The South African government has greenlit six additional solar power projects under the seventh bid window of the Renewable Energy Independent Power Producer Procurement Programme (REIPPPP), signaling continued momentum in the country’s transition to cleaner energy sources.

The decision follows the Department of Electricity and Energy’s (DEE) move to reallocate unused onshore wind capacity from the same bid window to solar, building on the list of preferred bidders first announced in December 2023.

According to an update from the DEE, the newly approved projects are all located in the Free State province and represent a combined capacity of 1,290 MW. Each project will operate under a 20-year power purchase agreement once they come online.

Independent power producer Red Rocket South Africa, headquartered in Cape Town, has been named the preferred bidder for three of the projects. These include:

• The 180 MW Dwaalboom 3 Solar project, priced at ZAR 499.99 ($28.55)/MWh

• The 200 MW Florida Solar Park, priced at ZAR 506.89/MWh

• The 210 MW Virginia 4 Solar Park, priced at ZAR 504.87/MWh

The remaining three projects have been awarded to Scatec Solar Africa Pty Ltd, a unit of Norwegian renewable energy developer Scatec. These projects form the Kroonstad PV cluster and include:

• The 240 MW Oslaagte Solar 2 and 240 MW Oslaagte Solar 3 projects, both priced at ZAR 509.02/MWh

• The 220 MW Leeuwspruit Solar 1 project, priced at ZAR 514.06/MWh

Scatec estimates the total cost of the Kroonstad PV cluster at ZAR 13 billion, with up to 90% of the funding structured as non-recourse project debt and the remaining financed through equity contributions from the project’s owners.

These developments mark a significant step in South Africa’s effort to expand its solar capacity while optimizing procurement processes under REIPPPP.