The four preferred bidders for the Battery Energy Storage Independent Power Procurement (BESIPPP) Programme have been announced, marking a "significant development" in South Africa's pursuit of energy security.
This is according to Mineral Resources and Energy Minister Gwede Mantashe's written remarks at the announcement of the bidders on Thursday.
The preferred bidders were selected following an independent evaluation of the bid submissions process held between August and October this year.
"This first grid-scale energy storage programme in South Africa marks yet another important step towards the development of adequate electricity generation capacity to meet the country's demand as set out in the Integrated Resource Plan (2019).
"The site-specific BESIPPPP Programme for this, the first bid window, is designed to facilitate the procurement of up to 513 megawatts (MW) from facilities that will provide capacity, energy and ancillary services to Eskom at five specified sites, therefore only one preferred bidder is appointed per site," Mantashe said. Grid-linked generation from the sites is expected to begin in 2026.
The four preferred bidders, chosen from at least 17, are: Oasis Aggeneis, Mogobe BESS, Oasis Mookodi and Oasis Nieuwehoop. A fifth bidder is expected to be appointed as well.
"The appointed preferred bidders have all made economic development commitments, notwithstanding the fact that such commitments were not mandatory for this bidding round of BESIPPPP. The preferred bidders have committed to creating a total of 992 job opportunities for South African citizens during construction and operations,” Mantashe said.
