Name of the Project
Kangnas Wind Farm and Perdekraal East Wind Farm.

Location
The Kangnas Wind Farm is located near Springbok, in South Africa’s Northern Cape province. The Perdekraal East Wind Farm is located 80 km north-east of Ceres, in South Africa’s Western Cape province.

Project Owner/s
The equity members of the projects include African Rainbow Energy & Power; H1 Holdings; local community members through established community trusts, with shareholding funded by other project equity partners; Lekela; Mainstream Renewable Power, along with a consortium of investors, such as the International Finance Corporation and the Rockefeller Brothers Fund; and Old Mutual Life Assurance Company.

Project Description
The project entails the construction of two wind farms with a combined capacity of 250 MW.

Kangnas will have a 140 MW capacity and Perdekraal East a 110 MW capacity.

Perdekraal will generate about 368.8 GWh/y, which is expected to be enough power for up to 95 000 South African homes.

The projects were awarded under the South African Department of Energy’s fourth round of the Renewable Energy Independent Power Producer Procurement Programme (REIPPPP).

Potential Job Creation
During the construction phase of Perdekraal East Wind Farm, local communities will have access to skills and training opportunities, as well as greater job and business opportunities, than those previously available in the area. Perdekraal and its contractors will also focus on procuring goods and services locally.

Employment will fluctuate over Perdekraal’s two-year construction period, with local employment having peaked during the latter half of 2018, when an estimated 150 jobs were created.

The Kangnas Wind Farm is providing employment for more than 275 people from the surrounding local Springbok community during the construction phase.

Capital Expenditure
The projects represent an investment of about R6.6-billion.

Planned Start/End Date
The two wind projects will be connected to the country’s national grid by August 2020.

Latest Developments
The main transformer for the Perdekraal East Wind Farm has arrived by road from Pretoria, Gauteng, marking another important milestone in the project's construction.

The main transformer will be housed in a substation situated outside of Ceres. Its job is to increase the voltage produced by the wind farm to 400 kV, rendering it suitable for the national grid.

The 500 MVA megatransformer has been locally manufactured, which adds to the wind farm’s local-content percentage.

The wind farm has also procured locally manufactured turbine towers.

Increasing local-content requirements has driven demand for local manufacturing as each bid window of the REIPPPP has progressed.

Perdekraal East construction project manager Glenn Hobson has said that the project’s obligation for local content exceeds 48% of the total project value, making it a truly South African endeavour.

The wind farm is expected to be connected to the grid by the end of July. 

Key Contracts and Suppliers
Absa (debt); Simmons & Simmons and White & Case (lenders’ legal adviser); Fasken and Stoel Rives (sponsor legal counsel); Concor and Conco (construction contractor) and Siemens Gamesa Renewable Energy (supply and installation of wind turbines).

Contact Details for Project Information
Mainstream Renewable Power, tel +27 21 657 4040.
H1 Holdings, tel +27 21 201 6432 or email info@h1holdings.co.za.
Lekela, tel +44 203 301 6280 or email info@lekela.com.