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 provided more than 550 jobs at the height of the project’s construction.
Capital Expenditure
The projects represent an investment of about R6.6-billion.
Planned Start/End Date
Perdekraal reached its commercial operation date in October 2020.
Construction on Kangnas started in June 2018 and achieved commercial operations in November 2020.
Latest Developments
The Kangnas Wind Farm and Perdekraal East Wind Farm are now operational.
The Kangnas Wind Farm achieved commercial operation on November 15, making it the first REIPPPP Bid Window 4 wind farm in the Northern Cape to come on stream.
According to the developers, this wind farm is expected to generate more than 513 GWh/y of renewable energy over its 20-year operational life.
Following industry trends, as set up by the Department of Energy’s local-content requirements, the wind farm achieved high local-content levels, exceeding 45%. This includes locally manufactured turbine towers and the project’s megatransformer.
Key Contracts, Suppliers and Consultants
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.