African renewable energy development platform and power producer, BioTherm Energy has reached financial close on a 284MW Portfolio of Wind and Solar Projects in South Africa as part of the Fourth Round of the South African Renewable Energy Independent Power Producers Programme (REIPP). The four projects, which will begin construction shortly, are estimated to be fully operational by 2020. The projects further evidence BioTherm’s expansion and consolidation of its leading development footprint by providing, clean, affordable and reliable electricity.
The projects are as follows:
Golden Valley – 120MW Wind
- Expected to reach commercial operations by Q4 2020
- EPC provided by Goldwind
Excelsior – 32MW Wind
- Expected to reach commercial operations by Q4 2019
- EPC provided by Goldwind
Konkoonsies II – 86MW Solar PV
- Expected to reach commercial operations by Q1 2020
- EPC provided by ET Solutions AG
Aggeneys – 45MW Solar PV
- Expected to reach commercial operations by Q3 2019
- EPC provided by ET Solutions AG
The total cost for the portfolio of projects is approximately US$500 million. All four projects have 20-year inflation linked power purchase agreements (PPAs) with Eskom, the South African national utility, and are backed by sovereign guarantees provided by the National Treasury. Further to the local jobs that will be created during construction offering employment prospects for the surrounding communities, each project has committed a percent of revenues towards economic development and socio-economic development initiatives in education, rural development, the empowerment of women, healthcare and enterprise development.
On reaching financial close, Steven Mandel, Director on Denham Capital’s International Power Team and Board Member of BioTherm commented: “We are very pleased with the sustained momentum BioTherm has been able to maintain in building its already strong position as a leader in South Africa’s renewables sector. Despite recent uncertainty in the market, the team has worked very effectively with all stakeholders to ensure these important projects are progressed, which will play a role in securing much needed clean energy for South Africa’s future, while economically enabling the surrounding local communities.”
Jasandra Nyker, CEO of BioTherm Energy commented: "The BioTherm Team is glad to have finally closed these projects and looks forward to reaching commercial operations as planned. The closing of these projects is a major milestone for BioTherm and serves as a strong testament to the high calibre local team.”
Presently, the company’s pipeline consists of more than 2GW of wind and solar projects, of which it has secured PPAs and nearing construction on over 440MW across in South Africa, Ghana, Cote d’Ivoire and Burkina Faso, outside of the REIPPP program.
