AMEA Power, a UAE-based developer, owner, and operator of renewable energy has been awarded a 120 megawatts (MW) solar photovoltaic (PV) project in South Africa.
Under a 20-year power purchase agreement, the Doornhoek PV project will sell electricity to state utility Eskom.
The company, which is the majority shareholder in the $120 million project, has teamed up with a consortium made up of Ziyanda Energy and Dzimuzwo Consulting, AMEA Power said in a statement.
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The solar project, located near Klerksdorp in the northwestern province, will generate more than 325GWh of clean energy per year and power approximately 25,000 households.
The project as a whole is expected to offset 290,000 tonnes of CO2 emissions per year.
The Doornhoek PV Project will begin construction in mid-2023 and will use more than 45 percent of locally sourced materials and resources.
Last month, AMEA said it secured funding to develop a solar plant and a wind farm in Egypt.
The projects, which represent a $1.1 billion investment in the North African country’s economy, have power purchase agreements in place with the Egyptian Electricity Transmission Company and usufruct agreements with the New and Renewable Energy Authority, an Egyptian government body.
South Africa, one of Africa’s largest economies, has been investing heavily in renewable energy.
The country aims to increase the share of renewable energy in its energy mix to 41 percent by 2030, from 11 percent in 2019. It also plans to decommission between eight and 12 gigawatts of coal-fired power plants over the next decade.
