South African CSP projects under the REIPPP programme - Requirements, challenges and opportunities

Thus far seven Concentrated Solar Power (CSP) projects have been awarded under the Renewable Energy Independent Power Producer Procurement Programme (REIPPPP), totalling 600MW: one project is in operation, four under construction and two on their way to financial close. This provides an excellent opportunity for analysis of key features of the projects that have contributed to or detracted from the programme's success.

The paper draws from Mott MacDonald's involvement as Technical Advisor on the seven CSP projects that have been successful under the REIPPPP to date as well as other global CSP developments. It presents how various programme requirements have affected the implementation of projects, such as the technical requirements, time of day tariff structure, economic development requirements and the renewable energy grid code.

The increasingly competitive tariffs offered have encouraged developers to investigate efficiency maximising project configurations and cost saving mechanisms, as well as featuring state of the art technology in their proposals. The paper assesses the role of the project participants (developers, lenders and government) with regards to these innovative technologies and solutions.

In our paper we discuss the status of projects and the SA market, analysing the main challenges and opportunities that in turn have influenced various aspects such as technology choice, operational regimes and supply chain arrangements.