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Under the Coal Baseload IPP Procurement Programme projects may be required to provide ancillary services to Eskom as grid provider to support the reliable and secure operation of the transmission system by Eskom. The ancillary services will be procured under a separate agreement to the power purchase agreement (PPA), namely the Ancillary Services Agreement (ASA). Despite the fact that the PPA and the ASA will operate separately, there will be some linkage between the two…
The Request for Qualification and Proposals for New Generation Capacity under the Coal Baseload IPP Procurement Programme (RFP) requires bidders to provide a detailed and comprehensive term sheet or a substantially developed agreement with each of the proposed EPC and O&M contractors for the construction and operation of the facility. This is a significantly different approach from the approach of the Department of Energy in the fourth bid submission phase of the Renewable Energy IPP…
Given the current initiatives to promote private investment in the South African electricity market, the execution of the power purchase agreement between BMW South Africa and Bio2Watt’s biogas plants that will bring “renewable energy” to BMW’s manufacturing plant in Rosslyn, Pretoria is sure to blaze the trail for new private power generation and offtake markets in South Africa. Projects like the Bio2Watt biogas plants are providing the template for future renewable energy projects that will…