Minister in the Presidency for Electricity, Dr Kgosientsho Ramokgopa says the Northern Cape, with its high level of resources in solar and wind energy, has the potential to be the core region in South Africa’s renewable energy programme.
The Kenhardt complex in the Northern Cape establishes a utility-scale solar and energy storage plant.
Ramokgopa was speaking at an event, in mid-April, that marked the Kenhardt project, in the Northern Cape, reaching commercial operation. Developed by Scatec South Africa as a combined solar photovoltaic plant and battery energy storage facility, the project forms part of South Africa’s Risk Mitigation Independent Power Producer Procurement Programme (RMIPPPP).
With 540 MW solar generation capacity and 225 MW / 1 140 MWh of battery energy storage, it is one of the world’s largest hybrid solar and battery energy storage facilities. The project has a total capex value of some US$1 billion, which makes it the biggest commitment for Scatec in the company’s history. Scatec holds 51% of the equity and H1 Holdings, the company’s local Blace Economic Empowerment partner, holds 49%. Power generated by the Kenhardt plant will be sold to Eskom under a 20-year power purchase agreement.
Ramokgopa highlighted that construction of renewable energy facilities in the province can also translate into long-term job creation. He said although the jobs and opportunities created during construction are transitional, “we need to have a new conversation about how we see the Northern Cape as a major player in the renewable energy programme.”
At the height of construction, Scatec created more than 2 000 jobs on and around the project sites, but it is in the nature of construction that once a project becomes operational, the number of jobs tapers down, Ramakgopa said. “But the people remain here and are still searching for opportunities.”
He added that the provincial and national government are discussing how investments in the province can have a meaningful impact over the longer term via localisation of production of goods and services and in creating new industries. “It’s important that we domesticate opportunities and when we consider that 60% of close to R260 billion investment in renewable energy is focused in this province, we need to look at how we can establish the Northern Cape as the central region of the renewable energy industry in South Africa.”
For more information visit: www.sanews.gov.za
