Join Brenda Martin, CEO of South African Wind Energy Association, and Steve Sawyer, Senior Policy Advisor at Global Wind Energy Council, for our ‘Doing Business In … South Africa’ webcast on Tuesday 9 October at 15h CEST.
South Africa’s competitive tender process (Renewable Energy Independent Power Producer Procurement Programme (REI4P)) was launched by the Department of Energy (DoE) to facilitate private sector investment into grid-connected renewable energy (RE) supply. Since 2011, Independent Power Producers (IPPs) have been invited to submit bids for onshore wind, solar PV, concentrated solar power (CSP), small hydro, biomass, biogas or landfill gas projects. Between 2011 and 2015 four such rounds of competitive bidding, referred to as bid windows (BWs), have been completed. Bid tariffs have fallen sharply over the course of the programme and the most recently awarded projects are amongst the lowest priced grid-connected RE projects in the world.
To date, over 6 000 MW of renewable power has been procured from 112 independent power producers through 7 competitive bid rounds in South Africa. Wind makes up 52% of procured capacity, with a total investment value of R74.7 billion, and has established a track record as the best value for money utility-scale renewable power option.
Following a 2-year hiatus in private procurement, the REI4P has been resumed since April 2018, and the country’s new President has confirmed a renewed commitment to growing domestic investment. Given that the country is now behind on its renewable energy investment targets, SAWEA is lobbying for the next procurement bid round to be announced in 2019.
In conversation with Steve Sawyer, Brenda will discuss the current context, opportunities and challenges faced by companies wishing to set up and sustain their wind-related business in South Africa. Steve will provide an update on global markets.