Emarati renewable energy independent power producer, AMEA Power, has signed a 20-year Power Purchase Agreement (PPA) with South African state-owned utility company, Eskom, for the 120MW Doornhoek Solar Photovoltaic (PV) project.
AMEA Power was awarded the solar project during Bid Window 6 of South Africa’s Renewable Energy Independent Power Producer Procurement Programme (REIPPPP). The project marks the company’s entry into South Africa’s rapidly growing renewable energy market.
“The Doornhoek Solar Project will play a pivotal role in the transition towards sustainable energy solutions,” said Hussain Al Nowais, Chairman of AMEA Power.
“We are proud to be one of the first preferred bidders from Bid Window 6 to achieve this milestone. This project exemplifies AMEA Power’s commitment to driving positive environmental impact and fostering socio-economic development,” Al Nowais added.
The 120MW Doornhoek Solar Photovoltaic (PV) project will be built at an estimated cost of US$120 million. AMEA Power will be the majority shareholder in the project, with Ziyanda Energy and Dzimuzwo Energy, wholly owned by African women as minority shareholders.
According to AMEA Power, the solar project will receive debt funding from the Standard Bank South Africa, whilst the Industrial Development Corporation (IDC) will provide equity funding for the local partners.
The solar project will be located near the town of Klerksdorp, in the North West province of South Africa. Once completed, the project is expected to generate more than 325GWH of clean energy per year, power an estimated 97,000 households, and offset 330,000 tonnes of carbon emissions.
The project will contribute to South Africa’s goal of renewable energy accounting for 22% of the energy mix by 2030.
AMEA Power opened an office in Johannesburg last year as the company looks to position itself in South Africa’s renewable energy market. The renewables developer highlighted that its new Johannesburg office will operate as its regional hub covering Southern Africa.
