8 December 2011
South Africa has released its first list of preferred independent power producers, accepting 28 bids from companies to generate over 1 400 megawatts of electricity from solar and wind sources.
The announcement was made on the sidelines of the UN Climate Change Conference (COP 17) in Durban on Wednesday.
South Africa’s Department of Energy put out a request for proposals on new generation in August, asking independent power producers to submit their proposals for the first window, which closed on 4 November.
According to the government’s Integrated Resource Plan, a 20-year projection on electricity supply and demand, about 42% of electricity generated in the country – about 3 725 megawatts (MW) – is required to come from renewable resources.
Initially, the department received 53 bids from independent power producers. “From phase 1 of the large-scale renewable project, 53 bids amounting to 2 128 MW were received across wind, photovoltaic (PV) solar power power, concentrated solar power (CSP), and small hydro-electric projects,” the department said on Thursday.
“The evaluation resulted in 28 bids with a total of 1 416 MW being selected as preferred bidders,” the department said in a statement.
Among the preferred bidders for photovoltaic provision is SlimSun Swartland Solar Park, with 5MW capacity, and De Aar Solar PV with 48.25 MW. A total of 18 preferred bidders for photovoltaic solar were selected, representing 631.53 MW of capacity.
There were eight preferred bidders for wind energy, together making up 633.99 MW of capacity, while two concentrated solar power bidders were also selected, representing 150 MW of capacity.
There are five window phases in which potential bidders can submit their bids to provide power, with the second deadline in 2012.
The department said it was “confident that the preferred bidders will successfully conclude their project arrangements in order to meet the financial close deadline of 30 June 2012 and construction to commence shortly thereafter.”
A full list of the preferred bidders is available on the department’s Independent Power Producer (IPP) Procurement Programme website www.ipp-renewables.co.za.