South Africa Energy Storage Power Station Procurement

Does South Africa have a battery storage tender programme?

South Africa is aiming to procure utility-scale battery storage with two tender programmes: its Battery Storage IPP Procurement Programme as well as hybrid battery storage and variable renewables projects through its Risk Mitigation IPP Procurement Programme.

How will energy storage strengthen the grid capacity in South Africa?

Eskom and the South African government will rely on energy storage to strengthen grid capacity by means of various procurement programmes for diversifying renewables. One is the Risk Mitigation IPP Procurement Program (RMIPPPP) for solar and storage, with Saudi company ACWA Power recently winning a project that includes a 1200MhBESS.

What is the battery energy storage programme?

The evaluation process, conducted by an Independent Bid Evaluation Committee under strict security measures, took place at the IPP Office. The Battery Energy Storage Programme is a critical initiative aimed at enhancing South Africa’s power system by providing essential ancillary services and increasing grid capacity through energy storage.

Why is the South African government using IPP to allocate battery storage?

In 2022, this led to unprecedented load shedding of more than 8 terawatt-hours (TWh), which was a fourfold increase in unmet demand compared with the previous year. As a result, the South African government is using its Independent Power Producer (IPP) Procurement Programmes to allocate firm capacity, including battery storage.