Innovative Solar Power Plant to Boost National Grid Launched at the Height of South African Energy Challenges
March 02 2015 - 8:41AM
- KaXu Solar One is the first Solar Thermal Electric power plant
in commercial operation in South Africa.
- This public-private partnership helps meet the energy needs of
South Africa in a reliable and sustainable manner using innovative
technology.
Abengoa (MCE: ABG.B/P SM) (Nasdaq:ABGB), the international company
that applies innovative technology solutions for sustainability in
the energy and environmental sectors, and state-owned financier,
the Industrial Development Corporation (IDC), together with KaXu
Community Trust have launched a 100 MW solar plant near the town of
Pofadder (Northern Cape Province), capable of providing clean and
sustainable power to approximately 80,000 homes in South
Africa.
Minister of Economic Development, Mr Ebrahim Patel, officially
inaugurated this innovative solar power plant. He was accompanied
by Deputy Minister of Public Enterprises, Mr. Bulelani Magwanishe,
Premier of the Northern Cape, Silvia Lucas, executives of Abengoa
and IDC and representatives of the local community.
KaXu Solar One, the first Solar Thermal Electricity (STE) power
plant in South Africa, incorporates a storage system that enables
production of 100 MW for 2.5 hours after sunset or before dawn. The
project will result in approximately USD 891 million direct and
indirect investment inflows to South Africa, generate approximately
USD 516 million in taxes over the next 20 years, and created 1,000
construction jobs during its three-year construction period.
This project, a well arranged public-private partnership, was
awarded by the Department of Energy of South Africa and it will
serve clean and reliable electricity to Eskom, South Africa's power
utility, under a 20-year power purchase agreement. Abengoa owns 51
% of the project, the IDC 29 % and KaXu Community Trust 20 %.
Manuel Sanchez Ortega, Vice President and CEO of Abengoa, has
stated: "We are proud of the role we are playing to help South
Africa meet its ongoing energy demands. This project will leave a
legacy that will benefit the community of Pofadder, Northern Cape
and the entire country. This would not have been possible without
the leadership of the South African Department of Energy."
IDC chief executive, Geoffrey Qhena, has declared: "The project
is based on a strong public-private sector partnership and forms
part of our efforts to support Government's initiatives to
introduce alternative sources of energy into the country's energy
mix as contemplated in the integrated resources plan."
Fadiel Farao, the Chairperson of the KaXu Community Trust, says
KaXu Solar One will be a catalyst for economic development in the
Khai Ma municipality in the Northern Cape. "The project has
stimulated the local economy and will go a long way toward helping
to generate much-needed economic opportunities for people in this
area." KaXu Community Trust is made up of members of the local
community.
Abengoa is building in the region Khi Solar One, a 50MW solar
plant using tower technology and has already started the
construction of a third project, Xina Solar One, a 100 MW parabolic
trough plant. Xina Solar One will shape with KaXu Solar One the
largest solar platform in sub-Saharan Africa.
About Abengoa
Abengoa (MCE: ABG.B/P SM) (Nasdaq:ABGB) applies innovative
technology solutions for sustainability in the energy and
environment sectors, generating electricity from renewable
resources, converting biomass into biofuels and producing drinking
water from sea water. www.abengoa.com
About IDC
Established in 1940, Industrial Development Corporation (IDC) is
a national development finance institution set up to promote
economic growth and industrial development. They are owned by the
South African government under the supervision of the Economic
Development department. Their primary objectives are to contribute
to the creation of balanced, sustainable economic growth in South
Africa and on the rest of the continent. IDC promotes
entrepreneurship through the building of competitive industries and
enterprises based on sound business principles. www.idc.co.za
CONTACT: Communication Department:
Patricia Malo de Molina Melendez
Tel. +34 954 93 71 11
E-mail: comunication@abengoa.com
Investor Relations:
Ignacio Garcia Alvear
Tel. +34 954 93 71 11
E-mail: ir@abengoa.com