The South African Government has put tenders out for both foreign and domestic consultants who have the experience and capabilities to facilitate the ‘procurement of energy from independent power producers (IPPS)’, the minning weekly reported.

Similar request for proposals (RFP) were issued in August 2013 but did not receive any positive feedback.

The RFP is directed at ‘Transaction Advisors, Programme Management, Project Managers/Officers and Specialist Advisors’ and is in line with the DoE determinations of procuring power from renewable energy, gas, coal and co-generation plants and hydro within South Africa.

The DoE determinations include the allocation of IPP base load and developments from the Medium-Term Risk Mitigation (MTRM) plan which have been designed for the existing Integrated Resource Plan (IRP), mining weekly reported.

The IRP is currently being updated and will be included with the Energy Master Plan that includes the Energy Efficiency Action Plan, the Gas Utilisation Master Plan and the Liquid Fuels Roadmap, media reported.

Objectives of the MTRM plan:

  • Procurement of 800MW cogeneration capacity [Biomass, industrial waste, combination of heat and power sources]
  • Natural gas initiatives to produce a total output capacity of 474MW

Base load determination:

  • 2 500 MW has been allocated to coal-fired IPP projects
  • 2 652 MW to base load and/or natural gas
  • 2 609 MW to local and imported hydropower

The Energy Minister added that 3 200MW is to be procured from renewable energy adding to the amount which is already being bought via the REIPPPP.

 Bidding selection

The Development Bank of South Africa (DBSA) advised that bidders should be equipped with the knowledge and working skills within the procurement of IPPs, have a holistic overview of all the energy resources included in the RFP advertisement and have experience within the South African business framework.

Proposals will be accepted until 12pm on 20 January 2015 where selected candidates will be panellists at the DBSA, addressing the topic of IPP procurement, media reported.

(Pic Credits: whoswho.co.za)