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South Africa’s Eskom to build 100MW CSP power plant with World Bank funds

Apr 9, 2010 - Mark Osborne - PV+Tech Newsletter

Update: As part of a US$3.75 billion loan from the World Bank to help South Africa achieve a reliable electricity supply, the country’s electricity provider, Eskom is to build a 100MW concentrated solar (CSP) power project with storage in Upington, South Africa.

“Without an increased energy supply, South Africans will face hardship for the poor and limited economic growth,” said Obiageli K. Ezekwesili, World Bank Vice President for the Africa Region.  “Access to energy is essential for fighting poverty and catalyzing growth, both in South Africa and the wider sub-region.  Our support to Eskom combines much-needed investments to boost generation capacity for growing small and large businesses, creating jobs, and helping lay the foundations for a clean energy future through investments in solar and wind power.”

“As part of the project, Eskom will pilot 100 megawatts of solar power with storage and wind power, the biggest grid-connected renewable energy venture in any developing country,” said Vijay Iyer, World Bank Energy Sector Manager for Africa.  “We are optimistic that the lessons learned from these projects will facilitate the scale-up of the renewable energy industry across Africa.”

A US$3.05 billion is going towards the completion of a 4,800MW coal-fired power station, while US$260 million is going into a 100MW wind power project. World Bank did not disclose the costs involved in the 100MW CPV project.

However, in preliminary documents the costs combined for both wind and solar projects were estimated to be about US$1.228 billion, of which IBRD would provide financing of about US$260 million. CTF would provide financing of about US$ 250 million (with the proposed IBRD loan). An additional US$100 million would come from CTF – US$50 million each for the wind and solar projects.


Updated: 2016/06/30

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