NC set for investment ...

THE PATH has been cleared for billions of rand of investment and the creation of more than 30 000 jobs in the Northern Cape after the Minister of Energy, Jeff Radebe, yesterday signed the outstanding renewable energy agreements with independent power producers (IPPs) on behalf of state-owned power utility Eskom.

The Department of Energy said that the 27 projects, located in mainly rural parts of South Africa, would amount to R55.92 billion in new direct investment in the energy sector and create much needed jobs.

The bulk of the outstanding 27 projects, which include wind, solar PV and CSP, are earmarked to be constructed in the Northern Cape, which has over 60 percent of the preferred bid allocation.

Radebe said that the Northern Cape would benefit from 59 percent of the 61 600 full-time jobs that the projects, with a combined investment value of R56 billion, would provide.

“As in most of the bid rounds, the Northern Cape will receive the majority of the investment with 15 new wind, solar PV and CSP projects, followed by the Eastern Cape, with the addition of another four new wind projects in that province, together with the North West, which will also have four new solar PV projects. The Western Cape will add another two wind projects to their portfolio, while Mpumalanga will have its first IPP project, a biomass project, and the Free State will see the addition of one small hydro project to their portfolio.

The agreement was signed after the Gauteng High Court last week threw out a bid by the National Union of Metalworkers of South Africa (Numsa) and Transform RSA to block the deal, which they said would lead to at least 30 000 job losses in Mpumalanga, home to five Eskom coal-fired power stations.

According to Radebe, the 27 projects are expected to offset 8.1 million tons of CO2 per annum.