Page 6 - Energize February 2021

COVER STORY

Breaking new ground in flexible

power procurement

o alleviate the current power Africa and one which may revolutionise the roll out of future power purchase programmes.
crisis, the Department of In this article, we reflect on the context and nuances of this programme with views shared
Mineral Resources and Energy on what it could mean for South Africa if proven successful.
T(DMRE) is undertaking an
“emergency” power programme known Emergency procurement plan
as the “Risk Mitigation Independent Despite the reduced demand resulting from Covid-19 lockdowns, load-shedding is still
Power Purchase Programme” (RMIPPP). commonplace largely due to the inevitable decline in performance of an ageing coal fleet.
This 2 GW programme is, however, As outlined in the government’s Economic Reconstruction and Recovery Plan announced
unique in its approach to power last year, Government acknowledges that enhancing energy security and aggressive
procurement in that it is the first time infrastructure investment is a prerequisite for the country’s economic recovery.
that no single technology has been Following the publication of an official determination in August 2020, the DMRE released
specified and that any technology in any the RMIPPP. The RMIPPP sought to procure 2000 MW of “emergency” capacity from
location could be considered so long as independent power producers (IPPs) to fill the current supply gap, alleviate supply constraints,
it meets the flexible dispatch and reduce the excessive use of expensive diesel-powered open cycle gas turbines.
requirements cost effectively. The RMIPPP outlined the urgent need for new dispatchable and flexible capacity which
This is a bold step forward in the could begin delivering power to the national grid by mid to late 2022. Projects participating
thinking of power procurement for South under this programme were free to choose any form of technological solutions so long as

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