Name of the Project
Battery Energy Storage Independent Power Procurement Programme (BESIPPPP) – Bid Window 1 (BW1).

Location
South Africa.

Project Owner/s
Department of Energy (DME) and Independent Power Producer (IPP)Office.

Project Description
The site-specific BESIPPPP – BW1 is designed to facilitate the procurement of up to 513 MW, or at least 2 052 MWh, of battery storage across five specified substation sites, with only one preferred bidder per site.

The five bidders are: 

•    Oasis Aggeneis (77 MW), substation Aggeneis, Northern Cape – EDF Development Mulilo and black economic-empowerment (BEE) partner Pele Energy group & Gibb-Crede;
•    Mogobe BESS (103 MW), substation Ferrum, Northern Cape – Scatec Africa and BEE partner Perpetua Holdings;
•    Oasis Mookodi (77 MW), substation Mookodi, North West – EDF Development Mulilo and Pele, Gibb Crede and a community trust;
•    Oasis Nieuwehoop (103 MW), substation Nieuwehoopat, Northern Cape – EDF Development Mulilo and BEE partner Pele Energy group & Gibb-Crede;
•    Red Sands BESS (153 MW), substation Garona, Northern Cape – AGV Projects.

All the BESS projects have four hours of storage.

Potential Job Creation
The Mogobe and Oasis Mookodi BESS projects are expected to create 217 jobs. The projects have committed to spending 11% and 20% of total costs respectively, on local content during construction, and 20% and 26% of total costs on local-content respectively, during operations.

Capital Expenditure
R50-billion overall.

The Mogobe and Oasis Mookodi BESS projects have a combined investment value of R5.3-billion.

The Oasis Aggeneis and Oasis Nieuwehoop projects have a combined investment value of R4.7-billion.

Planned Start/End Date
Oasis Mookodi and Mogobe BESS reached commercial close on October 17, 2024, and are expected to enter into commercial operation in September 2026.
The Oasis Aggeneis and Oasis Nieuwehoop projects reached financial close on November 18, 2024. Project construction is expected to take no more than 24 months and the storage capacity is expected to come on line no later than November 2026. 

Latest Developments
Two more BESS projects selected as preferred bids under BW1 have achieved commercial close.

EDF International, in partnership with Mulilo, Gibb-Crede, Pele Green Energy and a community trust are the developers of the projects.

They include the Oasis Aggeneis and Oasis Nieuwehoop projects.

The Electricity and Energy Ministry reports that efforts are under way to have the fifth project reach commercial close in early 2025. 

A further two battery storage bid windows are under way, with BW2 for 615 MW/2 460 MWh under evaluation, and with the announcement of preferred bidders expected within the next few weeks.

The date for bid submissions for BW3 for 616 MW/2 464 MWh has been shifted to November 28.

Key Contracts, Suppliers and Consultants
Scatec, alongside Perpetua and a local community trust (Mogobe BESS) and EDF International in partnership with Mulilo, Gibb-Crede, Pele Green Energy (Oasis Aggeneis and Oasis Nieuwehoop BESSs).

Contact Details for Project Information
DME, tel + 27 12 406 7788 or email info@energy.gov.za.
IPP Office, email query@ipp-storage.co.za.