NECESSARY ANALYSIS
The grant funds a feasibility study to assess the viability of a 75 MW solar photovoltaic power plant, in the Free State
Photo by: Bloomberg
The US Trade and Development Agency (USTDA) has awarded a grant to Johannesburg-based independent power developer Pele Green Energy. The grant will fund a feasibility study to assess the viability of a 75 MW solar photovoltaic (PV) power plant in the Free State.
US consul general in Cape Town Teddy Taylor signed the grant on behalf of the USTDA, along with Pele Green Energy On-Grid Project Development executive director Obakeng Moloabi, at a Power Africa event, in Cape Town, during Africa Utility Week last month.
South Africa has enjoyed one of the most robust markets for renewable energy in sub- Saharan Africa.
The objective of the feasibility study is to provide Pele Green Energy with the necessary analyses required to prepare a competitive proposal for the next round of South Africa’s Renewable Energy Independent Power Producer Procurement Programme and to assess other options for the project to sell its output directly to interested public- and private-sector offtakers.
Pele Green Energy selected independent economic and financial advisory firm Castalia LLC, based in Washington DC, to conduct the feasibility study. The project presents opportunities for US businesses to sell solar PV modules, inverters and mounting racks, as well as other equipment and services.
“We are proud to connect Pele Green Energy with a leading US company to develop this project that will [supplement] solar energy generation in South Africa,” USTDA sub-Saharan Africa regional director Lida Fitts noted in a statement last month.
“Pele Green Energy is excited to partner with the USTDA,” Moloabi said in the same statement, adding that “risk capital for renewable-energy projects is often difficult to secure, so we appreciate the USTDA’s contribution towards bringing this project to financial close”.
Pele Green Energy develops, owns and operates renewable-energy power plants in solar, wind, landfill gas-to-electricity and hydro. The company owns and operates more than 902 MW of wind and solar power plants, locally, while its sister company, Pele Natural Energy, develops and operates baseload power projects.