IPP inks deal to build 147 MW Wind Project in South Africa

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IPP inks deal to build 147 MW Wind Project in South Africa
A Wind farm in Cape Town South Africa.

Global integrated Independent Power Producer (IPP), Building Energy has announced that it has signed Power Purchase Agreements with Eskom Holdings SOC Ltd for a wind project in South Africa.

Under the deal, Building Energy will  build, own and operate a 147 MW wind plant in Roggeveld and a 4,7 MW mini hydroelectric plant in Free State.

The deals were made official with the presence of South African Energy Minister Jeff Radebe and Matteo Brambilla, Building Energy Managing Director Africa and Middle East.

The Company had been awarded preferred bidder status under Round 4 of the South African Department of Energy Renewable Independent Power Producer Procurement (REIPPP) Programme for the wind and hydro projects in April 2015.

These agreements signed on Wednesday, 4 April 2018, will be the official start for the construction of the wind farm in Roggeveld, in the Laingsburg area, straddling the border between the Northern and Western Cape Provinces and the small-hydroelectric plant in Kruisvallei, in the Free State Province.

Read:South Africa’s energy mix will be much cheaper with renewables-study

The overall investment in the construction of the two plants amounts to 324 million Euros. The Roggeveld wind farm will generate around 613 GWh per year.

The energy generated will satisfy the energy needs of roughly 49.200 households every year while avoiding the emission of about 502.900 tons of CO2 emissions.

Construction work is scheduled to begin in 2018 and the Commercial Operation Date is foreseen to be in April 2021. Instead Kruisvallei small-hydroelectric plant will generate around 28 GWh of energy annually, catering to the energy needs of more than 2.330 households.

In addition to covering the community’s energy needs, the plant will save atmospheric emissions of more than 23.800 tons of CO2 per year.

Previously, Building Energy had already been awarded a 81 MWp solar farm in Kathu, in the first Round of the REIPPP Programme, which has been operating since August 2014 and is one of the largest solar PV plants on the continent.

From its Cape Town office, the company manages and coordinates over 40 projects that are operational or under development in Africa and the Middle East across the technologies of solar PV, wind and small-scale hydroelectric energy, including inter alia projects in South Africa, Uganda, Mali, Malawi, Cameroon, Tunisia, Botswana, Zambia and Cote D’Ivoire.

“We are delighted to have signed the agreement at the presence of Minister of Energy of South Africa, – said Matteo Brambilla, Building Energy Managing Director Africa and Middle East – for the construction of the Roggeveld plant, which represents our first wind farm in South Africa.

We are also excited to develop two of the 2.3GW of renewable energy projects allocated by South African Government in the first major investment deal under President Cyril Ramaphosa”.

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