Shoprite Group Rolls Out Electricity Wheeling at a Third Site

by Ikeoluwa Juliana Ogungbangbe

The Shoprite retail group has started wheeling out renewable electricity at its home office in Brackenfell, Cape Town. This marks the company’s third site to implement this energy solution, showcasing its commitment to sustainability. Wheeling involves the buying and selling of electricity between private parties, using an existing grid to transport power from where it is generated to the end-user. This approach not only creates greater access to renewable energy but also helps in relieving the country’s electricity crisis. By leveraging this method, Shoprite is able to utilize renewable energy more efficiently and reduce its carbon footprint.

The process at Brackenfell involves excess electricity generated by Checkers Hyper Brackenfell at Fairbridge Mall. This electricity is purchased by Enpower Trading, a National Energy Regulator of South Africa-licensed electricity trader. Enpower Trading then facilitates the sale of that electricity back to Shoprite for use at the retailer’s adjacent home office campus.

Sanjeev Raghubir, Shoprite’s chief sustainability officer, highlighted the company’s progress in renewable energy. “In 2023, our consumption of renewable energy nearly doubled to 103,234 MWh from 54,138 MWh in the previous year,” Raghubir said. He noted that with renewable electrons now flowing through Cape Town’s energy grid, the company is another step closer to its climate goals of being carbon neutral by 2050.

The City of Cape Town aims to reduce its reliance on the national grid. The energy market in the city is growing with the emergence of utility-scale independent power producers and small-scale power generators. These entities sell their excess power to the city and other customers through embedded generation and wheeling. This market development is crucial for enhancing energy security and promoting renewable energy use.

Shoprite’s electricity wheeling efforts are part of a broader strategy that began in 2016. The company started wheeling electricity at Checkers Newton Park in Gqeberha, in the Eastern Cape. This initiative has since expanded, demonstrating Shoprite’s long-term commitment to sustainable energy solutions.

In 2022, Checkers Sitari and Sitari Village Mall near Somerset West became one of the first supermarkets and shopping centers in South Africa to operate entirely on renewable energy from wind and solar sources. This milestone was significant not only for Shoprite but also for the retail industry in South Africa, setting a precedent for other businesses to follow.

The transition to renewable energy has not been without challenges. Integrating renewable energy sources into existing operations requires substantial investment in infrastructure and technology. However, the benefits far outweigh the initial costs. By reducing dependence on fossil fuels, Shoprite is contributing to a cleaner environment and setting an example for sustainable business practices.

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