South Africa tenders for coal-fired power plants

Posted on :Tuesday , 6th January 2015

South Africa for bidders to submit proposals to build coal-fired power plants as part of a string of initiatives launched this week aimed at ending chronic electricity shortages.

Bidders will need to pay a nonrefundable R200 000 rand ($17 000) fee when they submit proposals to build, operate and maintain the new coal plants, according to a tender notice posted in national newspapers.

The government will give the winners a power purchase agreement with struggling state utility Eskom.

The government announced on Thursday that it would launch a private sector-led coal-fired power plant programme by January 2015, which should add 2 500 MW of generation capacity to the grid.

It also said it would increase diesel and gas imports to fuel under-supplied plants and sign deals next week for renewable energy projects that would add an additional 1 000 MW.

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