Cultivating Excellence
Renewable Energy Certificates (RECs) Partner
Empowering Global Energy
RECs are tradable instruments allowing businesses to acquire and claim renewable energy credits. Businesses can use RECs to meet renewable energy targets or obligations.
RENEWABLE ENERGY CERTIFICATES (REC)
What are Renewable Energy Certificates (RECs)?
RECs are tradable environmental instruments representing proof that 1 MWh of electricity was generated from a renewable source (e.g., Solar, Wind, or Hydro). They assign ownership to renewable electricity generation and track the source through audited, blockchain-authenticated certification. RECs enable companies to meet renewable energy targets, enhance sustainability credentials, and attract ESG-focused investors.
Why RECs matter
Electricity on the grid is indistinguishable by source — RECs solve this by tracking and verifying renewable generation. By purchasing RECs, companies can: Comply with Renewable Portfolio Standards or corporate sustainability goals. Publicly demonstrate environmental responsibility. Increase brand equity and market value.
RECs Global Market
RECs are actively traded on three international exchanges and via direct agreements. Market value: USD $30 – $180 per MWh, depending on market demand, country, and energy source. According to Fortune Business Insights, the global REC market was ~US$27.58 billion in 2024, and is projected to grow to ~US$58.23 billion by 2032 (CAGR ~10.05%) Future Market Insights estimates the REC market will be US$23.2 billion in 2025, growing to US$64.6 billion by 2035, at a CAGR of ~10.8% Globe Newswire also projects growth: from US$27.99 billion in 2025 to US$45.45 billion by 2030 (CAGR ~10.2%) Companies may issue both RECs and Carbon Credits, since: RECs = proof of renewable electricity generation. Carbon Credits = proof of emission reductions. These instruments are complementary, offering multiple income and ESG opportunities.
Benefits for Renewable Projects
NEW REVENUE STREAM
RECs offers Renewable Projects an additional revenue stream. Market value: USD $30 – $180 per MWh, depending on market demand, country, and energy source.
COMPLIANCE
Full Compliance with international iREC standards
ZERO UPFRONT COST
Shosholoza Energy acts as the strategic channel partner and facilitator for REC monetization in Africa at a ZERO upfront cost for South African Projects.
NEXT STEP FOR INTERESTED PARTNERS
STEP 1 - APPLICATION FORM
Power Supplier / Project Owner complete application form for initial assesment.
STEP 2 - EXECUTION OF MANDATE AGREEMENT
The Power Supplier executes MOA and returns a signed copy to Shosholoza. The Parties shall nominate authorised signatories and primary contact persons.
STEP 3 - AUDIT
The audit will include a site visit for meter verification and technical checks. For South African sites Shosholoza Energy typically covers the audit/site visit costs. Shosholoza Energy will issue an audit report and, if successful, approve the Project for REC issuance. Typical audit timelines are two (2) to three (3) weeks, subject to site access and documentation completeness.
STEP 4 - LISTING
Shosholoza Energy and it's technical partners will register the Project on the recognized registry, obtain necessary meter verification confirmations and request REC vintages to be issued and tokenised where applicable. RECs listing on the market and secure offers.
STEP 5 - SETTLEMENT
Net Proceeds disbursed to Power Supplier in accordance with the MoA. Shosholoza Energy and it's technical partner shall provide an accounting statement and reconciliation to the Power Supplier.
CASE STUDY - REC REVENUE MODEL
Products
Greenhouse Farming
Leveraging cutting-edge technology, we maximize crop yields and quality year-round with our greenhouse systems.
Methane Production
We convert organic waste into renewable energy, contributing to our carbon-neutral operations and energy efficiency.
Dairy Production
Our advanced dairy farming practices ensure high-quality milk production with minimal environmental impact.
Poultry Meat
Fully automated, large-scale broiler production to supply domestic and export markets with carbon-neutral, antibiotic-free poultry meat.
Organic Fertilizer
A nutrient-rich substance derived from natural sources such as manure or compost, used to improve soil fertility. The product here is organic bio-fertilizer pellets.
Grass-fed, antibiotic-free beef
We are committed to providing high-quality, nutrient-rich grass-fed, antibiotic-free beef for a healthier choice for you and your family.
