Africa Energy Indaba
Africa Energy Indaba

South Africa’s Gas IPP procurement programme BW1 deadline extended to 29 May 2026

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Initially launched on December 14, 2023, the programme aims to procure 2,000 MW of gas-to-power capacity from independent producers across South Africa. The amendments respond to clarification requests from prospective and registered bidders, particularly regarding project-on-project risks for facilities in the City of uMhlathuze that must secure fuel via Transnet National Ports Authority’s natural gas terminal. Bidders are required to verify the timelines and credibility of the Port Authority and adhere to all relevant fuel supply criteria outlined in the amended Request for Proposal (RFP).​

Further adjustments address legal functionality, including environmental authorisations, and the range for minimum and maximum load commitments stipulated in the Power Purchase Agreement. The RFP now introduces a revised minimum load commitment option and modifies performance requirements concerning ramp-up and ramp-down frequency. Changes have also been made to the gas pricing mechanism to enhance clarity and flexibility for bidders.​

Registered bidders can access the updated RFP on the official procurement programme website, with additional information available regarding registration requirements. The critical deadlines under the revised process are the last date for written questions (March 30, 2026), compulsory bid registration and payment (April 15, 2026), and bid submission (May 29, 2026). The Department will also host a virtual information-sharing engagement, details of which will be released on the official website. Bidders and stakeholders are encouraged to familiarise themselves with the updated documentation and timelines to ensure compliance and successful participation in the procurement process.​

The amendments follow the Cabinet’s approval of South Africa’s Integrated Resource Plan 2025, which anticipates the addition of 6,000 MW of gas-to-power generation by 2030 and a total of 16,000 MW by 2039. The GASIPPPP Bid Window 1 continues to seek competitive, compliant projects contributing to the country’s evolving energy landscape, with regulations emphasising formal environmental compliance and reliable fuel sourcing.

Author: Bryan Groenendaal

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