SOUTH AFRICA – The Department of Mineral Resources and Energy (DMRE) has initiated the Request for Qualification and Proposals (RfP) for Bid Window 7 (BW7) as part of the Renewable Energy Independent Power Producers Procurement Program (REIPPPP).
This undertaking by the DMRE targets an amalgamated 7,615 MW of fresh generation capacity sourced from renewable energy, gas, and battery energy storage technologies. This initiative aligns with the benchmarks established in the 2019 Integrated Resource Plan (IRP2019).
Bid Window 7 of the Renewable Energy IPP Procurement Program (REIPPPP) is spearheading this effort, seeking to acquire 5,000 MW of novel renewable generation capacity.
This includes 1,800 MW from Solar PV and 3,200 MW from Onshore Wind Power. There is an urgency for these projects to be at an advanced developmental stage, ensuring their integration into the national grid within 24 months post Commercial Close.
This round marks the inaugural release in accordance with the Third Ministerial Determination, endorsed by NERSA in December 2022.
Notably, bidders are now expected to include provisions for Ancillary Services, underscoring the department’s commitment to comprehensive energy solutions.
Simultaneously, the first phase of the Gas IPP Procurement Program (GASIPPPP BW 1) aims to secure 2,000 MW from gas-fired power generation projects.
This segment focuses on land-based electricity generation using natural gas within South Africa’s borders. This strategic move aims to diversify the nation’s energy sources while prioritizing carbon emissions reduction.
In a bid to bolster the country’s energy storage capabilities, the second phase of the Battery Energy Storage IPP Procurement Program (BESIPPPP BW 2) solicits 615 MW (2,460 MWh) of battery energy storage capacity.
This round intends to establish eight storage facilities in close proximity to designated transmission substations within the Northwest Supply Area, selected by Eskom. This component highlights the increasing significance of energy storage in managing renewable energy resources.
To ensure transparency and impartiality in the bidding process, the DMRE will host Bidders’ Conferences on an e-platform on January 17 and 18, 2024.
These conferences aim to furnish detailed information regarding qualifying criteria and bid submission expectations.
Prospective bidders are urged to consider the available grid capacity in various regions, as outlined in the 2025 Generation Connection Capacity Assessment of the Transmission Network.
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