South Africa Clears 1.2GW Solar Bids

Key Figures & Findings: South Africa’s Department of Electricity and Energy (DEE) has approved six new solar projects under Bid Window 7 of its Renewable Energy Independent Power Producer Procurement Programme (REIPPPP), reallocating unutilized onshore wind capacity to solar. The newly selected projects—located entirely in the Free State—bring forward independent power producers Red Rocket and Scatec Solar as preferred bidders. Red Rocket secured three sites. Scatec, a Norwegian solar and storage developer with longstanding investments in the region, will develop the remaining three under its Kroonstad PV cluster. Each project will operate under 20-year power purchase agreements, and eight more compliant bids remain under review.

Statistics & Insights: The approved solar projects total 1,290 MW of capacity and will be priced between $28.55/MWh and $28.93/MWh. Scatec’s Kroonstad cluster is estimated to cost $710 million and will be 90% debt-financed.

Future Implications: If financial close is achieved by 2026 as planned, these projects could significantly boost grid supply and help DEE meet its 3–5 GW annual renewable target. Further bidder appointments may be announced pending value-for-money negotiations.

Source: PV Magazine