Jun 07, 2012
Nersa approves 28 renewables licences as financial close deadline nearsBack
Engineering|Africa|Eskom|Projects|Renewable Energy|Renewable-Energy|Africa|South Africa|Energy|Power Generation|Power-generation|Dipuo Peters|Power|Eastern Cape|Limpopo|Northern Cape|Western Cape
© Reuse this
The licences are a key condition to enable bidders to reach financial closure by the June 19 deadline set under the REIPPP. But besides securing a licence, developers also need to conclude power purchase and connection agreements with Eskom, as well as implementation agreements with the Department of Energy.
Through the REIPPP, government is seeking to procure 3 725 MW of capacity, to be introduced into South Africa’s power generation mix between 2014 and 2016.
On December 7, Energy Minister Dipuo Peters named 18 solar photovoltaic projects, representing 631.53 MW of capacity, two concentrated solar power projects, with a combined capacity of 150 MW, and eight onshore wind developments, representing 633.9 MW, as preferred bidders.
In all, the projects represented a potential capacity of 1 415.52 MW, leaving 2 309.48 MW still to be allocated, 100 MW of which had been set aside for small-scale projects of less than 5 MW.
Subsequently, 19 additional projects, collectively representing 1 043.9 MW, were also named as preferred bidders by Peters in May, following the second-bid-window evaluation, which took place between March 5 and May 21.
The 47 preferred bids, which represented some 2 459.4 MW of renewables capacity, were expected to collectively invest some R70-billion to develop their projects.
However, Peters recently expressed concern that not all of the window-one projects would be in a position to meet the mid-June financial-closure deadline.
The licensing process for the first 28 projects was completed in April, which Nersa said was a month earlier than had been targeted.
The process included a series of public hearings, which were conducted in the Western Cape, Eastern Cape, Northern Cape and Limpopo provinces between March 1 and March 8.
“All 28 applications met the required criteria, which include technical, financial, economic, regulatory and legal requirements,” Nersa said.
The regulator told Engineering News Online that it had not yet received licence applications from the second-bid-window preferred bidders. But public hearings would be scheduled once these applications had been received.
Edited by: Creamer Media Reporter© Reuse this Comment Guidelines (150 word limit)
Other Construction News
Recent Research Reports
Liquid Fuels 2014 - A review of South Africa's Liquid Fuels sector (PDF Report)
Creamer Media’s Liquid Fuels 2014 Report examines these issues, focusing on the business environment, oil and gas exploration, the country’s feedstock supplies, the development of South Africa’s biofuels industry, fuel pricing, competition in the sector, the...
Water 2014: A review of South Africa's water sector (PDF Report)
Creamer Media’s Water 2014 report considers the aforementioned issues, not only in the South African context, but also in the African and global context, and examines the issues of water and sanitation, water quality and the demand for water, among others.
Defence 2014: A review of South Africa's defence industry (PDF Report)
Creamer Media’s Defence 2014 report examines South Africa’s defence industry, with particular focus on the key participants in the sector, the innovations that have come out of the sector, local and export demand, South Africa’s controversial multibillion-rand...
Road and Rail 2014: A review of South Africa's road and rail infrastructure (PDF report)
Creamer Media’s Road and Rail 2014 report examines South Africa’s road and rail transport system, with particular focus on the size and state of the country’s road and rail network, the funding and maintenance of these respective networks, and the push to move road...
Real Economy Year Book 2014 (PDF Report)
This edition drills down into the performance and outlook for a variety of sectors, including automotive, construction, electricity, transport, steel, water, coal, gold, iron-ore and platinum.
Real Economy Insight: Automotive 2014 (PDF Report)
This four-page brief covers key developments in the automotive industry over the past 12 months, including an overview of South Africa’s automotive market, trade figures, production and the policies influencing the sector.
This Week's Magazine
South Africa remains an important manufacturing and export platform for Ford Motor Company, says executive chairperson Bill Ford. However, he adds that other countries on the continent are “becoming interesting”, and that the US carmaker is casting its net wider for...
Germany’s Max-Planck-Society (MPG) and the Max-Planck-Institute for Radio Astronomy (MPlfR) are investing €11-million (about R150-million) into South Africa’s MeerKAT radio telescope array programme. The money will be used to design, build and install S-band radio...
Infrastructure spend in sub-Saharan Africa will grow from $70-billion in 2013 to $180-billion by 2025, says PwC capital projects and infrastructure Africa leader Jonathan Cawood. This is one of the findings of PwC’s Capital Projects & Infrastructure report on East...
Private-owned defence and aerospace manufacturer Paramount Group and the Ichikowitz Family Foundation unveiled its Anti-Poaching Skills and K9 Training Academy in Magaliesburg last month.
The inclusion of Bluetooth to provide sub-three meter accuracy and heightened functionality for users is one of the ways to change existing wireless networks into engagement networks. An engagement network differs from common wireless networks in that it enables the...