Govt signals reduction or elimination of guarantees for REIPPPP projects

A government study is currently under way to explore alternative support for the Renewable Energy Independent Power Producer Procurement Programme (REIPPPP), the National Treasure states in its 2022 Budget Review. “This is expected to result in a reduction or elimination of guarantee requirements for the programme, reducing the stock of contingent liabilities,” the documents adds, while stressing that contingent liability risks for independent power producers (IPPs) represents a low risk to the fiscus.