Engie has confirmed a successful financial closure on two solar power projects in South Africa through South Africa’s Bid Window Five (BW5) under the Renewable Energy Independent Power Producer Procurement Programme (REIPPPP).
The projects dubbed Grootspruit PV and Graspan Solar PV will each have a capacity of 75MW. Engie collaborated with local black-owned independent power producer Pele Green Energy on these projects. Construction for the solar power plants, located in the Northern Cape, is scheduled to begin in early 2024, and completion is expected by the end of 2025.
READ:South Africa launches bid window 7 for renewable energy projects
Clean energy
The goal is to generate 150MW of electricity, contributing to a significant reduction in South Africa’s annual CO2 emissions by 100,000 tons. Engie plans to meet the energy needs of approximately 80,000 households through a 20-year power purchase agreement (PPA) with Eskom, the state utility.
Mohamed Hoosen, CEO of Engie South Africa, emphasized the company’s commitment to supporting South Africa’s transition to a lower carbon economy and aligning with the government’s long-term objectives outlined in the National Development Plan. These projects signify Engie’s ongoing efforts in the renewable energy sector, complementing its existing solar and concentrated solar power plants in South Africa.
South Africa has a large potential for clean energy. The country has a rich renewable resource base, particularly in solar, wind and biomass. Besides this, the government has set ambitious targets for emission reductions and the future share of renewable energy in the national energy mix.