Lesotho to get its first grid-connected solar plant
Lesotho: Scatec has entered an agreement with the Lesotho Electricity Company and the Government of Lesotho to build the country’s first IPP solar project of 20 MW.
Image for illustration purposes
Lesotho: Scatec has entered an agreement with the Lesotho Electricity Company and the Government of Lesotho to build the country’s first IPP solar project of 20 MW.
The project will be funded by the Renewable Energy Performance Platform and equity co-sponsors Scatec, Norfund, One Power Lesotho, Izuba Energy and the Lesotho Pension Fund.
“The Southern African region is a key market for Scatec, and a region with great potential for the development of affordable clean energy. Scatec is the leading solar IPP in the region, and we look forward to expanding our footprint and developing more renewable energy in the years to come,” said Jan Fourie, general manager of Scatec, sub-Sahara Africa.
Scatec will build, operate and majority own the facility under a 25-year power purchase agreement with financial close expected early in 2022.
Lesotho relies mostly on hydropower but is not energy secure and energy access rates are low. Only around 6 % of rural households are connected to the grid. It imports electricity from Mozambique and South Africa during peak demand times as it forms part of the Southern African Power Pool.
Scatec is a renewable energy power producer in South Africa with 448 MW solar power projects in operation under the auspices of the country’s Renewable Energy Independent Power Producers Procurement Programme.
Source: ESI Africa