SCATEC ASA, a renewable energy solutions provider, yesterday signed the power purchase agreements for the three Kenhardt projects in the Northern Cape, under the Risk Mitigation Independent Power Producer Procurement Programme (RMIPPPP) with the government.
A first of a kind in Africa, the project will provide 150 Megawatts of dispatchable renewable energy from 5am to 9.30pm based on a hybrid installation of 540MW of solar PV capacity and 1.1 GWh of battery storage.
The Scatec projects were the sole renewables only projects awarded in the technology agnostic RMIPPP programme, it said in a statement yesterday.
Scatec CEO Terje Pilskog said, “Today’s signing acknowledges this landmark achievement by the government, as well as the private sector in achieving this milestone in the RMIPPPP process.
“This unique solar and storage project signifies change within Africa’s renewable energy landscape and will be one of the largest renewable energy and storage projects in the world,” Pilskog said.
According to the agreements signed, financial close is to be achieved within 60 days from the signature date. Once financial close has been reached, Scatec would start construction of the projects.
Scatec will own 51 percent of the equity in the project with H1 Holdings, its local Black Economic Empowerment partner owning 49 percent.
Scatec said it would be the engineering, procurement and construction provider and provide operation and maintenance as well as asset management services to the power plants.
BUSINESS REPORT ONLINE