Mantashe signs power deals worth R14.6bn
MINISTER of Mineral Resources and Energy Gwede Mantashe has signed project agreements with an additional two preferred bidders appointed under the Risk Mitigation Independent Power Producer Procurement Programme (RMIPPPP).
The agreements are worth R14.6 billion.
According to the department, the two projects, totalling 203MW, are both hybrid renewable projects, which consist of a combination of solar PV, onshore wind and battery storage technologies.
“The projects will have up to December 2023 to finalise conditions precedent to conclude financial close and start with project construction.
“The new generation's capacity is expected to be online from 2025 on.
“This brings the total number of projects that have signed agreements under the RMIPPPP to five out of the 11 preferred bidders appointed, which will add a total of 353MW of dispatchable capacity to the national grid.
“The first three RMIPPPP projects that signed agreements in June 2022 are currently in construction and are set to reach commercial operation in November 2023,” added the department.
The department said that these projects would contribute a total of 3 966 job year opportunities in the construction and operation of these power plants and will also contribute over R610 million over their 20-year lifetime on skills development, supplier development, enterprise development, and socio-economic development initiatives in the communities within which they operate.
The Department of Mineral Resources and Energy (DMRE) said that it wished to congratulate all the preferred bidders on achieving these milestones.
The signed project agreements are as follows:
Project Name: Oya Energy Hybrid Facility. Main Developer and Equity Shareholders: GDF International SA, G7 Power, Meadows Oya Energy and Perpetua RMI4P Oya. Contracted Capacity (MW): 128MW Location: Matjiesfontein, Western Cape.
Project Name: Umoyilanga Energy. Main Developer and Equity Shareholders: EDF Renewables and Perpetua Holdings. Contracted Capacity (MW): 75MW Location: Avondale, Northern Cape, and Dassiesridge, Eastern Cape.