Two more projects reach commercial close in South Africa’s Battery Energy Storage IPP Procurement Programme Bid Window 1

• Two more projects have reach commercial close in South Africa’s Battery Energy Storage Independent Power Producer Procurement Programme (BESIPPPP) Bid Window 1.
• They are the EDF led consortium Oasis Aggeneis (77 MW capacity with 308 MWh storage), and Oasis Nieuwehoop (103 MW capacity with 412 MWh storage).
• South Africa’s Minister of Electricity and Energy, Dr Kgosientsho Ramokgopa, made the announcement yesterday at a press briefing.

The Department of Mineral Resources and Energy (DMRE) awarded preferred bidder status to five projects of Round 1 of the Energy Storage Independent Power Producer Programme (ESIPPP1) in November of 2023. The Oasis consortium, which was awarded three of the five projects, is led by EDF in collaboration with local entity EDF Renewables (EDFR), and includes co-sponsor Mulilo, and equity partners Pele Energy Group and Gibb-Crede. Each project includes a 5% ownership interest for local communities through a Community Trust.

The Oasis 1 portfolio comprises three separate projects: Oasis Mookodi (77 MW capacity with 308 MWh storage) which reached commercial close last month and the two projects which reached commercial close yesterday namely, Oasis Aggeneis (77 MW capacity with 308 MWh storage), and Oasis Nieuwehoop (103 MW capacity with 412 MWh storage).

All three projects, located on the Northern Cape Province, total 257 MW of capacity and 1028 MWh of storage.

The Department of Mineral Resources and Energy (now the Department of Energy and Electricity) is procuring new generation capacity from battery energy storage in accordance with ministerial determinations gazetted under the Integrated Resource Plan 2019. The department released and announced the first bid window calling for 513 mw during 2023. In line with the third ministerial determination, the department will procure another 1231 MW through two bid windows RFP’s respectively, procuring 615 mw and 616 mw by no later than March 2024.

The programme has been plagued by repeated submission deadline extensions. Read more

Author: Bryan Groenendaal