The core of the Oya Energy project is a co-located wind turbine, solar array, lithium-ion battery, and hybrid controller.
The Oya Energy project reached financial close this week and is expected to power 180,000 South African homes with clean energy once completed.
The Oya Energy Hybrid Project will be jointly owned and operated by Engie (35%), G7 Renewable Energys (20%), Meadows Energy (22.5%) and Perpetua Investment Holdings (22.5%). The company is one of 11 preferred bidders under South Africa's Risk Reducing Independent Power Producer Procurement Program.
The announcement comes as South Africa continues to face devastating energy shortages and Eskom, the electricity company that supplies most of the country's electricity, struggles to meet demand.
Amid power shortages, SA has gradually introduced renewable energy sources to compensate for power shortages.
Eskom recently implemented the much-feared stage 6 load shedding after facing a setback when 10 power generation units were shut down.
The state-owned enterprise subsequently downgraded the severity of load shedding to stage 3.
The utility generates most of its energy from coal-fired power plants. Lack of maintenance at these factories and corruption stemming from state capture are cited as the biggest reasons for Eskom's problems.
Since President Cyril Ramaphosa revived the renewable energy program in his State of the Union address last week, more than 2,500MW of solar and wind power has been connected to the grid, and three times that amount has already been procured or built. He said that
In 2023, Oya Energy signed a 20-year power purchase agreement with Eskom and an implementation agreement with the Ministry of Mineral Resources and Energy.
Once operational, the Oya Energy Hybrid Project will provide essential distributable energy to South Africa's electricity grid.
According to the statement, the Otani Energy Hybrid Project will be a pioneering example of sustainable energy innovation. It combines 155MW of solar power, 86MW of wind power and 92MW/242MWh of battery energy storage in one location.
This greenfield development straddles the Western and Northern Cape provinces between the cities of Ceres and Sutherland.
Engie said the core of the project is a co-located wind turbine, solar array, lithium-ion battery, and hybrid controller.
It explains that this integrated system can efficiently coordinate all three technologies and deliver power to the grid as needed.
“The Otani Energy Hybrid Project is not only the largest hybrid energy project of its kind in Africa, but also unique globally in terms of its combination of technologies, scale and cost-effectiveness. It boasts proximity to natural resources and grid connection points, complemented by advanced battery storage capabilities,” the company said.
Mohamed Hoosen, Engie MD and SA Country Manager, Renewable Energy for Asia Pacific, Middle East and Africa, said: We will partner with G7 Renewable Energys to build, own and operate this facility in SA. The Otani Hybrid project is a testament to Engie's commitment to SA's long-term low carbon energy security. ”
“This is an important milestone for G7 and our partners in the Otani project,” said Dr. Kilian Hagemann, CEO of G7.
“We are very proud of our team and grateful for the support of our partners. As Oya’s first developer since 2015, G7 led the complex hybrid technology modeling and The project was made possible by complementing a standalone wind farm with optimally sized battery storage and solar power.
“The Otani Hybrid Energy Project demonstrates our expertise and ability to develop complex and efficient hybrid renewable energy projects in SA. We look forward to the completion of this project.”
Romaya Dorasamy, MD of Meadows Energy, said: This milestone is a notable achievement for Meadows Energy and a major step towards a sustainable and innovative energy future.
“The Otani project is more than just a power generation initiative, it is a testament to our collective ability to create meaningful change.”
Perpetua Holdings Director Logan Govender added: “We have built strong and genuine collaborations with our esteemed partners on the Otani project and are excited about the innovative and impactful contribution that this contribution will be able to make as part of the South African project. We are all convinced of Africa's energy transition. ”
According to the companies, the project will accelerate the country's transition to renewable power generation and reduce CO2 emissions by approximately 573,105 tons per year. This equates to 72,680 cars on the road.
The project is located within the Komsberg Renewable Energy Development Zone.