Daily News Articles for the Energy Sector, 2008
Eskom Issues Request For Qualification (“RFQ”) for its Multi Site Base Load Independent Power Producer Programme
Sunday, 17 August 2008 (Johannesburg): Eskom, South Africa’s national electricity utility, is seeking Statements of Qualification (“SOQ”) from national and international companies (“Developers”) for the development and tender of its Multi Site Base Load Independent Power Producer (“IPP”) Programme. The RFQ follows the Cabinet Statement of 5th September 2007 which designated Eskom as the single buyer of power from IPPs.
Notices of pre-qualification will be issued to successful pre-qualified Developers on 19th September 2008. The RFP is targeted to be issued on 13th October 2008 with final bids closing on 11 May 2009. Financial Close is scheduled for 7th December 2009.
The Programme will be developed on a Build-Own-Operate basis and the envisaged term of the contract is 25 years. Under this Programme, Eskom’s total requirement ranges from 2 100 MW to approximately 4 500 MW, with a minimum plant capacity of 200 MW.
As is customary for base load IPPs, the Power Purchase Agreement (“PPA”) will be structured on an availability basis, with Eskom acting as single dispatcher. Under this structure Eskom, as off taker, will pay capacity charges based on the availability of the plant. The IPP Company is also required to enter into an equivalent term Agreement with a fuel supplier to procure fuel supply.
Shareholder arrangement criteria are being finalised and are envisaged to include a minimum of (25)% shareholding to be allocated to BEE compliant investors.
The RFQ is available on the Eskom website.
Contact persons for the RFQ
Logan Govender / Mark Makanda, Eskom
Tel: +27 11 800 6489 / +27 11 800 5526
E-mail: baseloadipp@eskom.co.za
Paul Eardley-Taylor, HSBC Africa
Tel: +27 11 676 4412
E-mail: paul.eardley-taylor@hsbcib.com
Ompi Aphane, DME
Tel: +27 12 317 8210
E-mail : lambona.aphane@dme.gov.za
