The Doornhoek Solar Project, led by AMEA Power and local partners, is set to generate approximately 325GWh of clean energy, supplying power to 25,000 households while offsetting 290,000 tonnes of carbon emissions. It was awarded under Bid Window 6 of the REIPPPP.
The Solar Project Worth $120 Million
AMEA Power, a rapidly expanding renewable energy firm in the Middle East, has confirmed the signing of a 20-year Power Purchase Agreement (PPA) with Eskom, a South African utility, for the 120MW Doornhoek Solar Photovoltaic (PV) Project.
According to enterprise news, this project was secured via Bid Window 6 of the Renewable Energy Independent Power Producer Procurement (REIPPP). This significant deal represents AMEA Power's strategic debut into South Africa's extensive and swiftly expanding renewable energy sector.
AMEA Power holds the majority stake in the $120 million Solar PV Project and has collaborated with Ziyanda Energy and Dzimuzwo Consulting, both fully owned by African women. Standard Bank South Africa will provide debt funding for the project, while the Industrial Development Corporation (IDC) will supply equity funding for the local partners.
The Project to Produce Over 325GWH of Clean Energy Annually
The Power Purchase Agreement (PPA) was signed on April 30th, 2024, by His Excellency Gwede Mantashe, Minister of Mineral Resources and Energy of South Africa, Mr Segomoco M. Scheppers, Eskom Group Executive for Transmission, and Mr Hussain Al Nowais, Chairman of AMEA Power, highlighting the collective commitment to advancing sustainable energy solutions in South Africa.
The signing ceremony also saw the presence of His Excellency Mahash Saeed Alhameli, the UAE Ambassador to South Africa, Sibongile Mduli, CEO of Ziyanda Energy, and Lusani Madali, Managing Director of Dzimuzwo Energy.
Situated close to Klerksdorp in the North West province, the project is set to produce over 325GWH of clean energy annually, supplying approximately 97,000 households and offsetting 330,000 tonnes of carbon emissions upon completion. This initiative aligns with South Africa's aim to have renewable energy constitute 22% of its energy mix by 2030.
South Africa's Long-term Plan to Lower Carbon Emissions
In a demonstration of its dedication to the South African market, AMEA Power established an office in Johannesburg last year. This local office serves as the company's regional center, overseeing operations in Southern Africa.
Hussain Al Nowais, Chairman of AMEA Power, emphasized that the Doornhoek Solar Project will be instrumental in South Africa's efforts to cut carbon emissions and improve energy reliability in the long run. Being among the initial preferred bidders selected from Bid Window 6 is a significant achievement for AMEA Power. This project underscores the company's dedication to promoting environmental sustainability and supporting socio-economic progress.
“The Doornhoek Solar Project will be essential to the shift to sustainable energy sources as part of South Africa's long-term plan to lower carbon emissions and improve energy security. Being among the first selected bidders from Bid Window 6 to reach this significant milestone makes us proud,” stated Hussain.
The Doornhoek Solar Project represents a significant step towards South Africa's goal of reducing carbon emissions and enhancing energy stability. With AMEA Power leading the initiative, supported by local partners and funding from Standard Bank South Africa and the Industrial Development Corporation, the project is poised to make a substantial impact. This landmark agreement underscores AMEA Power's commitment to driving positive environmental change and fostering socio-economic development in South Africa.