Absa finances 12 more independent energy producers
The bank says the latest round of projects has demonstrated that energy from renewable plants is cheaper to produce than other forms of energy
Twelve renewable energy projects that will generate 1.2 gigawatts (GW) of electricity have secured R22bn financing from Absa. This brings the total number of independent power producer projects financed by Absa to 33, producing a combined 2.9GW of power, the bank said in a media release on Thursday. Absa said it is financing seven wind, four solar and one biomass project following the Department of Energy’s latest bidding round under its renewable energy independent power producer programme (REIPPP). "The latest round of renewable energy projects in SA has demonstrated that it is relatively and comparatively cheaper to produce energy from renewable energy plants," Absa’s head of power, utilities and infrastructure financing, Bhavtik Vallabhjee, said. The bulk of the projects will deliver power at below R0.70/kilowatt hour (kWh), compared with the cost of thermal power plants, which are typically much more expensive, said Absa. "The REIPPP has resulted in more than R200bn in direct i...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.