Steel and Engineering Industries Federation of Southern Africa (Seifsa) CEO-designate Tafadzwa Chibanguza says the prevailing uncertainty surrounding South Africa’s public procurement rules in relation to local content has emerged as a major obstacle to reigniting industrialisation on the back of the country’s large grid roll-out. In addition, he argues that the recently released request for proposals (RFP) for South Africa’s inaugural procurement of independent transmission projects (ITPs) is so heavily geared towards foreign investors that it could leave domestic capacity stranded.
Eskom says its recently published request for proposals (RFP) inviting large power users to bid for 291 MW of solar PV capacity that the State-owned entity is aiming to introduce in phases from the end of 2027 has been tailored to meet the growing demand of such customers for solutions that reduce their indirect carbon emissions. Successful bidders for what Eskom is calling its ‘Renewable Energy Offtake Programme’ will enter power purchase agreements (PPAs) of between five and 25 years, with the renewable electricity delivered in phases from multiple Eskom projects.