Norwegian renewables developer Scatec ASA has started operating the 273 MW Grootfontein solar power plant in South Africa.
Scatec’s CEO, Terje Pliskog, said the project is the company's first in the country’s Western Cape province, as well as the first to reach commercial operations under the fifth round of South Africa’s Renewable Energy Independent Power Producer Procurement Programme (REIPPPP), awarded in late 2021.
Operating under a 20-year power purchase agreement, the power plant is expected to generate 700 GWh of energy annually. The site consists of three solar clusters in total, making it the largest co-located site in the Western Cape.
Scatec owns 51% equity in the project, with its local Black Economic Empowerment partner owning 46.5% and the Grootfontein Local Community Trust owning 2.5%. Financial close for the Grootfontein project was reached in June 2023, while construction work took place from early 2024. Scatec will also take responsibility for operations and maintenance and asset management services for the project.
In July, the South African government approved a further 1,290 MW of solar projects under the seventh REIPPPP bid window, three of which were granted to Scatec Solar Africa Pty Ltd, the local operating arm of the Norwegian company.
According to the Africa Solar Industry Association’s (AFSIA) project database, South Africa has over 11 GW of operational solar, including 800 MW deployed this year to date.
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