A 25-year power purchase agreement (PPA) for the energy offtake from an 85MW solar power plant in South Africa, was signed by the renewable energy company AMEA Power, located in Dubai, and GreenCo Power Services, based in Zambia.
Standard Bank of South Africa will provide funds for the North West-based, 85 MW solar PV power facility. The companies anticipate that the project will attain financial close and commence construction in the third quarter of this year.
Power will be supplied to the national grid beginning in early 2025.
The 85MW solar photovoltaic power plant in South Africa’s production capacity
About 220 GWh/y of clean electricity will be generated by the plant.
The cooperation agreement between AMEA Power, GreenCo, and Standard Bank aims to develop a fast-track approach to stimulate the uptake of renewable energy generation in South Africa.
This will aid in easing the present electricity crisis that is affecting the economy, people, and businesses.
According to AMEA chairperson Hussain Al Nowais, the company is on schedule to deliver a number of significant renewable energy projects in South Africa in the years to come. These energy projects would also be part of its goal to provide clean energy across the continent.
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The company will invest in different clean energy solutions in South Africa. This would be done while establishing strategic alliances with local companies.
The PPA’s signature signals a change toward the sustainable development of the national as well as regional power markets. This is According to GreenCo CEO Ana Hajduka.
She continued by saying that in just a few months, GreenCo and AMEA have made huge progress in executing a planned project development and offtake model in South Africa.
The country’s future energy goals
By 2030, South Africa intends to increase its share of renewable energy from 11% to 43%.
AMEA recently established a new regional hub in Johannesburg. The hub is expected to support its expansion in South Africa. The company’s employees will be responsible for business growth and project execution.
A 120 MW solar PV project near Klerksdorp would produce more than 325 GWh/y of clean energy. It is also said to be one of AMEA’s ongoing projects in the country.
The company has also acquired a few sites that are ideal for the construction of a further 1 GW of renewable energy projects. The company will submit bids for these projects in future bid windows for the Renewable Energy Independent Power Producer Procurement Program.
