African Infrastructure Investment Managers, one of Africa’s largest infrastructure-focused private equity fund managers, has acquired stakes in nine new solar and wind power plants in South Africa through its IDEAS Managed Fund.
When all nine power facilities are fully operational, expected at the end of 2020, they will provide an additional 800 MW of renewable energy capacity to South Africa’s national power grid. The power facilities will deliver about 2,425 GWh annually, preventing around 2.4 million tonnes of carbon emissions from traditional fossil fuel power plants per year. They are expected to supply enough green electricity to power approximately 523,000 medium-sized South African homes.
This additional clean power capacity has been added under Round 4 of REIPPP, which is committed to securing 2,300 MW of new renewable electricity for South Africa’s national grid over the next five years.
AIIM’s IDEAS Managed Fund has acquired a 50.01 percent equity stake in each of the following solar projects:
Bokamoso 67.9MW, closest city or town, Leeudoringstad
Waterloo 75MW, closest city or town, Vryburg
Droogfontien II 75MW, closest city or town, Kimberley
Zeerust 75MW, closest city or town, Zeerust
Greefspan II 55MW, closest city or town, Douglas
De Wiltd 50MW, closest city or town, Brits
The Fund has also acquired stakes in three wind farm projects:
Roggeveld 147MW, closest city or town, Sutherland
Perdekraal 110MW, closest city or town, Matjiesfontein
Kangnas 140MW, closest city or town, Springbok
Commenting on the investments, Sean Friend, Investment Director at AIIM, said, “The new plants will provide essential clean energy to the grid which, in addition to environmental benefits, will help boost economic growth by creating jobs in construction and follow-up operations and maintenance. We are looking at almost ZAR 9 billion ($617 million) in total capital expenditure across these power projects, where IDEAS is the main sponsor.”