Renewable energy company AMEA Power has signed a 20-year Power Purchase Agreement (PPA) with South African utility company Eskom for the 120MW Doornhoek Solar Photovoltaic (PV) Project, marking the company’s strategic energy into the country.
The project is located near the town of Klerksdorp, in the North West province, and will generate more than 325 GWh of clean energy per year.
Once operational, it was shared that it will power an estimated 97,000 households and offset 330,000 tonnes of carbon emissions.
The project was awarded through Bid Window 6 of the Renewable Energy Independent Power Producer Procurement (REIPPP), with AMEA Power as the majority shareholder in the USD120 million Solar PV Project.
It has also partnered with Ziyanda Energy and Dzimuzwo Consulting, wholly owned by African women.
Standard Bank South Africa will provide debt funding for the project, while the Industrial Development Corporation (IDC) will provide equity funding for the local partners, it was shared.
Hussain Al Nowais, Chairman of AMEA Power, commented: “As part of South Africa’s long-term strategy to reduce carbon emissions and enhance energy stability, the Doornhoek Solar Project will play a pivotal role in the transition towards sustainable energy solutions. We are proud to be one of the first preferred bidders from Bid Window 6 to achieve this milestone. This project exemplifies AMEA Power’s commitment to driving positive environmental impact and fostering socio-economic development.”
AMEA Power opened an office in Johannesburg last year, which operates as the company’s regional hub, covering Southern Africa.