DMRE Declares Oya Energy among the Top 8 most preferred RMIPPPP Bidders

DMRE Declares Oya Energy among the Top 8 most preferred RMIPPPP Bidders

According to the South African Departmental of Mineral Resources and Energy (DMRE), a few companies would make the best bidder for the Risk Mitigation IPP Procurement Programme (RMIPPPP). They are eight, and one of them is Oya Energy. It will be the owner and operator of a plant not far from Matjiesfontein. With its capacity of up to 128 MW, it will be serving two provinces, Northern and Western Cape. Africa has never had such a sizeable hybrid energy project, making the plant the first of its kind. As for the world, its price, size, and technology mix are also unique.

DMRE Minister Gwede Mantashe announced the winners on March 18. Upon the announcement, Dr. Killian Hagemann, who serves as a Director of Oya Energy and one of the founders of the G7 Renewable Energies, didn’t hesitate to welcome the good news. It is also important to note that G7 Renewable Energies was also a winner for Karoo’s hybrid facility. He also commented on the matter, saying what made Oya project the best candidate. As a matter of fact, it exceeded the government’s expectations. After all, it was relatively competitive without compromising requirements laid down by the IPP Office despite being strict. Equally important, its advisors have promised to comply fully with the South African Regulations to the letter.

It is also important to note that another crucial determinant when settling with the philosophy of operating the project and its design options was the value for money. The director also discussed the ups and downs of wind on solar energy generation. On one side, it is good as far as the cost of generation is concerned since it is pretty low. However, it has its shortcomings since it is not reliable and dependable, especially when the energy demand is high.

Fortunately, the Oya project has its uniqueness as it combines PV arrays and wind times. The icing on the cake is the large battery which would store energy when produced during low demand times for use once it goes high. It will make it possible to provide power at a price lower than that of various gas projects. In addition to low costs, it will not be emitting harmful gases such as carbon dioxide during the energy generation process. Consequently, South Africa would be a step closer to reaching its 2050 target. The country hopes to have transitioned to 100% renewables by that time. The facility is within the Komsberg Renewable Energy Development Zone (REDZ), which is a strategic location, no doubt. It is also close to the national grid.