Business Report Companies

R193bn private sector energy assistance

Justin Brown|Published

Staff Reporter

THE investment in renewable energy by the private sector has climbed to R193 billion after Minister of Energy Tina Joemat-Pettersson announced 13 extra preferred bidders for the renewable energy independent power producer procurement programme.

Joemat-Pettersson did not provide a breakdown of how the R193bn was made up in a statement issued yesterday.

These 13 bidders would supply an extra 1 084 megawatts of power to support the national grid, the government added.

This is all part of the government’s programme to try and plug the power shortage as a result of Eskom’s troubles and the slow delivery of its power stations, as well as to diversify away from polluting coal fired power stations.

Eskom’s major new projects include the Medupi and Kusile coal-fired power stations, but these are only due to be completed by 2021. Medupi and Kusile are forecast to add a total of more than 9 000MW to the country’s electricity grid.

Approved

Eskom is also building the Ingula pumped storage plant. These three major new plants are costing Eskom about R250bn.

To date, 92 renewable-energy projects have now been approved by the Department of Energy.

Public-private partnerships in renewable energy have seen the contribution of an extra 6 327MW of capacity to the national electricity grid since 2011.

“Across all bid windows to date a total contribution of R19.1bn has been committed to socio-economic development (to be spent over the 20-year life span of the projects), as well as R6bn for enterprise development initiatives,” the government said.

This contributed significantly to economic growth and job creation, as well as energy security and generation of “clean” electricity.

“The co-ordinated approach between government and the private sector to establish renewable energy development projects is making a positive impact on the socio-economic growth of South Africa. This is a clear message that we will overcome challenges by standing together,” said Ompi Aphane, the deputy director-general for policy, planning and clean energy in the Department of Energy.

Aphane was not available yesterday evening to answer questions.

The extra preferred bidders include various onshore wind and solar PV facilities:

Soetwater wind farm (139MW); Kangnas (137MW), Perdekraal East (108MW), Excelsior Wind Energy Facility (32MW), Wesley-Ciskei (33MW), Copperton wind farm (102MW), Garob wind farm (136MW), Solar Capital Orange (75MW), De Wildt (50MW), Bokamoso (68MW), Zeerust (75MW), Greefspan PV power plant number two solar park (55MW); and Waterloo solar park (75MW).