South Africa Announces 1,000 MW of New Renewable Energy Projects


The South African Government’s Department of Energy, announced the Preferred Bidders for Round 2 of the Renewable Energy Independent Power Producer Programme (REIPPP) on 21 May 2012.

Out of the 79 proposals submitted in Round 2, with a total capacity of 3.2 GW, the Department of Energy selected 19 Preferred Bidders, totalling 1,043.9 MW of capacity with a cumulative value of approximately 28 billion ZAR. These projects are made up of nine solar PV projects with a combined capacity of 417.1 MW, seven wind projects representing 562.6 MW, two small hydropower projects of 14.3 MW and one 50 MW CSP project. The project have to achieve financial close by 13 december 2012.

Across the board the proposed tariffs fell and the local content increased between the Round 1 and 2 projects. This was most notably amongst the solar PV projects, highlighting the extent to which the Round 1 PV projects had profited from the above market tariffs under the REIPPP; average prices of solar PV projects fell from 2.75c/kWh (SA Rand) in Round 1 to 1.65c/kWh  (SA Rand) in Round 2.

Technology Summary Preferred Bidders
Solar PV 9 projects417.1MWAvg tariff 165c/kWhAvg local content 47.5%

Cap remaining 32.9 MW


–      75 MW Solar Capital De Aar 3;-      74 MW Sishen Solar facility;

–      9 MW Aurora project;

–      8.8 MW Vredendal project;

–      36.8 MW Linde project;

–      69.6 MW Dreunberg venture;

–      75 MW Jasper Power Company development;

–      60 MW Boshoff Solar Park; and

–      8.9 MW Upington Solar PV plant.


Wind 7 projects562.2 MWAvg tariff 89c/kWhAvg local content 36.7%

Cap remaining 87.4 MW


–      135.2 MW Gouda wind facility;-      137.9 MW Amakhala Emoyeni (Phase 1);

–      94.8 MW Tsitsikamma Community wind farm;

–      90.8 MW West Coast 1 project;

–      23.4 MW Waainek venture;

–      59.8 MW Grassridge project; and

–      20.6 MW Chaba project.


CSP 1 project50 MWAvg tariff 251c/kWhAvg local content 36.5%

Cap remaining 0 MW


–      50 MW Bokpoort CSP project
Hydro 2 projects14.3 MWAvg tariffAvg local content

Cap remaining 60.7 MW


–      4.3 MW Stortemelk hydro scheme; and-      10 MW Neusberg hydroelectric project.

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