EDF Renewables and Mulilo Energy, a subsidiary majority-owned by Copenhagen Infrastructure Partners (CIP), have secured preferred bidder status for 257MW of grid storage capacity in South Africa. The accolade comes as part of the Department of Mineral Resources' inaugural Energy Battery Energy Storage Procurement Programme, with the consortium being selected for three out of five battery energy storage projects.
The awarded projects, Oasis Aggeneis, Oasis Mookodi, and Oasis Nieuwehoop, collectively contribute 257MW/1028 megawatt hours to South Africa's energy landscape. The total estimated cost for these ventures surpasses ZAR7 billion (€343 million), with construction slated to commence in mid-2024. Upon completion, the battery energy storage system (BESS) projects will operate under 15-year power purchase agreements.
Robert Helms, a partner at CIP, lauded the achievement, stating, “Securing preferred bidder status for the majority of the procured capacity in South Africa's first public battery storage tender together with EDF marks a significant step in the accelerated growth journey of Mulilo.” Helms acknowledged the South African government's commitment to rapid battery energy storage development, emphasizing its importance for Mulilo.
Jan Oberholzer, Mulilo's Chairman of the Board, expressed pride in the team's accomplishment, calling it a “significant milestone for Mulilo.” Oberholzer highlighted the consortium's dedication to ensuring sustainable electricity supply for South Africa, fostering economic growth, and contributing to the well-being of the country's population.
The consortium's success in this competitive tender underscores the rising importance of battery energy storage in South Africa's energy transition strategy, reflecting the nation's commitment to green energy solutions and energy security.