Reshaping PPAs for a Shifting Energy Market

As the South African Wholesale Electricity Market (SAWEM) approaches its April 2026 launch into a more liberalised electricity market, one thing is clear:

South Africa is entering an energy revolution, and Power Purchase Agreements (PPAs) will be reshaped to meet new market realities. We at SDG Legal are at the forefront of the advance!

The new market will introduce, among others, more transparent pricing, balancing responsibilities, and opportunities for generators and traders to sell excess energy — all of which will require PPAs to facilitate emerging forms of trade and commercial relationships within the industry.

Our firm specialises in drafting and adapting PPAs for precisely these kinds of shifts. As SAWEM brings a competitive trading environment to life, we help clients future-proof their agreements — ensuring compliance, flexibility, and commercial advantage in the evolving energy landscape.

Smarter, market-linked PPAs can unlock new revenue streams, improve efficiency, and strengthen long-term competitiveness. Industry players that prepare their contracts now will be best placed to trade, expand, and stay compliant when SAWEM goes live.

We don’t just draft PPAs — we future-proof them.

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