- Natura Energy subsidiary, TeraSun Energy announced that it will be investing N$900 million (US 63.2 million) in a 50MW solar plant in Arandis, western Namibia.
- The energy generated will be sold directly to large electricity consumers on the back of the new Modified Single Buyer (MSB) model regulatory framework introduced by the Namibian government in April 2019.
At the time, Chief executive officer of the Electricity Control Board, Foibe Namene, explained that the main change to the current Single Buyer Model will allow electricity consumers and IPPs to transact with each other directly to secure their electricity supplies. “We believe that the recent cabinet approval of the Modified Single Buyer Market Model (MSB) for the industry will attract more independent power producers (IPPs) and promote investment,” said Namene.
The new model will allow IPPs to sell energy directly to the regional energy distributors and to the large transmission connected customers of Nampower, like the City of Windhoek, mines, regional councils, and town councils.
TeraSun Energy has begun development works will start construction of the 50MW plant in Q1 2020. During the construction phase, 60 jobs will be created, and five more during the operation phase. The company will sign PPA’s with private off takers for terms ranging from 5 to 15 years, depending on the individual needs of customers.
The decentralised approach ushered in by the Namibian government aims to reduce energy costs plus reduce the reliance on energy imports. Namibia imports around 70% of its power from South Africa, Zimbabwe and Botswana. Mining operations are the biggest users of power in Namibia.
The bulk of Namibia’s own power generation comes from hydro sources, 60% of generated power coming from the 332 MW Ruacana run-of-river station. Read more
Last month Alten Energías Renovables and their partners ‘switched on’ a 45.45 MW Solar plant in Namibia. Read more
Author: Bryan Groenendaal
