Africa GreenCo: Announcing the execution of an 85MW power purchase agreement with AMEA Power
25th Apr 2023
This article was originally published by Africa GreenCo and AMEA Power on 25th April 2023. The original article can be found here.
Announcing the execution of an 85MW power purchase agreement between GreenCo and AMEA Power for offtake of power from Rooidraai solar PV power plant and GreenCo’s expansion into South Africa
Johannesburg, Republic of South Africa: Africa GreenCo Group, through its South Africa-based operating company GreenCo Power Services (Pty) Limited (together, GreenCo), is delighted to announce the execution of a power purchase agreement (PPA) with AMEA Power, a Dubai-based developer, owner and operator of renewable energy projects with a focus across Africa, the Middle East and other emerging markets. This project is set to be financed by Standard Bank of South Africa, a key financial institution in sub-Saharan Africa that is actively involved in financing green energy transition projects. The PPA signing was witnessed by HE Dr Thani bin Ahmed Al Zeyoudi, Minister of State for Foreign Trade of the United Arab Emirates, and HE Ebrahim Patel, Minister of Trade and Industry for the Republic of South Africa. GreenCo is further partnering with some key stakeholders to develop a fast-tracked model to stimulate the onboarding of renewable energy generation in South Africa; a significant outcome that will help mitigate the current electricity crisis affecting businesses, households, and the economy as a whole.
GreenCo’s transformative role is to mobilise significant private sector investment for renewable energy projects. Having been the first private energy trader to join the Southern African Power Pool (SAPP), GreenCo seeks to further increase the supply of finance for regional energy projects, and quickly mobilise private sector capital towards critical and transformative capacity addition. The signing of this PPA therefore symbolises the inception of a long-term engagement aimed at stimulating and deepening the South African and regional power markets, mitigating climate change, improving security of supply, and increasing efficiency in the power sector.
Chairman of AMEA Power, Hussain Al Nowais, said “The widespread electricity shortages in South Africa are impacting people’s everyday lives and crippling businesses. As part of AMEA Power’s goal to deliver clean energy across Africa, the company is on track to deliver several large renewable energy projects in South Africa over the coming few years. As part of our long-term commitment to South Africa, AMEA Power will invest in different clean energy solutions, establish strategic partnerships with local companies and has opened a new regional hub, which will help us accelerate our activities.”
CEO of GreenCo, Ana Hajduka added, “The signing of this PPA marks a tremendous shift towards the sustainable development of the national and regional power markets. GreenCo and AMEA Power have within a few months made immense strides and paved the way for an efficiently structured project development and offtake model to be rolled out in South Africa. In addition, GreenCo is very confident in the future of energy markets knowing that institutions like Standard Bank are supporting innovative approaches such as ours.”