South Africa targets offshore wind to power data centres

South Africa is exploring significant offshore wind potential to support its energy needs and growing AI data centre industry. A strategic framework published by the Department of Electricity & Energy, prepared by the Carbon Trust under contract to the World Bank, identifies approximately 95GW of technical potential along the country’s 2,800km coastline.

The framework suggests that offshore wind could transform coastal cities like Cape Town and Durban into clean energy hubs for energy-intensive users, such as data centres. However, the report highlights major obstacles, including a lack of legislation for seabed leasing, site exclusivity regulations, and the high costs associated with development.

In a specific development, the Gagasi offshore wind project near Richards Bay has seen its environmental impact assessment suspended. The 800MW project, a joint venture between Genesis Eco-Energy Developments and Hexicon, is undergoing a redesign. The project is shifting from a floating turbine model to a configuration with turbines fixed to the seabed due to technical considerations. Developers expect to provide an update on the project next month.