Natura Energy on Friday announced that the company was forging ahead with the development and implementation of the 50 MW TeraSun energy solar photovoltaic power park initiative to sell, across the national grid, competitively priced electricity to large power users in Namibia.
The decision follows an announcement by the Namibian Cabinet, in April, approving the new Modified Single Buyer (MSB) model regulatory framework.
The framework allows independent power producers to sell electricity to large power users locally and internationally across the national transmission grid.
The TeraSun power park will be located in Arandis, which enjoys among the best solar irradiation in the country.
The project has the potential to generate more than 2 480 kWh/y.
The N$900-million investment will be structured through TeraSun Energy, a special purpose company that will engage large power users to conclude electricity supply agreements with firm supply durations of 5 to 15 years.
Natura believes the MSB model has the potential to attract significant national and foreign direct investments, as well as help improve the competitiveness of the private and public sectors of Namibia by reducing input costs.
Natura plans to deliver the power park by the end of 2020, with construction earmarked to start in the first quarter of 2020.