Photo by: Creamer Media
Mineral Resources and Energy Minister Gwede Mantashe says South Africa has natural renewable-energy resources to “generate the much-needed energy to kickstart our economy and put South Africa on a just energy transition trajectory”.
In an address to the Solar Power Africa conference on Wednesday, the Minister departed from his characteristic defence of fossil fuels and nuclear to highlight the potency of South Africa’s solar resources.
“South Africa’s solar resource potential is amongst the highest in the world, with most areas in the country averaging 2 500 hours of sunshine per year, combined with high solar irradiation levels of between 4.5 and 6.5 kWh/m2 per day.”
He argued that the Integrated Resource Plan of 2019 (IRP 2019) had consolidated a significant role for renewables technologies, which had been underlined by the first two Ministerial determinations made under the IRP 2019, which cater for the procurement of 13 813 MW of wind and solar.
“This represents 44% of the total IRP 2019 target of 31 488 MW for new additional capacity that must be added by 2030.
“The IPP Office has procured 4 578 MW, or 33%, of the determined energy.”
The Minister noted that Bid Window 5 of the Renewable Energy Independent Power Producer Procurement Programme (REIPPPP) was currently at the preferred-bidder stage and that financial close was expected by the end of April this year.”
Twenty-five wind and solar preferred bidders were identified in October, involving projects with a combined capacity of 2 583 MW and a collective investment value of about R50-billion.
Mantashe said a further 9 213 MW is planned for procurement during 2022 and early 2023, but did not offer a breakdown by technology type, with Ministerial determinations also having been published for gas-to-power, coal and battery energy storage.
In a separate speech delivered as part of the debate on President Cyril Ramaphosa’s State of the Nation Address, Mantashe said a request for proposals for 2 600 MW of additional renewable energy would be released at the end of March, in the form of REIPPPP Bid Window 6.
“In April, there will be a request for proposals for 513 MW from battery storage.
“Thereafter, additional bid windows, including Bid Window 7, will follow at six-month intervals.”
He said that government’s IPP programmes had, to date, attracted investment to the value of R212.4-billion from national and international funders.