Nersa approves first 100MW personal energy initiatives

Energy regulator Nersa has accredited the primary two 100MW personal energy initiatives following authorities’s resolution to lift the brink above which a era licensing course of is required from 1MW and 100MW.

The two initiatives, which have been formally registered with Nersa, will see the event of two 100MW photo voltaic PV crops in North West. They are being developed, financed and constructed by Sola Group on behalf of Tronox Mineral Sands. Sola Group can even run the amenities as soon as they’ve been constructed.

The change to the principles means registration to construct personal energy era crops as much as 100MW in capability is quicker and far much less onerous than making use of for a era licence.

“The significance of this first move is that it will pave the way for many more large-scale private projects to receive approvals to be able to contribute to generation capacity to the grid,” stated Sola Group CEO Dom Wills in a press release on Monday. “This is a clear signal that private power is achievable and there are private funders that are excited to finance this market.”

Sola’s largest shareholder and fairness accomplice within the initiatives is African Rainbow Energy, which is led by former Eskom CEO Brian Dames.

The initiatives have acquired important help from the presidency, which is “keen to see the impact of the new legislation”, Sola Group stated.

“The raising of the licensing threshold has unlocked a massive pipeline of investment,” stated Rudi Dicks, the pinnacle of the venture administration workplace within the presidency within the assertion. “To fast-track these projects, we have established a joint task team between government and industry which meets weekly to remove many of the constraints.”


Financial shut of the 2 new initiatives is predicted in July. After that, it’s going to take about 14 months to finish building and for business operation to start out.

The initiatives, which have an anticipated lifetime of 30 years, will make use of the electrical energy “wheeling” framework enabled by Eskom.

“Under this mechanism, the energy can be produced by an independent power producer in one Eskom-connected area, and sold to their client in other Eskom-connected areas. Eskom charges a wheeling fee to facilitate this bilateral energy trade,” Sola Group stated.

“Large-scale bilateral energy trading is the first step in South Africa’s plan to ultimately open up the grid to allow a more flexible electricity trading. Draft legislation has been released which signals the intent to have a consolidated central purchasing agency allowing electricity traders to sell energy using the grid as a conduit.”  — © 2022 NewsCentral Media

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