South Africa: $520 million Investment in Wind Projects
Wind and solar development firm Mainstream Renewable Power has announced that it has reached financial close on two wind power projects in the Northern and Western Cape regions of South Africa.
With a combined investment value of R6.6 billion ($520 million), the Kangas Wind Farm in the Northern Cape will produce 140 MW and the Perdekraal East Wind Farm in the Western Cape will produce 110 MW.
“Our team here in South Africa is really excited to reach financial close and start constructing these two projects, which will bring a R1.1 billion [$84 million] community investment over 20 years once they start operating in 2020. Importantly, we are looking forward to the results of the expedited fourth round of the REIPPP being announced soon, as well as further rounds which are vital to securing a sustainable long-term, least-cost energy plan for the country,” said Hein Reyneke, Mainstream’s General Manager for Africa in a statement released on Friday.
A consortium of Concor and Conco has been appointed for construction works and Siemens Gamesa Renewable Energy will supply and install wind turbines.
The projects follow the signing of 27 renewable energy agreements in April under the government’s Renewable Energy Independent Power Producers Programme. Construction is set to begin this month.