribution and lure them away with cheaper tariffs.