South Africa has not approved any new wind generation capacity, Energy Minister Gwede Mantashe announced at a bidders conference.
None of the 23 wind projects submitted as part of the sixth Bid Window (BW6) under the Renewable Energy Independent Power Producer Procurement Programme (REIPPPP) were selected, with only six solar projects with a combined capacity of 1000MW selected.
The decision comes despite the South African government’s commitment to accelerate new generation capacity from renewable energy, which was escalated by the doubling of the wind allocation in BW6, from an original 1600MW to 3200MW.
The South African Wind Energy Association (SAWEA) has expressed its distress at the decision, noting the expected detrimental effect on investor confidence in the REIPPP programme.
SAWEA points out that the system operator needs to be more responsible in managing grid access with a balanced view between publicly and privately procured electricity. A clearly defined queueing system needs to be urgently implemented.
“We agree with Minister Mantashe that investment into the grid infrastructure must be prioritised and accelerated to allow for more new generation capacity, however, grid access processes are providing little confidence in articulating how grid capacity is being allocated and we view the announcement today as a missed opportunity given our dire need for electricity in South Africa,” commented CEO of SAWEA Niveshen Govender.
“We strongly urge immediate intervention by key role-players to unpack the challenges with the wind sector and find viable solutions to unlock the hurdles facing the progression toward a secure energy system.”