Enel starts construction of 140 MW wind farm in South Africa
· The company will invest a total of over 200 million euros in the construction of the project, which is part of the 700 MW of wind capacity awarded to the company in April 2015 following the South African government’s renewable tender
Rome and Johannesburg, February 12th, 2019 - Enel, through its renewable subsidiary Enel Green Power RSA (EGP RSA), has begun construction of its 140 MW Nxuba wind farm in the Amatole District, making it the Group’s third wind project in South Africa’s Eastern Cape province. The construction of Nxuba, which is expected to be completed by September 2020, will involve an overall investment of more than 200 million euros.
“Through the start of construction of the Nxuba wind farm, which is the first out of the five projects awarded to the company in South Africa’s 2015 renewable tender to begin construction, Enel confirms its commitment to grow and strengthen its presence in the country,” said Antonio Cammisecra, Head of Enel Green Power, the Global Renewable Energy business line of the Enel Group. “This new project reaffirms EGP RSA’s contribution to further diversify South Africa’s generation mix, while supplying sustainable energy to Eskom, and promoting the socio-economic growth of local communities.”
Once fully up and running, Nxuba is expected to generate over 460 GWh per year, avoiding the emission of around 500,000 tons of CO2 into the atmosphere each year. The wind farm will be supported by a 20-year power supply agreement with the South African energy utility Eskom, as part of the South African government’s Renewable Energy Independent Power Producer Procurement Programme (REIPPPP) tender, which awarded in April 2015 a total of five wind projects for 700 MW to the Enel Group in its fourth round.
EGP RSA will employ innovative tools and practices to build Nxuba such as advanced digital platforms and software solutions to monitor and remotely support site activities and plant commissioning, digital tools to perform quality controls on site and smart tracking of wind turbine components. These processes and tools will enable swifter, more accurate and reliable data collection, improving the quality of construction and facilitating communication between on-site and off-site teams.
In addition, the company, with its local partners, has committed to ensure meaningful socio-economic and enterprise development, preferential procurement, and job creation in the surrounding communities, involving local businesses as suppliers, providing free WiFi to communities in the area and holding wind technology training courses for locals. EGP RSA also focused on education, which is key for socioeconomic development, by supplying schools with clean energy through mini-PV systems, awarding scholarships to students and supporting a school feeding programme.
The other projects awarded to EGP RSA in Round 4 of the REIPPPP tender are the 140 MW Oyster Bay wind farm, also in the Eastern Cape, as well as the 140 MW Garob, the 140 MW Karusa and the 140 MW Soetwater wind plants, all in the Northern Cape province. EGP RSA already has more than 520 MW in wind and solar plants in operation in South Africa. Its solar plants are the 10 MW Upington and the 82.5 MW Adams, in the Northern Cape province, the 82.5 MW Pulida in the Free State province, the 66 MW Tom Burke in Limpopo, and the 82.5 MW Paleishuewel in the Western Cape. Its wind farms include the 88 MW Nojoli and the 111 MW Gibson Bay, both in the Eastern Cape.
Enel Green Power is the Enel Group’s global business line dedicated to the development and operation of renewables across the world, with a presence in Europe, the Americas, Asia, Africa and Oceania. Enel Green Power is a global leader in the green energy sector with a managed capacity of about 43 GW across a generation mix that includes wind, solar, geothermal and hydropower, and is at the forefront of integrating innovative technologies into renewable power plants.
Enel Green Power SpA. Press release - Enel starts construction of 140 MW wind farm in South Africa. URL: https://www.enelgreenpower.com/media/press/d/2019/02/enel-starts-construction-of.... [Date Accessed: 12/02/2019].
Enel Green Power S.p.A. Media > Galleries > Wind. https://www.enelgreenpower.com/gallery-articles/a/2016/11/wind. [Date Accessed: 10/02/2018].
- Oyster Bay wind farm is located in the Eastern Cape province, and is expected to generate around 568 GWh annually once fully operational, due in the second quarter of 2021
- The overall investment in the construction of the facility amounts to approximately 180 million euros
Business & Finance
- Agreement signed with Chinese company CGNEI to sell 100% of solar plants Nova Olinda (292 MW) and Lapa (158 MW) as well as the 90 MW Cristalândia wind farm
- The transaction is aimed at freeing up resources that can finance Enel’s further renewable development in Brazil, while the company will continue O&M activities on the assets sold
- Closing of the deal expected by 1Q 2019
- The around 450 MW High Lonesome wind project will be the largest wind farm in Enel’s global renewables portfolio
- The energy generated by a 295 MW portion of the project will be hedged through a long-term Proxy Revenue Swap, a risk management strategy for renewable energy projects, making it the largest deal of its kind for a single plant by capacity to be signed
- The project will involve an overall investment of around 600 million US dollars