Two planned projects are gearing up to bring a positive change to South Africa’s power situation.
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The 128MW Oya Energy Hybrid Facility in Matjiesfontein in the Western Cape and the 75MW Umoyilanga Energy project, which covers Avondale in the Northern Cape and Dassiesridge in the Eastern Cape, are part of Bid Window 7 (BW7) under the Renewable Energy Independent Power Producers Procurement Programme (REIPPPP).
The deadline for bid submissions for round seven is 30 April 2024. These projects are expected to bring in around R14.6 billion in investments and generate nearly 4 000 jobs during construction and operation.
This plan aims to add 5 000MW of new generation capacity, with a significant portion (3 200MW) coming from wind energy.
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As per the Daily Maverick, the first-of-its-kind hybrid renewable independent power producer programme projects are set to go live in 2025. They combine wind, solar and battery storage on a large scale and will provide a boost during peak hours, helping South Africa tackle its energy challenges and reducing the impact of loadshedding.
Bidders are directed by the department to assess available supply areas based on the Generation Connection Capacity Assessment (GCCA) of the 2025 Transmission Network. Unlike a geographically agnostic approach, bid round seven considers the country’s grid constraints.
Niveshen Govender, chief executive of the South African Wind Energy Association, says rolling procurement to attract market investment and mitigate risks is crucial. ‘To ensure a successful bid window, the industry is mindful of outstanding critical issues which require clarification, particularly those related to grid capacity and its allocation. In addition, the industry will examine the bid window document to assess its implications for upcoming projects set to come online.’
He adds that engagement with Eskom will continue until these obstacles are resolved.
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