The project will help address South Africa’s energy shortfall by generating more than 325 gigawatts-hours of clean energy per year, powering around 25,000 households.
AMEA Power announced today that it has been awarded a 120MW solar photovoltaic (PV) project in South Africa as part of the Sixth Bid Submission Phase of the Renewable Energy Independent Power Producer Procurement (REIPPP) Program. The Doornhoek PV Project will sell electricity to the state utility, Eskom, under a 20-year Power Purchase Agreement.
AMEA Power is the majority shareholder in the US$120 million project, and has partnered with a consortium wholly owned by African women, formed by Ziyanda Energy and Dzimuzwo Consulting.
To further support the development of the country, AMEA Power and its partners will form a community trust, which will own a share of the project, and contribute towards the economic development of communities close to the project.
Hussain Al Nowais, Chairman of AMEA Power, said: “The awarding of this project, represents another major milestone for AMEA Power as it is our first in South Africa and was granted in competition with other major renewable energy players. Over the next decade, the country will undergo a massive transition in its approach to electricity generation as the network decommissions large amounts of coal generation and adopts cleaner solutions like wind and solar. AMEA Power aims to bring many more clean energy projects onto the grid to help address the energy shortfall, and provide clean, affordable energy to the country in the long term.
“Clean energy solutions presents tremendous opportunities for delivering investment, job creation and social development across South Africa. As AMEA Power expands its clean energy footprint across the continent, South Africa will be a major market for the Company and an opportunity to work with local partners to develop projects across the country.”
The solar project, which is located near the town of Klerksdorp in the North West Province, will generate more than 325GWh of clean energy per year and power around 25,000 households. In total, the project is expected to offset 290,000 tonnes of carbon dioxide emissions annually.
The construction of the Doornhoek PV Project will commence by mid-2023, and will make use of more than 45% of locally sourced materials and resources.
As part of its long term planning to reduce its carbon emissions and provide greater energy stability across its electricity network, South Africa aims to increase the share of renewable energy in its energy mix from 11% to 41% by 2030. The country also plans to decommission between 8GW and 12GW of coal fired power plants over the next decade.
AMEA Power has a secured a number of sites suitable for the development of a further 1GW of renewable energy projects in South Africa, which the Company will bid into future REIPPP Programs, and provision for private sector consumers. The Company is also exploring opportunities with a number of commercial and industrial entities across South Africa to provide them with access to renewable energy.
AMEA Power is rapidly expanding its investments in wind, solar, energy storage and green hydrogen, demonstrating its long-term commitment to the global energy transition. The Company has clean energy pipeline of over 6GW across 16 countries.
