S Africa clinches 975 MW of solar PPAs, unveils preferred bidders in sixth tender

Dec 12, 2022 12:19 PM ET
  • South Africa has authorized power purchase agreements (PPAs) for 975 MW of renewable energy projects and awarded preferred bidder condition on an additional 860 MW of propositions under its Renewable Energy Independent Power Producer Procurement Programme (REIPPPP).
S Africa clinches 975 MW of solar PPAs, unveils preferred bidders in sixth tender
Image: Scatec Solar ASA

The PPAs, in addition to application agreements (IAs), were signed for 13 projects, every one of which solar photovoltaic or pv (PV), under the nationwide project's 5th round, the government said on Thursday. The specific tender was released in April 2021 and also caused the selection of 25 projects with preferred-bidder standing for an integrated capacity of 2,583 MW. So far, PPAs have actually been secured for 19 out of the 25 wind as well as solar schemes, amounting to 1,759 MW.

The listing of newly-signed PPAs includes 3 projects of 273 MW in total by Norwegian renewables developer Scatec ASA (OSL: SCATC), one more three projects recommended by France's Engie (EPA: ENGI) and also Pele Green, one project by Total Mulilo in addition to 6 schemes for 450 MW of capacity suggested by the Ikamva Consortium, led by Africa-focused independent power producer (IPP) Globeleq and also Mainstream Renewable Power.

The construction of these projects is expected to take around 24 months. The solar farms result from be turned on in very early 2025.

In addition, the Energy Ministry awarded preferred bidder standing on 5 solar projects that used 860 MW of capacity as part of REIPPPP's 6th round. The weighted ordinary price of the proposals stood at ZAR 490.48 (USD 28.39/ EUR 27.04), representing an 8% rise from the tariffs in Bid Window 5.

The chosen schemes ask for an overall investment of ZAR 12.1 billion. Details regarding each of them are readily available in the table.

Project name Contracted Capacity (MW) Price (ZAR) Location (province)
Kutlwano Solar Power Plant 150 469.50 North West
Boitumelo Solar Power Plant 150 469.50 North West
Virginia Solar Park 240 486.50 Free State
Good Hope Solar Park 200 498.90 Free State
Doornhoek PV 120 540 North West

Talks are meanwhile continuous to include an additional proposal so regarding load the continuing to be gap up to the targeted 1,000 MW for solar PV, the federal government claimed.

Bid Window 6 asked for new generation capacity of 4,200 MW, of which 1,000 MW solar and also 3,200 MW wind.



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