South Africa’s Minister of Mineral Resources and Energy, Mr Gwede Mantashe, signed project agreements with two preferred bidders selected under the Risk Mitigation Independent Power Producer Procurement Programme (RMIPPPP). These two hybrid renewable energy projects, totalling 203MW, encompass solar PV, onshore wind, and battery storage technologies.
The newly signed projects are as follows:
- Oya Energy Hybrid Facility: Developed by GDF International SA, G7 Power, Meadows Oya Energy, and Perpetua RMI4P Oya, this project boasts a contracted capacity of 128MW and is located in Matjiesfontein, Western Cape.
- Umoyilanga Energy: Developed by EDF Renewables and Perpetua Holdings, this project has a contracted capacity of 75MW and is situated in Avondale, Northern Cape, and Dassiesridge, Eastern Cape.
These projects have until December 2023 to finalize conditions precedent for financial closure and commence construction, with an expected online generation capacity by 2025. South Africa has now signed agreements for a total of five out of the eleven preferred bidders under the RMIPPPP, adding 353MW of dispatchable capacity to the national grid.
The total investment attracted by these projects amounts to R14.6 billion, significantly contributing to the country’s economy. Additionally, these initiatives are expected to generate 3,966 job-year opportunities during both construction and operation, with over R610 million allocated for skills development, supplier development, enterprise development, and socio-economic development initiatives within local communities.
The Department of Mineral Resources and Energy (DMRE) congratulates the preferred bidders on reaching these milestones in South Africa’s renewable energy journey.