The Department of Energy (DoE) this week announced the Coega Industrial Development Zone (IDZ) as one of the locations for the gas-to-power programme, with 1000 MW of the power facility allocated to the zone.
The operation is expected to cost a total R25 billion. “This project will allow the Coega IDZ to become a diverse energy user, in conjunction with building the local energy sector, and will also serve as a significant source of socio-economic growth,” said Sandisiwe Ncemane, Coega Development Corporation (CDC) business development manager: energy projects.
He added that the implementation of this gas-to-power project would allow greater energy independence, which would boost South Africa’s gross domestic product (GDP).
The Coega IDZ is already home to the 342-MW Dedisa Peaking Power Plant (PPP).
“The Industrial Policy Action Plan (IPAP) intends to use gas as one of the pillars for the re-industrialisation of our economy and set the scene for the Eastern Cape to become a dynamic hub for South Africa’s gas services sector,” said the Eastern Cape MEC for Economic Development, Environmental Affairs and Tourism, Sakhumzi Somyo.