Carbon Credits & Sustainability
Methane Emission Avoidance
By digesting manure in sealed units, we prevent uncontrolled methane emissions that would occur in open manure lagoons or piles. For instance, 40,000 tons of feedlot manure producing biogas translates to avoiding ~80,000 tons CO₂-equivalent GHG per year. Under mechanisms like the UN Clean Development Mechanism (CDM) or voluntary carbon markets (Verra, Gold Standard), projects can earn Certified Emission Reductions (CERs) for each ton of GHG avoided. The African Carbon Market is growing and South African projects can sell credits internationally. At an estimated 50,000–100,000 tCO₂e avoided annually, and current voluntary carbon prices around $5–10/ton, this could mean $250k–$1M per year (R4–16M) additional income.
CARBON BORDER ADJUSTMENT MECHANISM
The EU is phasing in a Carbon Border Adjustment Mechanism (CBAM) on imports of carbon-intensive goods. While agricultural products are not yet included, the trend is toward favoring low-carbon supply chains. We anticipate that in 5–10 years, importers (of beef, for example) may prefer or even require proof of low emissions per kg. By acting early, our farm can brand its products as carbon-neutral or close to it. Milk powder and beef produced with biogas energy and solar have a far lower carbon footprint than standard. We plan to get carbon footprint certification for our milk and meat.
Government Subsidies & Support
The South African government, through DALLRD (Department of Agriculture, Land Reform and Rural Development) and DMRE (Department of Mineral Resources and Energy), offers various incentives for exactly this kind of integrated project. Possible supports include grant funding for agro-processing equipment (the Agro- Processing Support Scheme APS), tax rebates for renewable energy, already mentioned 125% depreciation Tax incentives are crucial to South Africa's energy transition), and soft loans from the Land Bank for projects that create rural jobs. Additionally, the Free State provincial government has initiatives to promote value-add agriculture – we could receive an infrastructure grant for things like building roads to the farm or upgrading power lines, etc.
Financial Highlights
Business Model & Operations
Beef Cattle Barns
The cattle housing uses a hybrid steel-concrete structure – concrete foundations/walls and steel framing – to ensure durability and ease of cleaning. Insulated wall and roof panels maintain a stable interior temperature (~21 °C) year-round despite Free State’s hot summers and chilly winters (Ventilation and cooling system | TDM | Total Dairy Management). A ridge ventilation system with high-volume fans and automatic louvers provides continuous fresh-air exchange. The ventilation and optional evaporative cooling prevent heat stress when ambient temperatures rise above the cow comfort threshold (~21 °C) (Ventilation and cooling system | TDM | Total Dairy Management). In winter, the barn’s insulation and possibly gentle heating (via warm water pipes from the biogas CHP system) keep the barn near 21 °C. This climate-controlled design supports animal welfare and productivity in local conditions.
Dairy
The dairy barn is equipped with multiple GEA DairyRobot R9500 milking robots for round-the-clock milking. Each robot unit can handle ~60 cows (assuming 3 milkings per cow per day), so the number of units is scaled to the herd (for example, 8–10 robots for ~500 milking cows). The R9500 features an open, cow-friendly stall and the “In-Liner Everything” technology that cleans, stimulates, milks, and post-dips in one attachment, speeding up each milking cycle (~6 minutes per cow). These robots include integrated sensors for milk quality (conductivity, color) and cow health (activity, rumination via collar tags), feeding data, and yield per quarter. A centralized herd management software logs data from each robot, giving staff real-time insight into cow health and production (DairyRobot R9500 | Automatic Milking). The compact footprint of the R9500 (only 5.3 m² per unit) makes barn layout efficient, and multi-box setups share resources to reduce per-cow costs. An automated teat spray and CIP (clean-in-place) system ensures hygiene without manual labor.
Broiler Chicken Barns
The broiler facility consists of climate-controlled, tunnel-ventilated poultry houses optimized for high-density meat chicken production. Each barn is a steel-framed, insulated-panel building approximately 120–150 m long and 15 m wide (∼1,800–2,250 m²) (Updated control technology raised PEF by 50 points), capable of holding 40,000 broilers per cycle. The walls and ceiling panels have polyurethane insulation to stabilize temperatures, and the floor is a concrete pad for easy cleaning. Houses are oriented east-west to minimize sun exposure on sidewalls, with overhangs to shade ventilation inlets. A tunnel ventilation system is employed: large exhaust fans (e.g. 1.3 m diameter) are installed at one end of the house, and opposite end walls have automated air inlets with evaporative cooling pads. In hot weather, this system draws high volumes of air through wet pads, dropping the inlet air temperature significantly as it passes over the water-soaked pads, thus cooling the house.
