Mainstream Power, South African government sign key renewable energy agreements
Global renewable energy developer Mainstream Renewable Power has entered into the key financing, power-purchase and implementation agreements with the South African Government for its wind and solar projects in South Africa.
The group will issue a notice to the constructors to advance the construction of all the projects, which are expected to be operationl by the middle of 2014.
The three projects with a combined investment value of about €500m includes the 138MW Jeffreys Bay wind farm located in the Eastern Cape, the 50MW De Aar solar PV farm located in the Municipality of Emthanjeni in the Northern Cape and the 50MW Droogfontein solar PV farm located near the town of Kimberley in the Northern Cape.
Mainstream has developed these projects through the last four years having secured all consents, grid connections, project finance, construction contracts, and equipment procurement.
The company will also manage the full construction program under the supervision of a joint steering committee with its strategic equity partner, Globeleq.
Commenting on the developments Mainstream chief executive Eddie O'Connor lauded the South African government for its vision and foresight in creating renewable energy sources in the country.
"We have recently raised money on the world markets which we are delighted to commit to developments in South Africa and we look forward to having the 238MW of wind and solar plant operational in mid 2014," added O'Connor.