Minister of Minerals and Energy Gwede Mantashe has announced that his department is calling for a Request for Proposal to procure 7,615 MW of renewable energy, gas and battery storage.
The country has, over the past two years, been trying to ramp up new generation capacity of renewable energy due to Eskom’s rolling blackouts.
A number of power stations have not been able to produce the needed energy because of breakdowns and other problems.
Minister of Electricity Kgosientsho Ramokgopa said a few months ago, the energy availability factor had improved from 48% to 60%.
In the report on Operation Vulindlela, which was released by the Presidency this week, said progress was being made to reform the electricity industry.
The Electricity Regulation Amendment Bill is currently before Parliament after the portfolio committee on minerals and energy concluded public hearings.
The bill aims to open the electricity industry to the market, which would allow private players to generate electricity.
“The Electricity Regulation Amendment Bill has been tabled in Parliament and subsequently released for public comment by the portfolio committee. Public hearings concluded on 30 November 2023 and the committee will now table its report for debate in the National Assembly.
“This crucial legislation to reform the energy sector will establish a competitive electricity market, fostering fair competition among multiple electricity generators, thereby promoting long-term energy security and catalysing transformation in the energy sector,” said the report.
The report on Operation Vulindlela further said more bid windows for renewable energy, gas, and battery storage will be announced by government.
In his announcement, Mantashe said three new bid windows have been released, and they are calling for Requests for Proposals to procure 7,615 MW of new generation capacity.
The department said it will convene the bidders’ conference in January next year.
But the bid windows are for 5,000 MW of renewable energy, 2,000 MW of gas, and 615 MW of battery storage.
“The three bid windows are in accordance with the Ministerial determinations made under the 2019 Integrated Resource Plan and call for procurement of the following: 5,000 MW of renewable energy under the seventh round of the renewable energy IPP procurement programme Bid MW from gas to power under the first round of the gas IPP procurement programme and 615 MW from the second round of the battery energy storage IPP procurement programme,” said the department of minerals and energy.
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