Energy department signs deal with IPPs, but no immediate load shedding relief in sight

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The Department of Mineral Resources and Energy has signed an agreement with three independent power producers. It’s hoped that this will help generate more energy capacity to help curb the electricity crisis that the country is facing.

The three IPPs are part of a cohort of 25 bidders who submitted during the bid window five under renewable energy.

These producers will provide an additional 260 megawatts of electricity to the grid by December 2024.

Mineral Resources and Energy sign an agreement with three IPPs:

Eskom says it is working around the clock behind the scenes to procure new energy capacity while restoring problems at its current power plants.

Earlier on Thursday, the power utility was at the ceremony in which the energy department and three wind power suppliers signed agreements in Centurion, Pretoria.

This will lead to an additional 420 megawatts contribution to the grid in the next 18 months.

Eskom Group Executive for Transmission Segomoco Scheppers says, “While the current plant is receiving attention, it’s clearly important that we invest in new capacity and this is a key milestone towards making a contribution towards that journey. I do appreciate the hard work that is happening behind the scenes. The question of the grid has been that there are constraints and all key relevant stakeholders will be painfully aware of the situation that we are in. The reality is where we find the best renewables, in the Eastern and Northern Cape, the network is not well developed and it’s a legacy matter.”

Meanwhile, Eastern Cape Premier, Oscar Mabuyane, has welcomed the increased investment in wind-generated electricity in the province.

One of the projects is a wind farm destined for Coleskop in the Inxuba Yethemba municipality.

The province is already home to 16 wind farms.

Mabuyane says the R3 billion project will go a long way to improve the country’s energy security.

“It comes at a very crucial moment. We are really in need of that, not only as the province, as the entire country as you all know the demand now supersedes the supply. So, Eskom is battling, it’s struggling. We have been going through all the outages, and the challenge of energy is actually breaking our momentum on the economic recovery and reconstruction plan we have announced with the president. So, I think what the minister has said will come a long way to really help us as a province.”

Members of Parliament deliberate on Eskom woes and Post Office’s liquidity problems: