Johannesburg, South Africa – Renewable power supplier Scatec ASA has secured the required funding to proceed with the development of the R3 billion Mogobe battery power storage system (BESS) facility close to Kathu within the Northern Cape. This important milestone marks a key step ahead in South Africa’s renewable power transition.
The Mogobe BESS undertaking, which could have a capability of 103 MW/412 MWh, was awarded a 15-year energy buy settlement (PPA) beneath the primary bid window of the Battery Vitality Storage Impartial Energy Producer Procurement Programme (BESIPPPP). The PPA will see Scatec obtain funds for offering storage capability to the Nationwide Transmission Firm of South Africa (NTCSA) to assist steadiness the grid.
The undertaking’s financing features a R2.7 billion ($154 million) non-recourse undertaking debt facility organized by Commonplace Financial institution of South Africa, in addition to fairness contributions from the undertaking homeowners. Scatec will maintain a majority stake within the undertaking, with Perpetua Mogobe (RF) (Pty) Ltd and the Mogobe Native Neighborhood Belief additionally collaborating.
The Mogobe BESS undertaking is predicted to create important financial advantages for the local people, together with job alternatives throughout development and operation. It is going to additionally contribute to South Africa’s renewable power objectives and assist cut back reliance on fossil fuels.
Scatec, a number one participant within the renewable power sector, has a robust observe report in South Africa. The corporate is already concerned in a number of different photo voltaic and battery storage initiatives within the nation, together with the Kenhardt photo voltaic farm.
The monetary shut for the Mogobe BESS undertaking comes at a vital time for South Africa, because the nation seeks to transition to a extra sustainable power combine. The power is predicted to play a significant function in supporting the combination of renewable power sources into the grid and guaranteeing a dependable and reasonably priced electrical energy provide.