Integrated Slaughterhouses and Cold Storage
To add value and avoid transport costs, the site includes on-site slaughter and processing facilities for both beef cattle and broiler chickens. These are designed as separate lines within a common complex (to share utilities like hot water, rendering, and refrigeration), while meeting sanitary standards.
Biogas Plant
At the heart of the facility is a biogas plant that converts organic wastes (manure, litter, and energy crops) into renewable biogas and bio-fertilizer, creating a circular resource loop. The system is a wet anaerobic digestion setup operating continuously to handle the farm’s constant waste stream. It is designed for high efficiency via co-digestion of multiple substrates and advanced gas upgrading technology.
Fertilizer Processing Plant
The by-product of anaerobic digestion is a nutrient-rich digestate, which is processed on-site into organic fertilizer products. This avoids waste disposal and creates a revenue stream (or internal fertilizer supply) for crop production. The fertilizer plant is designed to handle the full digestate output (~100% of input waste minus biogas carbon). The system produces two main fertilizers: a solid granular fertilizer (from the separated solids) and a liquid fertilizer (from the separated liquid fraction).
Greenhouses (5 × 1 ha)
The facility includes five modern greenhouses, each 1 hectare (10,000 m²) in area, to produce high- value crops year-round. These climate-controlled greenhouses leverage the outputs of the biogas plant (CO₂ and heat) to maximize crop yield and resource efficiency. The greenhouses diversify farm income and demonstrate sustainable horticulture.
Key Differentiators
Fully Automated & Data-Driven Farming
AI-Powered Precision Farming – Utilizes Artificial Intelligence (AI), IoT sensors, and big data analytics for optimizing livestock management, greenhouse crop yields, and resource efficiency.
Energy Independence & Carbon Neutrality
Renewable Energy Integration – The farm is powered by a combination of solar, wind, and biogas energy to achieve full energy independence.
Vertical Integration & Cost Efficiency
In-House Feed Production – Reduces dependency on external suppliers by producing high-quality, nutrient-rich animal feed, lowering costs and improving livestock health.
Premium Pricing & Sustainable Market Positioning
Organic & Sustainable Labeling – Products are certified organic, carbon-neutral, and hormone-free, allowing access to premium markets and eco-conscious consumers.
Diversified Revenue Streams for Financial Stability
Multiple Revenue Sources – Dairy, beef, poultry, organic fertilizer sales, methane energy production, and greenhouse farming provide diversified cash flows.
Executive Team
Gerrit Esterhuizen
CEO
Gerrit Esterhuizen is a seasoned executive with a strong background in financial structuring, large-scale project development, and strategic leadership across multiple industries, including mining, property development, infrastructure, and agribusiness. With over 10 years of experience in financial services and deal-making, Gerrit has been instrumental in structuring high-value transactions, securing project financing, and optimizing operational frameworks to drive sustainable growth.
Thomas Wu
Director
Thomas Wu is a distinguished entrepreneur and technology leader with extensive experience in sustainable energy solutions, industrial-scale technology deployment, and cross-border innovation transfer. As the CEO of EWU TECH, a leading German company specializing in breakthrough sustainability technologies, Thomas has been at the forefront of transforming industrial sectors through cutting-edge energy solutions that are both cost-effective and environmentally responsible.
John Hibbert
Director
John Hibbert is a highly accomplished finance and energy-sector professional with a proven track record in investor relations, financial structuring, and renewable energy project development. With extensive experience in the financial services industry, John has built a reputation for cultivating strong investor relationships, structuring complex investment deals, and driving financial growth across multiple sectors. His strategic mindset, combined with expertise in risk management, business modeling, and market analysis, has made him a key figure in the development of large-scale renewable energy and infrastructure projects.
Contact
- Bothaville, South Africa
- +27-0720519176
- Mon-Fri - 08:00-19:00