DMRE aims to unveil battery storage preferred projects in two months after receiving 17 bids

4th August 2023 By: Terence Creamer - Creamer Media Editor

DMRE aims to unveil battery storage preferred projects in two months after receiving 17 bids

A total of 17 bids have been received in response to the Department of Mineral Resources and Energy’s (DMRE’s) inaugural public procurement for battery energy storage system (BESS) projects.

The BESS request for proposals was launched on March 7 with an initial bid submission deadline of July 5, which was subsequently postponed to August 2 as a result of delays to the issuance of cost estimate letters for grid connections.

The DMRE is seeking to procure BESS projects with a combined capacity of 513 MW and a minimum of four hours of storage, or at least 2 052 MWh.

The batteries are set to be installed in close proximity to five substation sites in the Northern Cape, which have been specified by Eskom.

The DMRE has published a list of the 17 projects, along with the names of the project companies, which include:

The DMRE did not provide further details regarding the identities of the consortium members behind each bid, neither did they indicate whether the bids were evenly spread across the five selected sites.

The substation sites selected by Eskom have been named previously as being Aggeneis, Ferrum, Garona, Mookodi, and Nieuwehoop.

The department also did not comment on the tariffs bid, saying only that the information could be provided only once the evaluation of the bids was completed.

“It is envisaged that preferred bidders will be announced within the next two months,” the DMRE told Engineering News in response to questions.