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Scatec Solar brings online Dyason’s Klip 2 solar project
SOUTH AFRICA
SCATEC Solar has connected the 86-MW Dya- son’s Klip 2 solar project in South Africa, thereby bringingonlineallthreesolarprojectsatthe258- MW Upington IPP development.
Dyason’s Klip 2 is expected to produce 217GWh per year, while the Upington complex, which was awarded to Norway’s Scatec Solar and its partners at South Africa’s Renewable Energy Independent Power Producer Programme (REIPPP) auction in 2015, will now be able to deliver 650GWh per year.
“We are proud to have achieved this major milestone. Power supply is considered critical infrastructure, and we are pleased to be support- ing South African power supply with renewable energy to another 40,000 households annually,” said Scatec CEO Solar Raymond Carlsen.
The Upington solar power complex is esti- mated to deliver an annual production of 650GWh, providing clean energy to around 120,000 households and leading to the abate- ment of more than 600,000 tonnes of CO2 emis- sions annually.
The three projects in Upington were awarded in April 2015 in the fourth bidding round under theREIPPP.
Scatec Solar and its partners will sell electric- ity to the state-owned Eskom company under a power purchase agreement (PPA).
Scatec Solar owns 42%, Norfund holds 18%, the surrounding Community of Upington 5% and H1 Holdings, a South African Black investor holds the remaining 35% of the equity.
In April 2015, Scatec Solar was awarded preferred bidder status for the three projects in the fourth bidding round under the Renewa- ble Energy Independent Power Producer Pro- gramme (REIPP) which was initiated by the South African government to attract IPPs.
The entire project, according to Scatec Solar cost a total investment of over $350nb. A con- sortium of commercial banks and DFIs with Standard Bank in the lead provided non-re- course project finance of approximately $274mn accounting for 77% of the total project cost.
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