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AfrElec INVESTMENT AfrElec
USAID to support renewable
energy in Cape Town
SOUTH AFRICA THE United States Agency for International that the city has launched a 300MW renewable
Development (USAID) is to provide technical energy procurement tender for Independent
assistance to the City of Cape Town to facilitate Power Producers (IPPs).
renewable energy projects and energy efficiency “The assistance is free of charge and the
measures in the South African city. USAID and its team of consultants have the nec-
The City of Cape Town’s energy directorate essary expertise. The work is also aligned to City
said USAID’s South African Energy Programme policy and imperatives relating to energy sector
(SAEP) would provide assistance around reform and climate change mitigation, which
ZAR1.8mn ($117,000). remains a top priority given our country’s energy
“This is another step in the city’s energy pro- constraints and the changing energy governance
gramme to become more sustainable and diver- landscape,” he said.
sify the energy mix for a cleaner more affordable “The city remains committed to its sustaina-
energy for Cape Town over time,” said the city’s ble energy programmes to ensure that our city is
mayoral committee member for energy, Bever- future-fit. We thank the USAID for their assis-
ley van Reenen. tance and expertise.”
The SAEP assistance includes a pre-feasibility USAID’s Power Africa Initiative aims to
study for a renewable energy facility at Paardev- assist Africa in moving from its reliance on
lei in Somerset West. It will also provide expert fossil fuels to clean energy, enabling a path to
support on the IPP Procurement programme decarbonisation.
of the City, including a review of its draft power The Power Africa Initiative – established by
purchase agreements. the 2013 Electrify Africa Act – aims to improve
The Americans will also support tariff design lives, support economic growth and combat cli-
for the City’s IPP programme and provide finan- mate change through improved access to clean,
cial modelling input for the 10-MW Atlantis reliable and affordable electricity.
Solar feasibility study. Since 2013, Power Africa has leveraged the
The technical assistance from the USAID is combined expertise of the private sector and 12
free of charge and the city and USAID has agreed US government agencies to bring 12,000 MW –
that the approximate value of the assistance to be representing a $22bn of investment – to finan-
provided is ZAR1.8mn ($117,000), Van Reenen cial close.
said. Power Africa, though its partnerships and
The aid package comes as Cape Town is mak- comprehensive technical assistance presence, is
ing efforts to become South Africa’s first “load uniquely positioned to advance the Biden-Har-
shedding-free city” by reducing its reliance on ris Administration’s objectives to support eco-
the indebted power utility Eskom. nomic growth and decarbonisation across
Mayor Gordon Hill-Lewis said in mid-Feb- sub-Saharan Africa, a region critical to fighting
ruary at the Solar Power Africa Conference climate change.
P8 www. NEWSBASE .com Week 10 10•March•2022