Name and Location
Renewable Energy Independent Power Producer Procurement Programme (REIPPPP) – fourth window, nationwide, South Africa.

Client
Department of Energy (DoE).

Project Description
Thirteen projects were accepted in the DoE’s fourth bidding window of the REIPPPP in April 2015.

The 13 projects, which will constitute 1 121 MW of installed capacity on the national grid, were selected from a tightly contested field of 77 proposals.

The preferred bidders include five wind farm projects, six solar photovoltaic (PV) projects, one hydro project and one biomass project.

The wind projects include:
• Roggeveld Wind Farm (138 MW)
• Karusa Wind Farm (142 MW)
• Nxuba Wind Farm (141 MW)
• Golden Valley Wind Farm (117 MW)
• Oyster Bay Wind Farm (142 MW).

The wind projects represent a combined capacity of 676 MW.

The solar PV projects include:
• Sirius Solar PV Project One (75 MW)
• Droogfontein 2 Solar (86 MW)
• Dyason’s Klip 1 (75 MW)
• Dyason’s Klip 2 (75 MW)
• Konkoonsies II Solar Facility (75 MW)
• Aggeneys Solar Project (40 MW).

The combined capacity of the solar PV projects that progressed to the preferred-bidder stage was 415 MW.

The 5 MW Kruisvallei Hydro was selected as the only hydro project for this round.

The biomass project named was the 25 MW Ngodwana Energy Project.

In June 2015, the DoE added another 13 solar PV and wind projects to the 13 projects selected in April under the fourth bid window. The additional bidders will add another 1 084 MW to the grid.

The additional bid-window-four projects include seven onshore wind and six solar PV developments.

The wind projects include:
• Soetwater Wind Farm (142 MW)
• Kangnas wind project (137 MW)
• Perdekraal East Wind Farm (108 MW)
• Excelsior wind energy facility (32 MW)
• Wesley-Ciskei project (33 MW)
• Copperton Wind Farm (102 MW)
• Garob Wind Farm (138 MW).

The solar PV projects include:
• Solar Capital Orange Loeriesfontein project (75 MW)
• De Wildt solar project (50 MW)
• Bokamoso solar project (68 MW)
• Zeerust development (75 MW)
• Greefspan PV Power Plant Number Two solar park (55 MW)
• Waterloo solar park (75 MW).

Value
The successful fourth-round bids are valued at an estimated R23-billion.

The DoE has not yet released the date for financial close.

Duration
Commissioning of these projects is expected from November 2016.

Latest Developments

Original bid-window-four projects:
Wind projects
The 138 MW Roggeveld Wind Farm, in the Western Cape, was developed by G7 Renewable Energies and has been taken over by Building Energy.

Enel Green Power (EGP) won three wind energy projects in this round of the REIPPPP – the 142 MW Oyster Bay and 141 MW Nxuba projects, in the Eastern Cape, and the 142 MW Karusa project, in the Northern Cape. The projects in the Eastern Cape are expected to be operational in 2017 and the one in the Northern Cape is expected to be commissioned in 2018.

Biotherm Energy confirmed in May 2015 that its 120 MW Golden Valley Wind Farm, in the Eastern Cape, and its 32 MW Excelsior wind farm project, in the Western Cape, had been selected under the fourth window of the REIPPPP. In March this year, Biotherm secured financial backing for its projects.

Solar PV projects
Scatec Solar won three fourth-round bids to produce solar energy in South Africa – Sirius Solar PV Project One, Solar PV Dyason's Klip 1 and Solar PV Dyason's Klip 2, in the Northern Cape.

The Sirius project is expected to reach financial closure by the end of April.

Globeleq is jointly managing the construction of the 86 MW Droogfontein 2 Solar project, in the Northern Cape.

The 74 MW Konkoonsies II solar facility and the Aggeneys solar project, in the Northern Cape, will be developed by BioTherm Energy.

Hydro projects
Building Energy will develop the 4.7 MW Kruisvallei Hydro.

Biomass projects
The 25 MW Ngodwana Energy Project will be developed by Sappi.

Additional bid-window-four projects

Preferred bidders for 13 more projects in the fourth bid round of the REIPPPP were added in June 2015.

Wind projects
A consortium led by global wind and solar company Mainstream Renewable Power has been awarded preferred bidder status by the DoE for two large-scale wind energy projects with a total generation capacity of 250 MW under the fourth round of the REIPPPP, representing an investment of about R5.9-billion. The 140 MW Kangnas Wind Farm, in the Northern Cape, and the 110 MW Perdekraal East Wind Farm, in the Western Cape, are expected to contribute power to the grid by 2017.

The 33 MW Wesley-Ciskei wind project, selected recently as part of the enlarged fourth bid window, will be developed in partnership with landowners and farmers in the former Ciskei Homeland area, in the Eastern Cape. The project will be jointly developed by not-for-profit organisation Just Energy, initially established by the Bank of America Foundation, Oxfam and InnoWind, a subsidiary of EDF Energies Nouvelles, of France. The project, which is expected to be operational towards the end of 2017, will feature ten wind turbines.

Gestamp Wind, the wind division of Gestamp Renewables, has been awarded with a 20-year power purchase agreement (PPA) for its 102 MW Copperton Wind Farm, in the Northern Cape. Signing the PPA and start of construction are expected in the first quarter of 2016, with the scheduled start of operation in late 2017. The project will involve an estimated €150-million investment.
Enel Wind Power announced in June 2015 that it had been awarded two energy supply contracts for two wind farms totalling 280 MW, in the Northern Cape. The 142 MW Soetwater and 138 MW Garob wind farms will be completed and enter operation by 2018. EGP will invest about €340-million in the new projects.

Solar PV projects
Solar Capital has been awarded preferred bidder status for its Orange Loeriesfontein solar project, in the Northern Cape. The project is expected to be commissioned in 2018.

Renewable-energy development company SunEdison will provide 371 MW of electricity for the local grid through five solar PV projects – the De Wildt, Bokamoso and Zeerust solar projects, in the North West province; and , the Greefspan PV Power Plant Number Two and Waterloo solar park project, in the Northern Cape.

Key Contracts and Suppliers
G7 Renewable Energies, BioTherm Energy, Scatec Solar, EGP, Globeleq, Building Energy, Enel Wind Power, SunEdison, Solar Capital, Mainstream Renewable Power and Just Energy.

On Budget and on Time?
Not stated.

Contact Details for Project Information
DoE departmental spokesperson Thandiwe Maimane, tel +27 12 444 4256, cell +27 82 450 8591, fax +27 86 581 8505 or email MediaDesk@energy.gov.za.

Companies involved in the REIPPPP fourth window
G7 Renewable Energies, tel +27 21 300 0610, fax +27 86 514 1735 or email info@g7energies.com.
BioTherm, tel +27 11 367 4600.
Scatec Solar CEO Raymond Carlsen, tel +47 454 11 280 or email raymond.carlsen@scatecsolar.com.
EGP, media relations, tel +39 06 8305 1, fax +39 06 8305 3771 or email ufficiostampa@enel.com.
Building Energy, tel +27 21 418 3940.
Globeleq, tel +27 21 180 4500 or email info@globeleq.co.za.
Enel Wind Power head of media relations renewable energy, infrastructure and networks, Cecilia Ferranti, tel +39 06 8305 1, fax +39 06 8305 3771 or email cecilia.ferranti@enel.com.
SunEdison, tel +1 866 786 3347 or fax +1 443 909 7150.
Mainstream Renewable Power, tel +27 21 657 4040 or email Info-southafrica@mainstreamrp.com.