TerniEnergia, an Italian energy and waste management company has signed a construction deal with a European utility company to develop two solar power plants in South Africa at a cost of US$197.3m. The two solar power plants will have an installated capacity of 148.5MW.
The company recently announced that it had signed two agreements with the unnamed European company. TerniEnergia Projects, a subsidiary of TerniEnergia established in South Africa in October 2012, will carry out engineering, procurement, construction, operations and maintenance activities on both projects.
One of the projects will be establishment of an 82.5MW power plant in Paleisheuwel, while a 66MW plant will be built at Tom Burke. According to the agreement signed by the two companies, the project would have started in August 2014. However, the deal had to be closed by the South African Government before construction works can begin.
The Chairman and Chief Executive Officer of TerniEnergia Stefano Neri noted that the deal came in as a strategic objective for the company, which is working towards integration of the energy chain.
The company is expected to release its financial report for the half year on August 7.
