Total S.A. (« Total ») announced being selected as the preferred bidder for an 86 megawatt-peak (MWp) ground-mounted solar power project by South Africa’s Department of Energy (DoE), as part of the third round of tenders for renewable energy generation facilities.
Total’s affiliate, SunPower Corporation (« SunPower »), a global solar energy company offering solutions unmatched in efficiency, reliability and performance, provided the photovoltaic specifications for the project. SunPower also is expected to provide Engineering, Procurement, Construction (EPC) services and long-term Operation and Maintenance for the project.
This solar power project of 86 MWp will deliver clean, reliable energy to the community. The solar power plant is expected to generate approximately 210 gigawatt-hours (GWh) of power each year, which represents the electricity consumption of approximately 45,000 South Africans.
The project is secured under a co-development agreement with South African Mulilo Renewable Energy. Total will own 27% of the project, along with five partners: Calulo Renewable Energy with 25%, Mulilo Renewable Energy with 18%, the Industrial Development Corporation (IDC) with 15%, Futuregrowth Asset Management (Pty) Ltd with 10% and a Local Community Trust will own 5% of the project.
The project is estimated to cost approximately $200 million. It will be financed 80% through non-recourse project debt from South African banks. The remaining 20% equity portion will be funded by Total, Calulo Renewable Energy, Mulilo Renewable Energy, the IDC, Futuregrowth Asset Management (Pty) Ltd and a Local Community Trust, based on their respective ownership interests.
*A megawatt-peak (MWp) = 1 million peak watts. A peak watt, the unit used to rate the performance of photovoltaic collectors, will deliver 1 watt of electricity under standard conditions of 1,000 watts of light intensity per square meter and temperature of 25°C.
